Tim Biggam Analysis: Equity Markets Moving Higher Since Last Week

Market continues exploding higher
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In today's Traders Exclusive, Tim Biggam gives his take on where we stand given today's rally in light of a swift general market move higher since the middle of last week. Ebola fears have subsided for now, with negative headlines being shrugged off. It appears increasingly likely that QE will be phased out, so we will wait to see the market's reaction to that. Europe appears next in line for monetary easing, with Japan also a candidate. As the VIX has pulled back, we assume the S&P is in a range between roughly 1,900 and 2,000. Internet and technology names such as FB, AAPL, and BABA are catching bids and shaping up to be market leaders. Old big cap names like IBM and KO are moving in the opposite direction, and at some point there may be an opportunity to play a mean reversion trade with these. With big macro concerns still on the table, more general market volatility is to be expected.