Market Showing Signs it May Head Lower

by Sam Collins   06/29/09
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Nasdaq has completed a bullish reversal pattern following last week's bounce from its 50-day moving average and the breakout from the double-top at 1,780, the left side of which goes all the way back to early November.

And there are some emerging markets that have the same pattern: Australia, Brazil, Canada, China and Singapore, to name a few.

More Trader Alerts

With the domestic markets (except Nasdaq and the techs), the best trading strategy is to short or sell stocks on rallies. But long-term quality investors may want to focus their efforts in the emerging markets, where longer-term trends are in force and the predictability of further gains is high.

Today's Trading Landscape

Earnings to be reported include: Apollo Group (APOL) and H&R Block (HRB).

Economic reports due: Dallas Fed Production Index for June.

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Sam Collins is a registered, fee-based portfolio manager who may be contacted at samailc@cox.net. You can also check out an archive of his most recent market outlooks.

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