Molycorp led the charge yesterday advancing almost 10% with more to come.
The general market is weakening as noted by the Dow which has started to soften up the first level of support in the 13,055 level. A break here that is sustained brings into play the two other levels we’ve been watching and would give more fuel to the bears for a move lower.
While the general market waffles a bit, it isn’t slowing down the momentum under the surface as noted by the rare earth stocks we’ve been watching the last week. Molycorp (MCP) took center stage yesterday, and while the stock hit initial profit targets, I took the opportunity to reallocate some capital into Avalon (AVL) which hasn’t yet started to run. This and more in today’s video.