GDP disappoints but market ignores
Index & Sector performance 4/30/14 The Market: As you can see in the table below, the U.S. Q1 GDP number came in well below expectations. While Q1 was not expected to be a high growth quarter, clearly analysts did not expect a near negative number. Certainly the colder than expected weather could have and likely did play a role but on our opinion you cannot completely blame a miss like this on the weather. So why might traders and investors be willing to look past this data besides the weather? Possibly because a number like this allows the Fed to…
S&P 500 remains above the 50 DSMA
Index & Sector performance 4/7/14 The Market: Friday’s selling action continues on Monday as the S&P 500 index lost roughly 20 points. Today’s lows in the SPDR S&P 500 ETF (SPY) correlated nicely with previous levers of reaction and the 50 day SMA. If this short term support is lost we could see the cash index next targeting $1800 and even $1650-1700. In the meantime, aggressive traders could look to use today’s lows as a level to trade again on the long side for a bounce. Reporting EPS 4/8/14 Pre-Market: Only one name of note reporting EPS tomorrow…
US Government shuts down and gains open up
Index & Sector performance 10/01/13 The Market: The old market adage Buy the rumor and Sell the news is somewhat in affect here today with the markets reaction to the Government shutdown. As we noted in last night’s Game Plan, with the realization of the shutdown now in affect and the worry of the shutdown gone, short term longs would look for opportunity to trade a bounce. A gap up was quickly consolidated after roughly 30 minutes of trading and then pressed higher until 12:30 pm EST. After 12:30 there was a roll over which took the index down until…