MLR - PMP 11/21/13

Published : November 21 2013 at 8:38 ET

The major market averages reversed and fell yesterday on lighter volume. So far, the pullback seems orderly with quantitative easing continuing to prop up markets despite the poor showing on the part of leading stocks. But then, this year has been unforgiving to leading stocks as when major market averages pull back just one or two percent, the leaders get fall typically 6-8% or more.

3-D stocks got hit hard after big price run-ups including Three-D Systems (DDD), Stratasys (SSYS), and Voxeljet (VJET). SSYS and VJET have given back all of their gains since their recent breakouts two weeks or so ago, with VJET diving 43% off of its Monday peak. Another hot, speculative name, Organovo (ONVO), also retraced most of its gains in the last two days, underscoring the important of taking profits especially after such a sharp move higher as we pointed out in prior reports. Such action also underscores the difficulty of this current market environment as leading stocks can have sharp upside moves followed by declines that see a good portion of profits disappear.

Precious metals got clocked continuing their downtrend. Many pundits have expected gold and silver to find their lows in the face of aggressive quantitative easing. This may still happen, though gold and silver have many cross currents which can push them higher or lower outside of any QE.

This information is provided by Virtue of Selfish Investing, LLC (VoSI) is issued solely for informational purposes and does not constitute an offer to sell or a solicitation of an offer to buy securities. Information contained herein is based on sources which we believe to be reliable but is not guaranteed by us as being accurate and does not purport to be a complete statement or summary of available data. VoSI reports are intended to alert VoSI members to technical developments in certain securities that may or may not be actionable, only, and are not intended as recommendations. Past performance is not a guarantee, nor is it necessarily indicative, of future results. Opinions expressed herein are statements of our judgment as of the publication date and are subject to change without notice. Entities including but not limited to VoSI, its members, officers, directors, employees, customers, agents, and affiliates may have a position, long or short, in the securities referred to herein, and/or other related securities, and may increase or decrease such position or take a contra position. Additional information is available upon written request. This publication is for clients of Virtue of Selfish Investing, LLC. Reproduction without written permission is strictly prohibited and will be prosecuted to the full extent of the law. ©2016 Virtue of Selfish Investing, LLC. All rights reserved.