OIL DROPS

I haven't had much of a chance to post over the last few days. Tonight's posting will be brief. I hope to be back on track next week. We are working on several project which are taking up a lot of time. The drop in oil caused most of the weakness in the market today. I like the drop in oil. It could open up another nice trade on APA, APC, and EOG. I would really like the market to pull back a little bit more...maybe 1080 on the S&P 500. There are a lot of stocks that have pulled back a bit, but they need to pull back a bit more to create better reward to risk. I don't know that I would buy into a breakout in the S&P 500. The last few times the S&P has broken out to a new high, it has gone into a correction a short time later. If we breakout in the S&P 500 tomorrow, I would look to begin a move back to cash. I like the pattern on IPI. I really like the reward to risk. You could place stops below the 50 day MA or the 200 day MA. The first upside target would be at around $29. Further weakness in the market or in commodities could bust this pattern...or at least delay it, but it is one of the few patterns that I like right now.