DE Trade Update
After a day and a half break for the market, DE is starting out strong this morning. It is once again bumping up on the $87 level where it has found resistance in the past. Two things are very positive for the trade.
1. DE held up very well given the market selloff on Friday and Monday. While the market managed steep loses over the fiscal cliff concerns, DE held on with only nominal losses.
2. DE has recaptured the 7 day moving average and now trades above.
Given these positive I continue to expect DE to break out in the near future. I am up slightly on the trade and will readjust my stopping point back to the 7 day moving average. In general, I have little expectation for the market into year end. I suspect things rise slightly with a pullback on the last day off the year, but volumes will be light and movements will most likely be moderate.