This morning started off with a major gap and run to the downside after some sour unemployment news. Thereafter however, the market abruptly reversed and had a huge afternoon rally as news began spreading that Greece had “reached an agreement with EU/IMF inspectors on a 5 year austerity plan.”
Because of the large volume and strength of the close overall, we should expect further upside from here atleast in the short term (pending this Greece news is legitimate). There are many quality names out there to consider. Some stocks on my close watch list include AMZN, CRM, AAPL, TIF, UA, COH, ALLT, PLCM, NFLX, BIIB, CMG, WNR, HOC, CVI, and FTO. I am keeping stops tight just in case and easing into positions as they move up.
Stay frosty out there, have a great weekend, and I will see you back here next week.
| Trend | Nasdaq | S&P 500 | Russell 2000 |
|---|---|---|---|
| Long-Term | Up | Up | Up |
| Intermediate | Down | Down | Down |
| 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.
