NEW YORK (TheStreet) -- The technical momentum for U.S. stocks has trumped overvalued equity fundamentals so far in 2013. We have seen better-than-expected earnings from the stocks I have profiled week to week in January. There has been an improving trend in weekly jobless claims. Technically, the weekly charts for some of the major equity averages are not yet technically overbought.
While my theme for 2013 is that stocks are a risky asset class, I have not yet called a market top.
It is difficult to call for a top in the stock market when nearly 90% of the companies I have profiled pre-earnings beat their Q4 EPS estimates. Next week I will profile another six Dow components, four home builders, Amazon (AMZN) and four other stocks that are important to track.
It's hard to be overly bearish with the four-week moving average for initial jobless claims poised to trend below the recessionary threshold of 350,000, as shown on the chart below, courtesy of dshort -- Advisor Perspectives. The four-week moving average is down to 351,750.
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