Stocks Turn Tail At Noon, Disappointing Traders; Overall Big Picture Still Looks Good.

Stocks started off well and everything seemed to be ok. Then those nasty sellers came in and knocked the indexes down for the rest of the day. The damage was very minimal as the worst of the damage was on the SP 600 with a .7% hit. The Nasdaq and SP 400 weren't even down .2%, and the Big Cap indexes finished in the green. Of course, it sounded worse on TV than it really was.

Volume was higher on both indexes. But the higher volume on the Nasdaq has to be taken into context. The volume was below the 50 dva and was lower than the volume on the day it broke out last week. Not too sure how that can be as bearish as some commentators have made it sound today. Today is also not a distribution day, since the Nasdaq was down less than .5%.

To me nothing new has changed since Thursday. There is no way I can spin anything out of the market action the past two days. It has simply been lazy and uneventful. I dont have a whole lot of new stock buys pulling back, have some leaders giving profit taking signals, and have a lot pulling back on low volume. So pretty normal action in a normal bull market.

I spent the day playing poker. Nothing exciting. But if you want to become a better trader, I recommend learning how to play poker. There are some great principles in poker that apply to trading. Neither one is gambling, if you have history on your side. Nothing like practice makes perfect. Phil Ivey isn't Phil Ivey for nothing. Same with Brunson, Chan, Helmuth, and the others. Same goes with ONeil, Livermore, Darvis, and every other great trader. All had to learn the hard knocks way. It is the effort you put in that will produce the reward you deserve. As is life, so is trading.

Too bad some, including me, have to learn the hard way. Sometimes, you have to go broke before you really can start to grow and learn. Life, relationships, poker, and stocks. The same psychology is involved in all endevors. All of these things are great challenges and can produce some HUGE rewards if we learn how to control our emotions, place proper bets, and do it with love. If you do that, you can't go wrong. If you however can not control emotions, go all in too often, dont cut your selfish losses, and hate pursuing the dream, you will go wrong and will go broke. You have to love everything you do. If you trade stocks or play poker to make money, you will fail.

I just recently went broke in an aspect of my personal life and let me tell you what--it was the greatest learning experience EVER!!

So no matter how hard it seems or long the road looks, just keep at it. You will reach the end of that wonderful road by following the trend and riding the wave of profits that trend produces. Sometimes it can seem like a lonesome journey but in the end the rewards of all the hard work will be the joy you can give others by helping them complete their dreams. Sometimes, the lonely road is the best road to take.

I have no clue what I just wrote and like always I am not proofreading it.

Have a great day trading on Tuesday and I shall be back tomorrow. Hopefully, there will be a little more excitement in the air. It really seems that there is a lazy and sloth like backdrop to the past two trading days. Maybe it is daylight savings time. Who knows? See you tomorrow.

New Swing Longs: SPIL WF ILA ICCA AP -- for more info on these longs go to Investors Paradise and go down to Josh Hayes and click on 'longs.'

New Swing Shorts: NONE

Longs Outperforming Market (number is % gain since initial purchase): UIC-63 HOM ERS0234 COGO-25 MFLX-205 BBD-125 STRL CIB-51 MTU BOOM-416 VTS GEMS-27 SMSI-58 ROK TMI-29 NMR-39 WNR FRGB NVDA-93 VIMC-82 ORA-62 MDCC-46 TRAD-38 AKAM-108 CVO-92 CTXS-45 HEIA-32 SBAC-43 KEX-35 IHS-38 UVN SAY-38 PNRG-64 NTAP QCC KNXA-61 TGC-150 SATC-25 ACTG-51 RNAI-62 GIGM-115 IIP-38 QUIK AMKR TVIA STTS CLG-121 AUY-111 ISV-38 SYKE RBAK-220 GNA NXG-74 TXCO-58 BAM BWNG-140 MERX-47 OPLK ECIL TOMO-26 SWW-30 NTO-52 IMMR LWSN A RADN-37 NRPH-108 RCNI TFSM-44 SVNT FWLT-65 LMLP-44 TTES FC SMF BLD-46 PRKR MDM PROS

Shorts Outperforming Market: NONE

Stocks On Radar Screen: KEM UQM ATML TIII

Long Term Winners Giving Sell/Partial Sell Signals: UIC PETS -- still holding some shares. These patterns are just HISTORICALLY significant areas to lock in some profits. UIC exhaustion gap and PETS another HUGE volume 50 dma crack. Now are they both done? No. Especially PETS. Look at what NWRE did in early Feb. With the kind of fundamental growth these two have, the current run is done but the stocks are definitely not done. If the growth slows then it is possible they are both done.

Blowup, Disaster Of The Day: RDCM -- 28% gain to 11% loss overnight. No big deal, it happens. I would rather have a 11% loss from buying right than a 65% loss from bottom fishing stocks like INHX.