Rick is currently the Editor-in-Chief of The ETF Options Trader and the Triple Wave Investor. At the age of 23, on the third options trade he had ever placed, Rick turned $1,800 into $22,000 in less than a week, when the company he bought became the target of a takeover. He admits it was a stroke of luck, but it was a memorable education as to the leverage that options can provide. He lives near Delray Beach, FL with his wife and three children.
In last week’s article, I pointed out three levels of resistance that I thought would keep the S&P in check over the next few months. I have to admit that so far, that prediction is looking good, but one week does not make a trend.
In last week’s article, I pointed out three levels of resistance that I thought would keep the S&P in check over the next few months. I have to admit that so far, that prediction is looking good, but one week does not make a trend.
Well, so far this year the S&P and Nasdaq are both in positive territory, the S&P by a little and the Nasdaq by 10 percent. It has been a strange path to get to this positive territory with a huge drop in January and February and then a monstrous rally since then.
I heard comedian Drew Hastings on the radio the other morning. Actually, I should say I heard Drew’s alter ego Jack Freeman on the radio the other morning. Drew does a parody of success gurus with the character of Jack Freeman.
Over the last few weeks, I have written several articles about asset allocation and how you can’t just buy and hold anymore.
Here we go again…The market had its best week since November. And just like that, there is chatter of light at the end of the tunnel.
One of the things I have been asked, and have seen in headlines over the last week, is whether or not this rally is for real. My answer? It’s too early to tell.
Earnings season kicked off last week and the results were mixed. Alcoa disappointed investors and quickly dropped 13 percent in the ensuing days. J.P. Morgan (NYSE:JPM) beat estimates, but continued to fall thanks to ongoing concerns about the banking industry as a whole (I know Andy Gordon is planning an article for tomorrow discussing the continuing problems in the banking industry, so you won’t want to miss that). Intel reported Thursday night and they met lowered expectations.
Thank goodness it is 2009. The fourth quarter was crazy for the market. The wild swings and incredible volatility were maddening. Most investors don’t want to be reminded of how bad the market was in 2008, but the reminders were apparent in their monthly statements. The good news is that it is over.