The financial sector has been the strongest performer so far in 2012 with XLF sporting a year-to-date gain of 8%. Bank of America (BAC) and Goldman Sacs (GS) have been the two stand outs out amongst big boy banks. Both are currently sitting on gains of 24% and 18%, respectively for 2012, after tanking throughout 2011. There is plenty of momentum behind the sector. Best of all, XLF is at key resistance level on the charts which means a breakout could see the banks make another leg higher. Continue reading
SH @ the close 1/19/12: 1,350 or 1,250? That’s the question
The market closed in positive territory for the 3rd time in as many days building on its impressive winning streak. Moreover, the VIX closed below 20 for the first time since July 25th of last year. We continue to see the inverse correlation between the VIX & S&P500 play out and have no reason to believe it won’t keep doing so. Continue reading
SH @ the bell 1/19/12: Why you want to be in the minority
Out of the 11 trading days so far in 2012 only 2 of them have resulted in red days for the S&P500. Over that same time the Russell 2000, Midcap 400, and technology sector (XLK) have finally broken above their October highs. Adding to the bullish backdrop is the VIX, which sits nears its lowest level in 5 months. Bottom line, the S&P500 isn’t the only index that has been extremely bullish lately, which is why it might be time get bearish. Continue reading
SH @ the close 1/18/12: VIX does about-face, S&P500 reaps rewards
We’ve talked about the inverse correlation that’s existed between the VIX and the S&P500 for sometime now and today it was in full effect. When the market first opened, the VIX found itself up 5.5% to 23.20. Consequently, the S&P500 initially opened lower. However, within the 30 minutes of trading the VIX gave up all of its gains and SPX moved into the black. As the day progressed, the VIX tumbled, sliding 6% and SPX notched its highest daily close since late July. Continue reading
An open letter to awesomepennystocks.com regarding NSRS
Dear Awesomepennystocks,
We get it. You’re the best. NSRS has proved everyone (us included) wrong in ever doubting your ability to pull out all the stunts in making sure a stock you’re promoting goes absurdly higher. But please, we’re begging you, can you please move on? We’d like a new play that’s fresh. What more do you have to prove? Continue reading