I was a little too quick to dismiss the dip-buyers in my prior post. They went to work after a short delay and are doing a fine job again. If a pattern works, you can be sure that market players will stick with it until they eventual kill it. At this point, dip-buying is the closest you can get to a sure thing.
As I wrote my opening post, I'm finding it easier to navigate this market if I stay focused on individual stock picking and don't worry too much about the big picture. There are good trades to be had. VIVUS (VVUS), Velti (VELT) and InvenSense (INVN), which I mentioned earlier, are attracting attention now.
The key to navigating a market like this is to keep in mind that there is a whole lot of money sloshing around that is constantly looking for action. They don't care whether the bears think the market is doomed. They are going to chase the action if they can make a buck and if they can squeeze some skeptics, so much the better.
I've been a bit repetitive lately about how strong the support is and how we can't count the dip-buyers out, but I really have no choice in the matter because the action isn't shifting. The easy thing to do is make attention-grabbing predictions about the impending change in the market action, but the problem with that is it's a money loser.
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