We had a little buying euphoria this morning, but things are now calming down and reversing. Financials are at day lows and energy and commodity stocks are showing a little bounce. I'm looking for a strong bounce in the oil group soon but have yet to start this trade. I'm monitoring it carefully and expect a fast and furious upside move to develop soon.
If we do get a big oil bounce, that is going to be painful for this market, especially if we don't get some upside leadership outside financials. What I'd really like to see is technology stocks stepping up, but they have been quite mixed and can't seem to get much going.
As I write, our recent bounce is showing some signs of stress, and I'm thinking about starting a short of some of the small-cap indices. Small-caps have outperformed for some reason that escapes me, and I think the likelihood is that they are going to lag the broader maker going forward.
Rev Shark Blog Volatility in Financials Continues 7/23/2008 11:31 AM EDT The moves in the sector, somewhat driven by short-covering, are dramatic.
Rev Shark Blog Drama Exists Underneath Calm Market 7/23/2008 10:25 AM EDT The indices haven't moved much today, but there is some interesting action in a variety of sectors.
Rev Shark Blog Looking for Leaders 7/23/2008 8:03 AM EDT If this bounce is to last, we need strength from a group other than financials.
James "Rev Shark" DePorre is the author of Invest Like a Shark: How a Deaf Guy with No Job and Limited Capital made a Fortune Investing in the Stock Market. He is founder and CEO of Shark Asset Management, an investment management firm, and he also operates sharkinvesting.com, an interactive online community that serves and educates active investors. DePorre holds business and law degrees from the University of Michigan, is a member of the Michigan Bar Association and a former tax attorney and CPA. He lives in Anna Maria Island, Fla., with his wife and two children. Under no circumstances does the information in this column represent a recommendation to buy or sell stocks. Rev Shark appreciates your feedback; click here.
RSS FEEDS
PODCASTS
