The indices are showing some life this morning and breadth is particularly perky with better than two advancers for every one gainer. The only sector in the red is retail, which is suffering from negative news stories about mediocre sales.
Gold, biotech, oil and chips are leading to the upside. Gold is up strongly as the Chinese basically ignore the push by Paulson and Bernanke to float the yuan. Oil is up as Iran threatens to use oil supplies as a weapon. The strength in gold and oil do not bode well for the broader market, and weakness in retail seems to confirm that.
On the long side I'm looking at some of the small gold and silver miners. I'm looking to rebuild my QID hedge on strength but am staying patient to see if we get more of bounce first.
P.S. Will you be there when Cramer makes his next move?
Strong brands and companies with vast market exposure can help bolster your portfolio. Jim was able to lock in a 64% gain by buying Ingersoll-Rand at $13 and selling at $22.50. Action Alerts PLUS members were the first to see these moves. Were you among them? Get Free Access Today!
Rev Shark Blog No Visit From Santa 12/22/2006 3:57 PM EST Holiday ebullience can't lift stocks' spirits, but maybe next week.
Rev Shark Blog Bounce-Back Brewing? 12/22/2006 2:27 PM EST The listless action has the Shark chumming for a rebound.
At the time of publication, De Porre was long QID, although holdings can change at any time.
James "Rev Shark" DePorre is the founder and CEO of Shark Asset Management, an SEC-registered investment advisory firm. 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 to send him an email.
RSS FEEDS
PODCASTS
