Thursday, January 6, 2011

Wednesday's Game Plan

The SPY closed on a strong note yesterday above its 2 days range and making a new high with XLF leading the way. There isnt any sector that could help the market rise at the moment other then the XLF or the financial sector. If strength persists in this sector expect the rise to continue today. However, on the other hand we have clear Dollar strength in currencies with the Euro falling over night. This weakness could be a stumbling block for todays rise, and in addition to this the dollar strength has hurt commodities and gold. The weakness in commodities could be another reason why the SPY might struggle to rise today.

I will continue to focus on the XLF sector and pay some attention to the XLK sector today. I will also pay attention to gold and how the weakness persists.

Longs:

DIS
COF
SNDK
BK
VLO
WFC
HIG
WAG
MET
MS

Breakouts:

LEN> 19.25
TOL>20.00
JNPR>38.00
HON>54.50
HPQ>44.65
NTAP>58.00
NTAP>67.50

Shorts:

ABX
NEM<57.50

No comments:

Post a Comment