A Good Market for the Quick

 | Jan 31, 2012 | 4:37 PM EST
  • Comment
  • Print Print
  • Print
Stock quotes in this article:


Over the last eight trading days, the S&P 500 has declined a grand total 0.13%, which is less than 2 points. Strength is being sold and weakness is being bought, and that keeps us pinned down. That can make for good trades if you are quick, but it doesn't allow for loading up on some hot momentum plays.

For four days now we have had negative action but don't quite seem to crack. Last Thursday we had steady selling all day, but in the last three days the dip-buyers have bailed us out just in the nick of time. With window-dressing pressures now over, will those dip-buyers be less zealous?

I'm told this is the first January ever in which the S&P500 did not have a day with a loss of more than 0.6%. It just goes to show how the market has not traded in "normal" fashion. When human beings are in control, there usually is some ebb and flow, and emotions shift, but in this market, which is largely machine driven, we never have the excess of emotions overcompensating in one direction then the other.

It makes for trickier trading, and you have to work harder to find opportunities, but they are still there. You have to manage them closely and stay on guard, but if you keep digging, you will be rewarded.

Amazon (AMZN) earnings are out, and revenue disappointed. That is giving us a little pressure after hours, but this is a market that keeps bending but not breaking. As long as those dip-buyers are out there, we'll be OK, but you have to wonder if they are losing some steam.

Have a good evening. I'll see you tomorrow.

Columnist Conversations

Foot Locker's (FL) less than expected quarterly earnings set off a round of selling the entire athletic appare...
View Chart »  View in New Window » Gold has met the first upside target off the last setup zon...



News Breaks

Powered by


Except as otherwise indicated, quotes are delayed. Quotes delayed at least 20 minutes for all exchanges. Market Data provided by Interactive Data. Company fundamental data provided by Morningstar. Earnings and ratings provided by Zacks. Mutual fund data provided by Valueline. ETF data provided by Lipper. Powered and implemented by Interactive Data Managed Solutions.

TheStreet Ratings updates stock ratings daily. However, if no rating change occurs, the data on this page does not update. The data does update after 90 days if no rating change occurs within that time period.

IDC calculates the Market Cap for the basic symbol to include common shares only. Year-to-date mutual fund returns are calculated on a monthly basis by Value Line and posted mid-month.