A Perfect Confluence of Thanksgiving Week Positives Emerges

Here are seven factors the market can be thankful for as the holiday week kicks off.
Stocks quotes in this article: SPLK, DDOG, PING, INMD, NPTN, AUDC, SE, INSG

We have a perfect storm of positives to kick off the week.

  1. Positive China trade news
  2. Positive Thanksgiving week seasonality
  3. Solid technical pattern after a period of consolidation
  4. A high level of anticipatory bears
  5. Underinvested longs looking for exposure
  6. Stronger pockets of momentum
  7. Small-cap improvements.

So far the S&P500 has gone straight up from the open without any pullback. The biggest difficulty for many market participants is trying to put money to work. I have far too much cash and I'm chasing entry points trying to put it to work.

A good example of the momentum out there right now Splunk Inc. (SPLK) , which is building on a big move on Friday after a strong report. I'm playing Datadog Inc. (DDOG) and Ping Identity Holding Corp. (PING) , that are related.

InMode Ltd. (INMD) came back very nicely after a sharp selloff and my technical buy here on Monday is NeoPhotonics Corp. (NPTN) . A few other names on my radar are AudioCodes Ltd. (AUDC) , Sea Limited (SE) and Inseego Corp. (INSG) .

This price action is steamrolling the bears and causing some major FOMO (fear of missing out) among the bulls.

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At the time of publication, Rev Shark was long DDOG, PING, INMD, AUDC, SE and INSG.

TAGS: Investing | Small Cap | Stocks | Software & Services | Technology | Transportation | Real Money

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