Mid Day Trading Update – The Trend Is Your Friend

Markets are still holding a bullish sentiment here despite the weakness seen in the premarkets. We’re coming off the highs as we move into the afternoon session but we are still in all time high territory on the broad indexes. Many sectors are still showing buying steady buying activity and no signs of pulling back have been exposed on the tape.

The big news of the day is this $1.1 billion deal for Yahoo’s purchase of Tumblr. Tumblr was sort of a way to aggregate the blogging experience and simplify the process instead of using CMS systems such as WordPress & Joomla.

Priceline PCLN is the stock mover of the day, up about 25 points off of an analyst upgrade. The fresh price target set now is $900. This stock is on a near $130 run in the past month since breaking out around $710. The swing potential long here has been absurd, similar to that of Google’s GOOG run over $900. You have to imagine these things start to stall out up here but the gunshy traders who didn’t get in before are apparently still chasing after this money.

The Financials are pushing higher today yet again, providing even more ammo for the bulls to make the case that a significant pullback is not on the horizon for quite some time. Apple AAPL is also a decent mover today, putting in a 2% move higher up to the low $440′s.

For the traders out there, this is a great time to exercise the discipline of NOT trading! A trader’s ability to cut down losses during indecisive market environments is the one that comes out ahead off the next big picture move.

Make sure to register for our free webinar this evening at 4:30 PM to discuss Tape Reading and how it relates to day trading options.

Stay tuned for more updates!