I Am One of the Underinvested Bulls Right Now

 | Sep 22, 2016 | 11:04 AM EDT
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The indices are following through and building on yesterday's gains, but the intensity of the buying is slowing. Breadth is extremely strong at nearly five to one positive, but you can sense the frustration among buyers that are hesitant to chase but anxious to put idle cash to work.

So often these rallies don't seem to produce very positive emotions. Part of that is due to the prevalence of high frequency trading and algorithms, but another big part of it is also due to the fact the market players are so often poorly positioned.

As I discussed yesterday, the technical pattern of the indices favored the bears going into the Fed meeting, which meant that there was likely some money on the sidelines. After the positive response to the Fed, it is very hard to chase this move and put more cash to work.

I'm one of those underinvested bulls myself and am digging hard to put money to work. I'm still inclined to recent favorites TPI Composites (TPIC) , Global Blood (GBT) and Acacia Communications (ACIA) , but am doing so incrementally.

Etsy (ETSY) , which I discussed yesterday, continues to develop well and I'm looking to add to that. I also still like biotechnology names Sarepta (SRPT) and Aratana (PETX) . A couple others I'm watching are Trillium (TRIL) and Galmed (GLMD) .

One chart that popped up on my screen this morning is Momo (MOMO) . It is spiked up and is now trading back down, but I'm watching to see if it can regain some momentum.

Precious metals are of interest and I have Gold Resources (GORO) at the top of my radar.

It is challenging to put cash to work, but I'll continue to dig.

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