Tuesday, August 30, 2011

Indices closed UP .18% to .55%.....Green back to back 3 day's....NICE !!!!

Today Indices should have tanked as many economic news were negative. Consumer confidence index fell sharply to 44.5, lowest level since April 2009....we all know very well what happened in April 09...market found a bottom ?

Gold Jumped $38.20 closing @ $1829.80

VIX closed UP 1.89% @ 32.89...this went UP while market closed UP ? Fear is in vogue....

SO..we have to be impressed with indices closing green today.....being three days in a row

Fed minutes are being viewed as pro-active to give economy a helping hand.....

BUT all this does not mean that CAUTIONARY strategy not to be taken....I have reduced my exposure in this environment to 52% & have 3 stocks in my portfolio with Gold as my main anchor...

Internals of the market were positive.....

New 52 wk high were in the lead, 39 in NYSE & 23 in Nasdaq

One big positive today was, that volume was higher than yesterday......

BUT leave it to HFT, to see what they will do on Wednesday ?

Stocks which were UP 3% or more included BIDU,NFLX,
RVBD,MPEL,AG,JDSU,CIEN,FNSR,WYNN,RIMM,
GLD,PHYS.......

AH Futures Down

AH Asian Markets Down

AH Oil Down

AH Gold UP

BLOG does NOT give buy or sell.

PS...There will be no post on Wednesday, as i will be busy with friends & relatives to celebrate end of Ramadhan.Its known as EID which starts with morning prayer in a mosque, then day spent with friends & family.

Saleem

16 comments:

stocktrader_1996 said...

Hi Saleem,

Have a wonderful day tomorrow with family and friends! :)

Stocktrader

Michael said...

Saleem,

Enjoy EID with your family and friend! Hope your health will be better after EID.

Michael

c said...

S

I second that you should enjoy family and friends
and your holiday

Peace and joy to all
C

c said...

To ALL

CAT is rocking again

Get some next stop is $$100

EVEP is on it way to a new high

My BIDU is very good

best of luck to all

Michael said...

Hi C,

Market seems in consolidated state now. It may want to see the job number before deciding to move up or down. Your CAT is looking good.

Michael

stocktrader_1996 said...

Hey guys,

I think it's becoming fairly obvious that the early-August slowdown was a temporary pause rather than the start of a serious downtrend. The economy may be sluggish, but it's not crashing. In this kind of environment, the good companies can still do well.

Looking forward to my buying power on Friday...

Stocktrader

Michael said...

Hi Stocktrader,

Thanks for your comment on the market. You did very well with the down turn with some shorts and GOLD. What do you think will be a good buy now? Thanks.

Michael

stocktrader_1996 said...

Hi Michael,

The long positions I had for the last week (selling yesterday) were BAC, KOG, AAPL, COH, CLF, ACI and RVBD.

I was very pleased with how they performed during the upswing, and will look to add some of those back along with potentially other ideas I have like AGU, ULTA, and VMW.

Stocktrader

Michael said...

Stocktrader,

Thanks for the list. VMW had a big run from 76s to 85s. I think it needs to consolidate before moving higher. AGU pulled back a little bit. That is good.

Michael

stocktrader_1996 said...

Hey Michael,

Definitely I wouldn't chase VMW here--it's just on my list :)

Also, I'll probably look at ETN for industrial exposure.

Stocktrader

c said...

Stocktrader

I like ETN here

You are also listing some power house stocks! WooHoo

Lok sharp at T on NO merger news and BIDU news on China trading
APPLE on todays news is a buy ?

this is all my .02 cents

stocktrader_1996 said...

Hey c,

I like my growth stocks :). Since I follow them closely, they are definitely the ones with which I am most comfortable.

I'm not smart enough to game the resolution of T nor the intentions of the Chinese with BIDU so I will stay away from those. I will, however, be looking to reacquire AAPL on this pullback. The competitive concerns have merit, but the stock is cheap enough to perform well for a long time to come still. QCOM is also a good alternative for more generic smartphone/tablet exposure as it is gaining market share with both AAPL and the android phones.

I am starting to think the E in the P/Es will only be only slightly weaker than expected, so finding cheap, well-run industrials like ETN should work out nicely in my opinion.

This is a tough market, but the good companies are starting to outperform the averages, which is an indication of market health. There is probably one more big selloff day lurking somewhere, so that would be the opportunity to add exposure to the good names.

Good luck!

Stocktrader

c said...

Stocktrader

Our are A- OK

thanks for your reply

food for thought

I also like QCOM

Stocks100 said...

Hi C, Michael & Stocktrader,

Thanks for your greetings !!!!

It is a blessing to have good friends like you all.

Saleem

Michael said...

Saleem,

Welcome back! Hope you feel better after an important Holiday.

How do you read market's action today? It seems wanting to move higher, but a consolidation will be needed. I think market has calmed down a lot, not in a panic mode like last week/month.

Michael

Stocks100 said...

Hi Michael,

Thanks for your good wishes for my health, I am almost 75% improved.

Read my analysis which i am working on now.

Saleem