Brett's Stock Market Pulse Friday, May 27, 2011 (Market Indexes Close Above 50-Day Moving Averages In Pre-Holiday Session)
Stocks traded positive for the entire session today (except the DJIA was negative for a short period of time) on pre-holiday type investor participation. Gains on the DJIA (DIA), S&P 500 (SPY), and Nasdaq Composite (QQQQ) ranged between 0.3% to 0.5%. The leader today was the Semiconductor Index (SOX) which rose 1.1%.
Brett's Stock Market Pulse Tuesday, May 17, 2011 (Victory at 50-Day?)
Since the late February correction the financial stocks have lagged the major stock indexes. On March 16, 2011 the major stock indexes all made a pivot low, however, the large financial stocks have not rallied as much with most other sectors. The highly popular Financial Select SPDR Fund(NYSE:XLF) was trading as low as $15.80 a share on March 16, 2011.
Warren Buffett’s letter to shareholders gives us a great view of the overall economy from a man who has his finger in every pot and his letter to investors gives us a very good insight as to how things are going in the various sectors his operations cover. Most importantly, what I have learned in my own 40 years or reading Mr.
Fibonacci Rules - Sometimes, the Old Ways Are the Best!
Since late November 2010, it has been the large major bank stocks that have taken over as the leading sector. Stocks such as J.P. Morgan Chase & Co.(NYSE:JPM), Wells Fargo & Co.(NYSE:WFC), Bank of America Corp.(NYSE:BAC), and Citigroup Inc.(NYSE:C) have soared higher by more than 20 percent in less than three months.