The major averages opened lower and closed slightly higher after Alcoa Inc. (AA) kicked off earnings season with lackluster results and a survey showed small business owners are still pessimistic about the economic recovery. Volume totals on the NYSE and on the Nasdaq exchange were reported higher when compared to Monday’s totals. Advancers were about even with decliners on the NYSE and Nasdaq exchange as the major averages spent the session trading between positive and negative territory. New 52-week highs trumped new lows on both exchanges yet again. There were 46 high-ranked companies from the CANSLIM.net Leaders List that made a new 52-week high and appeared on the CANSLIM.net BreakOuts Page, lower from the 61 issues that appeared on the prior session. A healthy crop of new leaders making new highs bodes well for any market rally, so the recent expansion in leadership has been a welcome post-holiday improvement.
Earings Season Begins & Stocks Begin Reacting:
After opening lower, the major averages turned positive in the early afternoon as investors looked past Alcoa’s disappointing results and the ominous survey from small business owners. The S&P 500 vaulted over +77% from a 12-year low in March 2009 after the economy bottomed and the Federal Reserve held rates near historic lows to spur economic growth. Until we get a clear undertanding on how companies fared last quarter one could easily expect this sloppy/sideways action to continue.
Market Action- Confirmed Rally:
The benchmark S&P 500 Index currently has 5 distribution days while the Nasdaq Composite and Dow Jones Industrial Average have 4 since the March 1, 2010 follow-though-day (FTD). These distribution days have not been damaging which is a welcomed sign. Trade accordingly.
Professional Money Management Services- Free Portfolio Review: Our skilled team of portfolio managers knows how to follow the rules of this fact-based investment system. If your portfolio is greater than $100,000 and you would like a free portfolio review, Click Here to get connected with one of our portfolio managers. ** Serious inquires only, please.
Host Of The #SmartMoneyCircle Podcast, Founder and CEO of 50 Park Investments. Adam provides weekly market updates to ChartYourTrade.com readers. He is a FORBES Contributor and is a frequent guest on all the major financial media outlets.
Claim Your Free Guide Today
Give us your email and we will give you the tools to change your life.
Disclaimer: All communication from ChartYourTrade is general in nature and for educational and general informational purposes only. Under no circumstance should it be considered personalized investment advice. All our work is general in nature and not specific to any one person. All the information on this site and/or that originates from us, or any of our partners or affiliates, is for educational and informational purposes only and is NOT a recommendation to buy or sell anything. To avoid any conflicts of interest, we do not have a working relationship with any of the companies mentioned in our work. Furthermore, we may have a long, short, or no position in any, or all, of the names that appear in our work and they may change at any time without notice. Investing and trading in capital markets or using margin carries a high level of risk and may not be suitable for all investors. Leverage can work against you as well as for you. Before you decide to invest or trade in capital markets you should carefully consider your investment objectives, level of experience, and risk appetite, among other factors. The possibility exists that you could sustain a loss of some, all, or more of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with capital markets, investing/trading, and seek specific investment advice from an independent financial advisor and other professionals. Remember all the information we provide is for educational and general informational purposes only and is subject to change without notice.
Stocks Edge Higher As Earnings Season Begins
Tuesday, April 13, 2010
Market Commentary:
The major averages opened lower and closed slightly higher after Alcoa Inc. (AA) kicked off earnings season with lackluster results and a survey showed small business owners are still pessimistic about the economic recovery. Volume totals on the NYSE and on the Nasdaq exchange were reported higher when compared to Monday’s totals. Advancers were about even with decliners on the NYSE and Nasdaq exchange as the major averages spent the session trading between positive and negative territory. New 52-week highs trumped new lows on both exchanges yet again. There were 46 high-ranked companies from the CANSLIM.net Leaders List that made a new 52-week high and appeared on the CANSLIM.net BreakOuts Page, lower from the 61 issues that appeared on the prior session. A healthy crop of new leaders making new highs bodes well for any market rally, so the recent expansion in leadership has been a welcome post-holiday improvement.
Earings Season Begins & Stocks Begin Reacting:
After opening lower, the major averages turned positive in the early afternoon as investors looked past Alcoa’s disappointing results and the ominous survey from small business owners. The S&P 500 vaulted over +77% from a 12-year low in March 2009 after the economy bottomed and the Federal Reserve held rates near historic lows to spur economic growth. Until we get a clear undertanding on how companies fared last quarter one could easily expect this sloppy/sideways action to continue.
Market Action- Confirmed Rally:
The benchmark S&P 500 Index currently has 5 distribution days while the Nasdaq Composite and Dow Jones Industrial Average have 4 since the March 1, 2010 follow-though-day (FTD). These distribution days have not been damaging which is a welcomed sign. Trade accordingly.
Professional Money Management Services- Free Portfolio Review:
Our skilled team of portfolio managers knows how to follow the rules of this fact-based investment system. If your portfolio is greater than $100,000 and you would like a free portfolio review, Click Here to get connected with one of our portfolio managers. ** Serious inquires only, please.
Here are more articles you may like
The Personality of Your Stocks
Mark Fishman says stocks have personalities, and having success as an A.M.P.D. trader means finding
Active Trading Versus Buy-and-Hold
Mark Fishman maintains multiple investment portfolios. He has a traditional buy-and-hold portfolio for long-term positions
Avoiding Outcome Bias
Adam Sarhan says, if your risk is properly managed, the result of any single trade
Adam Sarhan
Claim Your Free Guide Today
Give us your email and we will give you the tools to change your life.
FREE 7 DAY EMAIL COURSE
Learn about Early Entry Points & much more...
© ChartYourTrade | Contact us: website@chartyourtrade.com
Disclaimer: All communication from ChartYourTrade is general in nature and for educational and general informational purposes only. Under no circumstance should it be considered personalized investment advice. All our work is general in nature and not specific to any one person. All the information on this site and/or that originates from us, or any of our partners or affiliates, is for educational and informational purposes only and is NOT a recommendation to buy or sell anything. To avoid any conflicts of interest, we do not have a working relationship with any of the companies mentioned in our work. Furthermore, we may have a long, short, or no position in any, or all, of the names that appear in our work and they may change at any time without notice. Investing and trading in capital markets or using margin carries a high level of risk and may not be suitable for all investors. Leverage can work against you as well as for you. Before you decide to invest or trade in capital markets you should carefully consider your investment objectives, level of experience, and risk appetite, among other factors. The possibility exists that you could sustain a loss of some, all, or more of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with capital markets, investing/trading, and seek specific investment advice from an independent financial advisor and other professionals. Remember all the information we provide is for educational and general informational purposes only and is subject to change without notice.
Charts and Data are courtesy of MarketSmith Incorporated. Join MarketSmith here.
Terms of Service