Momentum Is Lacking

 | Dec 06, 2012 | 2:15 PM EST
  • Comment
  • Print Print
  • Print

Apple (AAPL) provided a little intraday drama, but it's still a sedate market with a positive bias. What has been so challenging lately is that there is sufficient support to prevent any real downside but not enough buying to produce any real momentum.

Technically, the S&P 500 keeps bumping up against its 50-day simple moving average and is still a bit overbought, but the bears are not having any luck at all lately. There is good dip-buying support and the short side is even tougher than the long side.

I'm tired of complaining about my inability to put much money to work, but nothing much has changed. I have a couple mortgage plays, Walter Investment Management (WAC) and PHH Corp. (PHH), which I mentioned recently, but my confidence isn't great enough to put much money into them.

I keep wondering if I'm just being closed-minded about this market, which is making it tough for me to deploy capital, or whether it really is just an edgeless environment. The more I look through my charts, the more I am confident that it is better to stay highly selective and underinvested.

Columnist Conversations

The symmetry is holding up in MCD.  Target 1 is 163.34 if we continue to hold above here!  ...
As far as TSLA is concerned, I still have a higher target above the market at the 409 area.  I stated in ...
The TLT setup discussed in my last commentary is a bust. Key support was violated and it violated the recent l...
BBY is getting smoked this mornings(weak forecast).  The stock is off 8% after opening the session with a...



News Breaks

Powered by


Except as otherwise indicated, quotes are delayed. Quotes delayed at least 20 minutes for all exchanges. Market Data provided by Interactive Data. Company fundamental data provided by Morningstar. Earnings and ratings provided by Zacks. Mutual fund data provided by Valueline. ETF data provided by Lipper. Powered and implemented by Interactive Data Managed Solutions.

TheStreet Ratings updates stock ratings daily. However, if no rating change occurs, the data on this page does not update. The data does update after 90 days if no rating change occurs within that time period.

IDC calculates the Market Cap for the basic symbol to include common shares only. Year-to-date mutual fund returns are calculated on a monthly basis by Value Line and posted mid-month.