S&P 500: 1313.80
10-Yr Treasury: 3.445
Crude Oil: 105.40
Natural Gas 4.403
Gold (Troy Ounce) 1426.10
Most Active Stocks
SPDR S&P 500 (SPY)
Bank of America (BAC)
IShares Russell 2000 (IWM)
Power Shares QQQ (QQQ)
Last week we saw the market rise on very light volume. This is obviously a sign that the market can go in either direction. Bulls feel that buying could come in as a result of end of the quarter window dressing. There also has been some encouraging economic news, but bears feel there is too much global uncertainty to get aggressive on the long side.
As usual this week, global events will weigh in on the market direction. Aside from the obvious, look at the close of Asian markets for a better read on how we will fare on Monday.
On the positive side, both Apple (AAPL:NASDAQ) and IBM (IBM:NYSE) looked strong and could bolster technology stocks next week. The strength of the ServiceSource IPO (SREV:NASDAQ) also showed there is still some strength left in the new issue market. However, this is the time of year when PM’s sell their losers and buy the “darlings” just so they have the hot names on the books. This may give bottom fishers a reason for pause.
Despite the growing uncertainty in the dollar, it advanced Friday due to positive economic reports and the potential of a tightened monetary policy. Despite the good performance from the buck, many currency traders took positions in the Euro versus the dollar. Events in Portugal and Ireland could further influence the action this week.
Last week both gold and silver stocks continued their respective uptrend’s. Both metals fared well despite the dollar’s strong performance on Friday. The rally in both of these two precious metals seems to be fueled by speculators at this point. However, Silver has a psyche level of $40 to test and a break of that number could cause massive short covering. Gold is also trying to re-test the 52 week high. that it set on Thursday.
See our frequent entries on new issues and secondaries for more color.
Stocks to Watch:
Cameco Corporation (CCJ:NYSE) The uranium producer is by far the best real time indicator of what is going on in the Japan nuclear crisis. Keep it on you screen as an indicator.
Molycorp: (MCP:NYSE) Rare earth’s got hot again last week. MCP is the industry leader and if their is one rare earth stock for PM’s to buy, then this is probably the one.
Greenway Design (GDGI.PK) Absolutely ripped last week. Closed near the high last week and may have it’s eyes on the $2 handle.
Research In Motion (RIMM:NASDAQ) Crushed last week on earnings could see the reverse effect of window dressing. Many PM’s might want to keep this one off the books until April.
Silver Wheaton (SLW:NYSE) Just a simple way to play silver without buying the commodity or futures.
Netflix (NFLX:NASDAQ) The $300 target by Goldman Sachs smashed the shorts again. Some may re-short here or higher , but how much punishment can somebody take. A break of 232 could start another squeeze with buy stops being taken out.
Check back often for more market reports, penny stock alerts and updates on IPO’s and secondary offerings.
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