IRA Investing: Finally Making Money

It wasn't much, but finally obtaining a positive return this year feels better than losing money.

Last week the volatility was to the upside and most market sectors participated although the commodity-oriented companies continued to lead the way.

I haven't commented on politics in a while but, looking at the Presidential race, I find it interesting that the market seems to do better when Barrack Obama is having problems. As I have mentioned in the past, I am apprehensive about a Democratic victory in the fall because increasing marginal tax rates and capital gains rates will, I believe, reduce potential economic growth and specifically hurt the stock market. Now that Obama looks to be a mere mortal, I think the market can focus more on future earnings -- at least for now.

Rather than trying to outguess the political or economic future, I use sentiment indicators to gauge the current market environment. Those indicators weakened a bit last week but are still more positive than negative. ...