Daily Issue | may 27, 2016
Stocks shot higher on Tuesday and Wednesday in response to...well...nothing, really. There was no news catalyst on either day, or even a whiff of one in the air. Stocks had apparently just become oversold on some metaphysical level, and buyers swooped in to take advantage -- pushing the major indexes up around 2%. Volatility was crushed at the same time, though not nearly as much as you would expect.
Going into the rest of the spring and summer, my system suspects that regional banks, Internet services providers and small caps generally should find their place in the sun after a long absence. In today's Trader's Advantage, I have a few new trades to get you started. Then we'll look at the latest action in our Buy List, and I'm lifting some stops for next week.
Daily Issue | may 26, 2016
Stocks sleep-walked through another session, much as they did on Monday, finishing mostly with slight declines. Treasurys were stronger across the curve, the dollar sank, gold lost 0.3% and crude oil was mostly flat, finishing with an 0.2% drop.
Equities were mostly digesting the 2.5% gains registered in the prior two sessions. That is market jargon for describing a situation in which savvy investors who bought stocks when they were quite a bit cheaper appear to have obtained as much as they need for now, and will wait for further motivation to come. That motivation might be right around the corner, but at the very least a move higher as torrid as seen on Tuesday and Wednesday will take a breather almost every time.
Daily Issue | may 25, 2016
Stocks continued their rally today through the 2,090 level for the S&P, near their best levels in afternoon trading. Small caps lagged slightly, but still higher on the day. Gold drifted lower, and crude oil was higher.
Energy led the market higher amid the strength in oil, with materials hot on their heels. Utilities were the only major sector that traded lower.
Daily Issue | may 24, 2016
Stocks climbed higher throughout Tuesday's session despite a lack of any evident catalysts. April new home sales were surprisingly strong, but corporate earnings reports were mostly worse than expected, led by big misses at electronics retailer Best Buy (BBY) and footware discount chain DSW (DSW).
Tech, health care and financials led the way higher in a session that saw the S&P 500 Volatility Index (VIX) close just below 14.50, down 8.8%. In today's Trader's Advantage, I'll review the options profits we took after my earlier alert. Then we'll look at the latest happenings among our remaining trades — several of which saw gains far outpacing those of the major indexes.