(Reader Brian emailed me today in response to yesterday’s market recap with oil analysis, letting me know about another ETF that focuses in on Oil Equipment and Services. Provided by Ishares, the ticker is IEZ and it is worth a look. I have included a chart below. Another popular oil ETF to consider would be OIH which tracks the oil services industry.)
Today the market ended with a bullish engulfment on lower volume. The lower volume and the fact that we did not eclipse last Friday’s intraday highs are the only two concerns associated with the price action. Nonetheless, it seems we are headed higher from here.
Lastly, a quick reminder, while many investors debate the use of stop losses, I am a big believer. Last week was a great reminder why as I had 20% of one my portfolios long Ebix (EBIX) stock as it crashed 20% in one hour off a Seeking Alpha article. Full story over at StockTradingToGo as the article of the week. My stop loss limited my downside to a measly 3%.
Stay frosty!
| Trend | Nasdaq | S&P 500 | Russell 2000 |
|---|---|---|---|
| Long-Term | Up | Up | Up |
| Intermediate | (+) Up | Up | Up |
| Short-term | Up | Up | Up |
(+) Indicates an upward reclassification today
(-) Indicates a downward reclassification today
Lat Indicates a Lateral trend
*** I’m simply using the indices’ relations to their 200, 50 and 10-day moving averages to tell me the long, intermediate and short-term trends, respectively.
