Looking for Value in the Rally: Quick Take
NEW YORK ( TheStreet) -- TheStreet's Debra Borchardt spoke to Keith Bliss of Cuttone & Company on the floor of the New York Stock Exchange about the stock market correction that hasn't seem to come.
With every dip being bought, Borchardt asked, "can I still get in, and if I do get in, where do I go?"
Bliss thinks it would be best for investors to wait before entering the market. "We're bumping against key resistance points," he noted. So far, 1,647 and 1,670 in the S&P 500 (SPY) have proven to be very strong resistance points and he thinks we have break through those levels to continue the bull rally.
Bliss went on to say that "if you wait a month you can buy a nice basket of broad-based stocks and ride them up." But, if you enter now you are taking on some risks, noting that you will have to pick and choose what sectors to be in.Together, Borchardt and Bliss signaled that growth and tech are in favor, with defensives, which were once the leader, are now lagging behind. With the latest rotation apparent, Bliss would be focused on healthcare, utilities and consumer staples. "They're still good for a couple of points," he noted. -- By Bret Kentwell in New York.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV