Mid Day Trading Update – The Quest For All Time Highs… Again
Markets put in yet another fakeout to entice the bears deeper in the losing money hole. Futures started the day off weak and plunged lower off the open after the release of the Chicago PMI numbers exposing the worst reading since September of 2009. A news also took us down quickly below SPY $159 but after some consolidation, the markets have now pushed back into positive territory and may attack those all time highs.
Financials are again the weakest sector here, with Bank of America (NYSE: BAC), Citigroup (NYSE: C) & JP Morgan (NYSE: JPM) looking like shorts before the 10:30 AM reversal. A move over $159.50 on the SPY could ignite a fire under the bulls ass for this particular sector.
Apple (NASDAQ: AAPL) continued higher today as well as Google (NASDAQ: GOOG). Credit put spreads have been working out well since she brokeout last Friday and bulls are finally holding the rallies. The weekly calls paid out again today and all those who held overnight have been rewarded with higher options premiums on the call side.
The Credit Card sector is doing real well today with both Mastercard (NYSE: MA) & Visa (NYSE: V)up over 1%. Both earnings reports are scheduled for tomorrow so this could be buying in anticipation of solid earnings reports.
Keep your eyes focused on the SPY and watch for a break of yesterday’s highs. It’s possible the market just chops up until May begins.
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The following article is from one of our external contributors. It does not represent the opinion of Benzinga and has not been edited.