Buy on dips

I apologize for not posting over the past 2 weeks.

Things to note: The DJIA bounced off of the Fib retracement I had at 10930, calling an end to the short bear retracement I'd called.

Since then, we've rallied - big time! All looks strong, but I'd caution against taking massive long positions here as a sell-off for whatever reason (probably profit taking) will most certainly ensue in the near future without many more points on the upside. If you do decide to go long, have some tight stops in place. The stochastics show an overbought market but given that we've broken to the upside, the range has been broken and we're now in a trending market. Thus, stochastics can't be trusted as much.

The strategy here is to buy on dips as I believe the risks to the downside are contained.