Conventional wisdom was telling investors to be cautious of the early-mid December pullback (prior to the Santa rally). Well, throw that out the window. Apparently Santa came early and may intend to stay late.
Last week, the major stock market indices surged, with the S&P 500 Index (INDEXSP:.INX) tacking on over 3 percent and the Nasdaq Composite (INDEXNASDAQ:.IXIC) nearly 4 percent.
We are clearly overbought here but capital flows and price action have been relentless since the election in early November. No doubt we’ll get that pullback soon, but will it be a percent or two… or more. Tough to say, especially as seasonality tends to see an upswing from mid-December to year-end (see chart below).
This week’s link-fest looks at some top trading and investing blogs to provide further insight into the market rally, what to look for, and what sectors are doing what. Oh, and few interesting bites of investing news.
Around The Web… “Top Trading Links”: When Bulls Rush In
MARKET NEWS & INSIGHTS
The Santa Rally – Charlie Bilello
The path of persistence – Trader Feed
ETFs are taking over the market – Financial Times
Dow Theory is not about buy and sell signals – All Star Charts
Meet the crown jewel of the cloud revolution – Capital Market Labs
The beauty of old ideas – Aleph Blog
Banks are testing a key breakout confluence – Kimble Charting Solutions
News and Research
Sugar Pills – The Reformed Broker
The CRISPR patent battle is now underway in court – Stat News
Study: Twitter influences investor behavior – The Conversation
Helpful reading tips – Patrick O’Shaughnessy
You are what you read – Adam H Grimes
The Challenges of Artificial Intelligence – Gartner
There is a positive feedback loop between scientific and technological progress – World Economic Forum
Check back every weekend for more links to some of the best trading blogs and investing research. Thanks for reading “Top Trading Links”!
Twitter: @ATMcharts
Any opinions expressed herein are solely those of the author and do not in any way represent the views or opinions of any other person or entity.
