Will This Recent Stock Market Breakout Have Legs?

So many breakouts over the last several months have failed in the leading stocks. The goal we adhere to is buying the strongest stocks when the market is healthy. Will we see a replay of the last time the Nasdaq made new highs? The pundits simply point to Google as proof of a Super Bull cycle.

On the positive side, volume in the stock market was higher across all indexes Friday. However volume is expected to be higher on an expiration day. Leading stocks showed some mixed performance as well but were overall stronger on the session. Time will tell…However I believe prudence should be adhered to. I believe that it probably a good idea to position size a bit more carefully and not get carried away by getting to heavily invested. It is better to make less money if the move proves to have legs.

My two cents…Trading in the stock is a marathon. There are times to be more aggressive and less aggressive.

Be Sociable, Share!

Leave a Reply

You can use these HTML tags

<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>