The markets threw participants off today as what all expected to be mundane action turned into pre-fed buying that kept bulls and bears alike scratching their heads. The slightly less hawkish statement accompanying the rate hike was the fuel on the fire and sparked a buying frenzy, lasting through the final bell. We were running and gunning at Shark HQ, committing capital to some of our favorite names that have been consolidating and setting up awaiting a catalyst such as this to break out and shine.
The rally was broad as every major sector finished in the green led by gold, which advanced over 7% followed by select technology and oil. Breadth finished close to 5 1 positive in the NYSE and 4 1 in the NASDAQ. Volume wasn't amazing, but was decent enough to display sound accumulation.
In addition to a break of the recent down trend on very major average, a recapture of the 200 day on the S&P 500 and less hawkish fed comments, participants are grappling with the end of the quarter which may add steam to this train as performance anxiety creeps in and has fund managers scraping for last minute gains.
When it was all said and done we were net buyers on the day and like what we are seeing. We aren't going to be too quick to call this a dead cat bounce as we see many variables in play, which can contribute to higher stock prices.
We are relieved that the rate decision is out of the way and now must refocus our attention on earnings season. PALM was out after the close with decent numbers but poor guidance and has the stock trading lower. Subscribers should get into the habit of checking earnings dates on all stocks owned as well as prior to a purchase.
Today was definitely a refreshing change but was very exhausting. We hope you did all right today and if you did not participate, don't worry; there will be plenty of opportunities to find new stocks. That's what were here for.
Have a good evening
RevShark