Todd Harrison: Bank Stocks, Tech Stocks, and Headline Risk
Musings on what's important right now.
Here are my most recent thoughts on the market as of this morning, in no particular order:
We highlighted the action in the banks yesterday and again this morning (subscription required); so long as the piggies poke higher, the tape should follow.
With BKX (INDEXSP:BKX) 71.50 and S&P (INDEXSP:.INX) 1850 underfoot, the respective technical targets are around BKX 77 and S&P 1960.
Is that gospel? Nope; there is no such thing. It does, however, provide a context for risk management for those who spend their days managing money.
The bulls would feel a lot better if the transports were tagging along, but thus far they're not -- TRAN (INDEXDJX:DJT) 7600 is the level of lore there.
High-beta tech -- ex-Apple (NASDAQ:AAPL) and Amazon (NASDAQ:AMZN) -- trades firm as well.
You know what doesn't trade well? Twitter (NYSE:TWTR), again.
And market breadth is negative, which is a bit surprising given the tone.
Does headline risk remain? You bet it does. Unfortunately, China and Russia are probably closer to the beginning of their news cycles than the end.
Todd Harrison is the founder and Chief Executive Officer of Minyanville. Prior to his current role, Mr. Harrison was President and head trader at a $400 million dollar New York-based hedge fund. Todd welcomes your comments and/or feedback at email@example.com.
The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.
Copyright 2011 Minyanville Media, Inc. All Rights Reserved.
Daily Recap Newsletter