It has been a very quiet day but the market held up well, which is healthy after the euphoria over the new highs. The dip-buyers bought the midday lows and breadth improved nicely. We didn't have any wild momentum but a slew of new highs were reached and plenty of stocks continued to act well.
The bears might complain that the action is too complacent and unworried, but I suspect the bigger worry is being underinvested and missing out. The way this market has acted recently resulted in plenty of poor positioning and there is an appetite to put cash to work without buying anything too extended. Unfortunately, finding things that aren't extended is not easy as new highs continue to pour in.
My biggest complaint about this market is that it is downright boring. Many stocks are walking up slowly, but we are still missing the excitement we used to see at new all-time highs. The media is working hard to paint a positive picture, but I'm not seeing a return of retail excitement.
My strategy is to stick with the trend and keep adding long trades as I find them. I see no reason to fight the bulls and the fact that it isn't that easy to buy probably means that it just keeps on going.
Have a good evening. I'll see you tomorrow.
