A Dim Sum Morning

Much like dum sum in Chinatown on a weekend morning, the market this morning has something for everyone on which to nibble.

On the one hand, we have a name like TWTR (following-up on SNAP yesterday) smashing earnings and continuing its long-term turnaround for the better. GRUB is equally as impressive, acting more and more like an emerging growth leader. Meanwhile, a hot name like GOOS in recent weeks is finally cooling off via a sharp post-earnings gap down. 

Broadly speaking, the market opening bounce was swiftly rejected, sending the Dow down a few hundred points as I write this. Overall, we still expect some wild price swings, which would be part and parcel of an ongoing correction not yet completed. 

Thus, keeping long exposure limited likely remains correct, though that need not mean shorting is anything close to a slam-dunk, either. We have a few shorts on watch, though, and are always watching to see which names hold up well on the long side, too. 

One main key the rest of the day will be this: None of the major index charts have yet to breach the midpoint of their price range from the massive Tuesday reversal higher. Should that happen, I expect dip-buyers to scramble for the exit doors quickly and cause some shocks to the downside--Bulls simply must defend the midpoints of Tuesday's range.