Portfolio Update

Today was a bullish day in the market and a good day for me. All of my positions gained value and challenged resistance.

CVX opened in the middle of it's current range, much higher than Friday's trading. During the day, CVX got really close to the upper trend line. Unfortunately, it pulled back greatly to close with a long upper shadow. This suggest that borderline swing traders (day traders) who bought in on Friday took profits today. Caution should be exercised after trading days like this because volatility as a result of speculation is never a good thing.

FPL opened today a little higher than Friday's close, rallied to the most recent high put in last week and then pulled back a fair amount. This kind of trading day indicates that day traders pulled out at the end of the day for their profits. As long as the body is greater than the shadows, there is a suggestion of further gains. The negative is that it is at a very recent high and a declining trend line is above that. FPL needs to break and close above both in the near future to suggest that the down trend is over.

MU opened and closed strong today. The negative is that it still sits below the declining trend line of it's current channel. It needs to break and close above this trend line in the near future to verify a broken trend.

SLV also opened higher today, but it closed lower. The end result was a small gain of 5 cents/share. The opening and high of the day was an attack against it's most recent high, but it proved unable to crack this level. Caution needs to be exercised on it for the near future as there seems to be confirmation of an upward trend line with a pull back more likely to occur.

In general, all of the stocks I have positions on have been sitting in overbought conditions. Combined with the recent soft movement, there is a high likelihood of pull back on all of the. The questions to be answered are "when" and "how much?" Nothing in my watch lists look ready for entry yet, so I will continue to wait. That is my opinion, you can take it or leave it.

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