Tradewinds for Tuesday January 29th

Monday's market gave us the nice follow through to the upside days of last week to begin to solidify a new short term uptrend. Now before we too excited about that, lets remember that we still have hurricane force winds blowing in our face, but they are diminishing and more areas around the edges of the storm are starting to see some sunshine. To be real, of the 80 stocks and ETFs that I follow, 63 are in mild to severe long term downtrends. So caution is still the keyword. The short term bias is up, but don't get greedy out there.

Here are the ETFs and stocks that are sailing in calmer waters, and would be nice place to do some fishing: XHB, IYR, GLD, SLV, GDX, FXE, CSX, HERO, MOS, SLW, TRA, POT, CF.

Here are the ETFs and stocks that still have a ways to go, but can see some calm weather on the horizon: IYT, XLF, XLY, IJR, IWM, XLI, DIA, SMH, MDY, AKS, PCLN, GT, ACAS, BOOM, APH, C, DRYS, INTC, GLW.

I have down trend indicators for only three securities - Bonds, IEF where I have taken a short position, retail, RTH, which triggered a short term downtrend, but is still sailing out of the storm nicely, and CCC, a small cap stock.

Happy Sailing, and remember, Don't Ask Why.