More new highs as this market keeps chugging along. Volume slipped on the session, but price keeps pushing higher. Banks were enjoying gains as positive comments out JPM sent futures higher this morning. Jobless claims were better than expected helping boost this market. Crude settled higher, but still remains below $50 a barrel. We won’t argue with this market as new highs continue here. However, taking big gains is something prudent investors will do. Hard to really come up with a negative about this market. New highs are contagious.
We are not under any illusions this market is fueled by central banks. Will this experiment with monetary policy go massively wrong? We have no idea when or if and therefore we will continue to work our process and take gains while we can. Do not sit on the sidelines and miss out. It is hard to recover from missing out on big gains. The same is true with big losses. Cut losses fast!
Weekly sentiment has flipped to the Bulls with 36% of AAII respondents indicating a bullish stance over the next 6 months. Bears dropped to 24%. Just one weeks worth of data certainly does not set a trend. It is something to consider when Bulls dominate Bears more than just one week. Neutral respondents still reign supreme.
Go out and have a great weekend.
