THE SQUEEZE IS ON, page-3137

Playing the macro?

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From a weekly perspective, a great week. Last week 833, this week 937. It could have been bigger, yesterday close to 10.

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So what is happening? I feel PDN is playing the macro. Rising when the sector is rising, falling when it it is not looking great - on technicals only, fundamentals are another story.

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Personally I wrote last week that my average was 918. I got out yesterday at 980. Not because of PDN. I felt a consolidation is in play as U stocks has been rising last few days. My experience says that we back test lower levels, we consolidate. Its my usual play, after stocks rise 20 to 30%. Happy to buy higher though as like an uptrend. Many times when I say I have sold, many don't like it. I am a very small player. I have no influence. I cannot change markets. Best I can do is follow. And that too I may not get it right. So please, if possible, understand and spare me.

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So what may happen next week? All depends on CCJ. It has had 4 greens on a row. Yesterday, on another thread, I wrote that maybe CCJ will pull back, do the necessary consolidation. But it was not in the mood. Instead let ASX U stocks do the dirty work - consolidation. So not an unusual play today, only difference was I thought it will be initiated by US stocks rather than ASX stocks. But perfect play till now. Many stocks had risen 20 to 30% from its lows. It needed a consolidation. We got one. Now all depends on what US stocks have in mind. CCJ needs to hold 39/40 level. For a big/new highs, it needs to get over 45. That may not happen tonight. If it holds 39/40 level, we are doing good. I believe we may hold. But I will not be surprised if there is a small dip. Reason being if stocks don't consolidate, they fall big as well. so we want them to consolidate, then make next moves. But if CCJ is on rampage, we will accept it. Lets hope it happens that way. Enjoy your weekend and all the best.