TCM Notes : 7/1/09

• Tuesday's action chalked up distribution days for the indices. 5 for the Dow, and 4 for the SP500 and Nasdaq. This adds further mystery to daily decisions as the SPY needs to see the 9dma retake the 20dma to the upside for the bulls to take a charge back at new highs.
• Energy may be showing the signs of rolling over in the short term as an outside reversal was spotted Tuesday by Dennis Gartman. He also confirmed our hesitation in DBA and DAG as the crop report was quite bearish for the softs. While DBA could have seen a potential short term hammer trade again, it may not last long. The gap island reversal weeks before a bearish crop report lets me know that I'm not in the "know." Also it shows that I don't have to be in the"know" because it's going to come out in the charts before, during, and after the news is disclosed.
• Back to energy ERY may have a move to 29 in the cards. These ultra shorts are looking to push higher again. Looking to DUG and possibly SCO as well.
• CBG has set up in a cup with handle pattern with a buy point of 9.97.
• All other ideas are still in play.