TCM Notes : 8/20/09

• I have to keep reminding myself that extreme patience is required when waiting for a market to retrace. That said, this may be the shallowest pullback seen. Much like the elusive head and shoulders that faked out all the bears; might we be in the midst of the August/September pump fake? Imagine a train pulling off and folks are chasing it. The train starts to slow down and those chasing decide that since it's slowing down they may continue to benefit by walking. Then all of the sudden the conductor throttles up the diesels again and the train keeps a rollin'. And now the crowd that thought they were smart to walk are now running like hell to catch that train! Such is the situation we find ourselves in with Mr. Market. And he loves to play games. Almost like when you go to let your friend in the car, and right as they reach for the handle you pull forward. That never gets old!