With all of the excitement over the weekend, we come to Monday at bleh – nothing doin’!
Futures were up sharply just after the results were announced yesterday, and Asian markets rocketed but here, by the time the market opened at 9:30AM, things were more sedate.
Speculative stocks had some juice today - momentum stocks “broke out” of short term resistance in many instances (short term because the bases are no longer than a month or two following months and in some cases years of running up). The Nasdaq was relatively strong, as many of the more ‘exciting” stocks live there.
Dividend payers, the ones I watch to get a quick market glimpse, were mixed. MLP’s and preferreds were close to unchanged. Gold ended the day with a small move. Income plus trading, with some gold thrown in is where it’s at.
As this market rises slowly, I can’t help but think the eventual smackdown is coming. But in case it doesn’t, keep trading until you get an opportunity to buy something at the right price to hold long term, and consider taking a position. By being cautious, you can potentially make some money and protect yourself.
And as I’ve been saying, a risk management plan is key. Being a sniper is better in this market than being a machine gunner, if you get my drift.
Be careful out there.
At the time of this writing, I or my clients owned the following securities mentioned: PFF, AMLP, GLD, PHYS