Thursday, September 06, 2012

Stocks Rally!

$$ - Wow, nice rally on the market as the cup and handle patterns play out.  SP500 at levels last seen in May 2007 and the Nasdaq since November 2000.
Better economic news has been trickling in recently, and today it was an upbeat jobs report.  The ECB also planned to spend whatever it takes to save the Euro.
I've been wrong about where the market is heading for a few months after cashing out and lowering beta ahead of summer.  It looked brilliant after May's decline, but the market has recovered since then and made new highs.  So, while the low-beta stuff has actually done quite well, the cash is flat as the market surges.  
Now, I'm left trying to figure out next steps. I don't feel like chasing the rally.  We shall see what tomorrow brings with the unemployment numbers.  Next week is Apple's iPhone 5 and the Fed announcement.
With the recent economic data and rally in stocks, I don't think the Fed will do anything.

Stocks rally on jobs reports and ECB plan

Dow gains over 200 points, after upbeat job reports and ECB bond-buying announcement... Read more

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