Stock Market
All comments and Stock Market Ananlysis are made by Guy Brumley. Guy has been trading the Stock Market daily since 1992.
Trading, evaluating stock prices and predictions
Stock Market Commentary 8-05-2009
The Dow managed a small gain, to close at 9320 on Tuesday. The market has ADP numbers at 7:15 Wednesday, before the open. Any number will be accepted as positive.
If it comes in worse than forecast, it will be blamed on the automotive shutdowns.
So, look for another up day. The consensus of market pundits are saying we are overbought, and are due for a pullback. When the majority is leaning in one direction, the market goes the other. I do not think the market is ready to let anyone in at a lower price.
The economic calendar would need a powerfully negative number to cause a pullback. It is not in the cards. The only thing that will shake this market has to be something out of left field. – Like the President or Geithner having a heart attack, or a bombing of a resort area, or oil pipeline. You get the idea.
In the meantime, enter stocks in the morning, and close positions at the end of each day.
Grab profits, and wait until this run shows fatigue.
The new high list is working again during the current run. Look at stocks like KIRK (2-15), and RINO (2 to 16).
Watch the volumes on the indexes and on individual stock to give early signs of changes.
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