It had to finally happen, the DOW blew through 8125 and was up over 200 points at one point today on positive news out of the FED that things are maybe bottoming and news/rumours they may have a deal to save Chrysler. It closed up 168 when all things washed out at 8185.
The market seems to be running on this "worst is over" mantra and all sectors seem to be reaping the benefits from banking stocks to uranium. Now the question is will 8125 act as a support and carry the market into new bear market rally mode.
My biggest caveat is that it is almost the "Sell in May and go away" time and "almost" every year it has held true. The one time I thought for sure it would hold true was the summer after the tech crash in 2002 and it turned out to be the biggest mistake I made as the tech market came off a nasty bottom and stocks like RIM were on sale for $17-20 and the promptly went up 5 times plus in the next year so I will not be taking my eye off the ball this summer. History has a habit of repeating itself and this could be one of those times.
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