ChartSmarter Thursday Game Plan 1/9/14

Markets ended the day near the UNCH mark as the Nasdaq gained .3% and the S&P 500 was flat. The SDS seems to be stalking its prey behind some brush ready to pounce and move higher. Notice how patient it has been clinging to the comfort of the round 30 handle. It now has closed above the 30 figure for 5 consecutive days, and a meeting with its mark, the 50 day SMA, just above should be an interesting battle. Lets see if the 50 day is overconfident as it has come away victorious 6 times in the last year. The SDS is a wounded animal however, and you know what they say about them. Some recent retail leaders have begun to falter which may be some foreshadowing some consumer spending weakness. Charts which are losing their attractiveness include KORS NKE GME SHOO. Of course there is always two ways to look at each situation, and you can look to 2013, being the first year since 2006 that saw US mutual funds did not see negative inflows. Will that trend continue into 2014? It seems like the “correction” is overdue talk is beginning to perk up a bit in the media. Bob Doll stated his commentary yesterday. Perhaps that means that this market may still have room to run, and a melt up may have to occur, before the eventual selloff. As far as I know friends of mine are not receiving stock tips from their taxi drivers on their way into NYC. The barbers are mum on the subject to, meaning the giddiness is far from heightened levels.