Stocks advanced ahead of tomorrow’s conclusion of the most recent FOMC 2 day meeting. While most pundits and traders are not expecting any interest rate cuts it will be the language in the 2nd paragraph most will scrutinized. We are still without a follow-through type day we big volume pushing the market higher confirming a new market rally. Today’s action had enough price gains had volume been accompanying the gains would have confirmed a new market rally. Not that we would have had a lot of conviction with the long side of the market had we seen a follow-through day today. We are more likely witnessing a dead cat bounce and lower lowers await this market rather than higher highs.
While the FOMC meeting will be a big event for most tomorrow tonight we get AAPL’s earnings. Everyone seems to be fixated on the number of iPhones they shipped during the fourth quarter. Just a gut feel it does appear to be a tremendous amount of negativity surrounding tonight’s release of earnings. We’ll have to wait for the dust to settle, but for now AAPL is a dead stock to us and has been for quite some time.
January has turned out to be a bad month for stocks. We need a miracle out of AAPL and the FOMC this week to close the gap from the beginning of the year. This market is crazy enough we could very well see this thing turn on a dime. Nothing surprises, but the likelihood of a turnaround is small and not worth gambling on. We are not in a position of power when we refer to the long side of the market. Sure, there will be a few stocks that stand out. However, odds do not favor us finding big gainers in this type of market.
One thing we do know is the January effect is humming for penny stocks. We continue to see some nice morning runners. Day Trading isn’t for everyone, but there is an opportunity to juice your portfolio gains with well-timed (remember, cutting losses is an absolute must) trades. Proper money management across all disciplines will always lead to outperformance!
If you haven’t taken advantage of our CRASH offer act now as it will expire Friday. Don’t miss out on GAINS! Sign up today. Use coupon code CRASH when you register and you will get 30% all subscriptions. Hurry, this will not last much longer.
