A Stock-Picker's Wish

 | Dec 09, 2011 | 4:46 PM EST  | Comments
  • Comment
  • Print Print
  • Print

Thursday's poor reaction to the European Central Bank had market players a bit worried about today's European summit meeting, but with expectations so low the fact that nothing much was accomplished turned out to be irrelevant. Frankly, I suspect that market participants are so tired of the constant focus on Europe that they were anxious to just ignore it for a while and focus on stock-picking instead.

While the point gain was quite good and breadth was around 5:1 positive, volume declined after a technical distribution day on Thursday. That isn't a good sign for sustained momentum, but the technical setup continues to look promising for an attack on overhead resistance at the 200-day simple moving average of the S&P 500 and the Nasdaq.

Overall conditions looks good for a Santa Claus rally, and it would be particularly helpful if Europe shut down for vacation and stopped jerking us around constantly. There are a lot of interesting stocks, and if they moved on their individual merits rather than on macroeconomic concerns, it would make for a much more enjoyable market environment.

I continue to feel that there are many underinvested market players, I'm very confident that there is a big group anxious to rack up relative performance in the last few weeks of trading. If we aren't hit with any major negative news flow out of Europe, I expect to see some chasing.

I'll be working on my shopping list this weekend and I'm optimistic that stock-picking may finally find favor once again.

Have a great weekend. I'll see you Monday.

Columnist Conversations

As you guys know, I do a lot of work with TD Ameritrade strategists...check out this stat re: BABA At TD Amer...
The action in CAG has been very volatile this week. On Wednesday the stock was dragged down in the earl...
the longer the wait for the baba opening the more the emotions are in play...that tactic from the old playbook...
The ghost of William Wallace can get back to sleep now that Scotland is staying in the UK. Mostly stocks shou...

BEST IDEAS

REAL MONEY'S BEST IDEAS

Columnist Tweets

BROKERAGE PARTNERS

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.