The market had a little something for everyone today.
The bulls had some strong action in Apple (AAPL), technology stocks and some speculative small-caps, while the bears had poor breadth and some weak action in the DJIA. The bulls grabbed a slight edge with an accumulation day on the Nasdaq and a good close, but it was an odd brew.
I suspect what was at play today is that we had the big-picture technicians looking for the low-volume, oversold bounce to falter, while the hot-money traders were hungry for more momentum and were willing to chase some things that had already run quite a bit like Facebook (FB) and AAPL.
A number of the stocks I've been discussing lately like Impac Mortgage Holding (IMH). Sarepta Therapeutics (SRPT), Nam Tai Electronics (NTE), Taser (TASR), Security National Financial (SNFCA) and Perion Network (PERI) did well, but I was more inclined to sell them down rather than add to them at this juncture. The market is in OK shape at this point but it is likely to be a major news headline from Europe or about the fiscal cliff that determines our next major move. The bulls are feeling pretty optimistic about the potential for more upside and it is understandable given how often government has ridden to the rescue.
Have a good evening. I'll see you tomorrow.
