12:10pm (EST)
The Dow is on track for its best month in decades and the S&P 500 and Nasdaq are back at last October’s highs. We still have a couple of hours of trading left in the day but it’s time to start looking towards next week.
The bulk of earnings hit the market this week and will start to taper off from here on out. I’ve mentioned the bulls will be looking for the “next” catalyst to take us higher and maybe they have already found one. The talking heads were calling for a pullback and were preparing for a pullback before yesterday’s huge rally.
Now, there will be a pullback or drops here and there but keep the technicals and fundamentals in focus. We have come a long way from the March lows and just like the sell-off was overblown this rally could have legs that run too far to the upside as well. The point is there will be jostling between the bulls and bears but the back half of the year is looking pretty bullish.
Near term we can continue to enjoy the rally and there is more money on the sidelines than Wall Street thinks. Things are improving but unemployment is at double-digits and we still have to be careful of the land mines out there. We are taking quick profits and our trading strategies are tight. We are banking 100% gains and moving on to other trades.
This is still a trader’s market and nobody knows where the market will be at next Friday or next month. All we can do is make educated guesses and play what we are seeing. I’ll be back Sunday night with an update unless I’m late getting back in town. I try to do the Weekly Wrap every Sunday but I may skip this week. If so, I’ll see you Monday morning.
Ford (F, $7.91, up $0.52) continues to push $8 and is looking golden to hit $10 by year-end if not sooner.
Rick@MomentumOptionsTrading.com
Halftime Hits
Friday, July 31st, 2009
12:10pm (EST)
The Dow is on track for its best month in decades and the S&P 500 and Nasdaq are back at last October’s highs. We still have a couple of hours of trading left in the day but it’s time to start looking towards next week.
The bulk of earnings hit the market this week and will start to taper off from here on out. I’ve mentioned the bulls will be looking for the “next” catalyst to take us higher and maybe they have already found one. The talking heads were calling for a pullback and were preparing for a pullback before yesterday’s huge rally.
Now, there will be a pullback or drops here and there but keep the technicals and fundamentals in focus. We have come a long way from the March lows and just like the sell-off was overblown this rally could have legs that run too far to the upside as well. The point is there will be jostling between the bulls and bears but the back half of the year is looking pretty bullish.
Near term we can continue to enjoy the rally and there is more money on the sidelines than Wall Street thinks. Things are improving but unemployment is at double-digits and we still have to be careful of the land mines out there. We are taking quick profits and our trading strategies are tight. We are banking 100% gains and moving on to other trades.
This is still a trader’s market and nobody knows where the market will be at next Friday or next month. All we can do is make educated guesses and play what we are seeing. I’ll be back Sunday night with an update unless I’m late getting back in town. I try to do the Weekly Wrap every Sunday but I may skip this week. If so, I’ll see you Monday morning.
Ford (F, $7.91, up $0.52) continues to push $8 and is looking golden to hit $10 by year-end if not sooner.
Rick@MomentumOptionsTrading.com
Tags: Cash for Clunkers blog, Ford
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