Morning Update
So far we are getting off to a slow and boring start (just like we did last week). Nevertheless, Dow Futures do show some potential of being dragged higher and actually having a breakout. Not much volume in anything. I have been looking for leadership in the different sectors. The only sectors that seem to be outperforming are the banking and brokerage indexes. No stocks are breaking out yet, but they are being dragged up. The S&P Retail index (RLX) is having a bullish divergence and is showing signs of strength and looks to be breaking out of its continuation wedge. Commodity stocks continue to lag the market. I am also keeping an eye on Apple Computer Inc. (AAPL) and SanDisk Corp. (SNDK). They are holding up well and I recommend you keep an eye on them as possible new set ups / buys. As always, I will issue an alert on these when they are triggered.
