Mid-week June 2nd update

We had a nice little pop today in the entire market and the S&P 500 had a 27.67 or 2.58% gain in one day. With yesterday yo-yo day and today’s nice little move up, means I will not be moving money out or in the C-Fund. It will take another week at best to get a signal on direction and it could be longer. I think we are entering a sideways move which will not hurt the retirement account, but it sucks for long term trading. If your a day trader, I guess you might just love it. We are straddling the 50 week MA, we staying above the first major support line at 104.2 and we just moved back above 50 on the RSI. 

Mark was and is trying to play the downside with puts and my first short in PCLN, but since I did not get a clear cut signal of a down trend, I’m starting to think that I might get burned on these transactions. This is how we learn and if’s it real money, you tend not to forget it. The only bright note, I will know the trading rules with shorting a stock by the time I close my position in PCLN.

Small Caps followed the market with a 15.67 point gain or up 2.95%. Today’s gain totally reversed Tuesday’s losses,  so we are basically even for the week. The good news is that a possible pivot low is building and if that happens, it is a good sign that the small caps will be moving up. I’ll be leaving my money in the S-fund for now.

The European Index did finally have a decent day. She was up 1.28 points or 2.68%. The only other bright spot here is that there is a possible pivot low building, which would mean an uptrend to follow, but I still see no reason to throw any money this way. We are still below the 50 week MA, below the 1st support line, and RSI is below 50. I will not be putting any monies into the I-fund any time soon.