Back in the saddle after a week with Harry Potter and friends in Florida. The bounce from the Brexit provided and excellent trading opportunity and a chance for AIM investors to buy at lower prices.

This week saw significant rotation among industry groups. Leading the charge south were the following industy groups:

Building – Residential/Commercial
Retail – Restaruants
Computer – Networks
Internet – Network/Security Solutions
Medical – HMO/Managed Care

Trying to buck the trend north were:

Electrical – Parts/Distributers
Electronic Component – Semiconductor Manufacturer
Internet – Content
Auto/Truck – Original Equipment

The net was a further drop in the value of the High Growth Industry Group Relative Strength chart as it heads towards three year lows, indicating a correction is in the cards.

The 85 Index Accumulation – Distribution chart is also close to nose bleed as it approaches an overbought reading of 60+.

My Diamond Jim market timing indicator is still on a buy, but is always the last indicator to turn.

And, last but not least, the Score reading is once again above 70 telling us that we need to be selling calls on positions held and recording our AIM numbers near these highs and ringing the register.

All of the above point to a move south in the not too distant future, but then there is TINA. There Is No Alternative, and with 10 year interest rates below 1.4% last week, the stock market seems again to be the only game in town to make money.

So, perhaps a correction before the end of July, if TINA will allow, or just maybe a short dip becasue TINA will be there to help create a shallow bottom.