The bears are seriously squandering an unbelievable opportunity to squash the bulls and inject a fresh round of fear in this market.
Instead, the bulls are showing resilience at the 50-day moving average and not giving a rip about the previous three days of selling.
At this point, I wouldn’t be surprised to see October finish, yet again, in positive territory. That’s just what the bulls do… they live to own the bears. The bears think they have something, and the bulls let them take the lead just for a little bit before squeezing them out of their positions.
It is the same song, except we are on verse 3,257. They fall for it every time.
But nonetheless, your faithful trading servant is here to provide you with my bearish watch-list as I do every week. I’ve had to take a ton of stocks off the list, not because they reversed hard and ran higher, but because the bears just absolutely destroyed them. Take MCHP, PENN, and CBRE for example. All decimated by the bears. There’s no trade setup there any longer with them, and should be discarded. In the meantime, check out Weight Watchers (WTW) – starting a breakdown of its own, after violating a key trend-line off of the March lows.
Here’s the bearish swing-trading watch-list:
