|  | | | 
|  | Furious Rally | | | Earnings Season | | | Happy 4th of July |  | |
Fellow Investor,
The stock market has put together a furious rally to end the second quarter. The S&P 500 took out two important resistance levels at 1,280 and 1,301. It is currently up against yet another resistance point at 1,320. TradeMaster's Jason Cimpl thinks we hit 1335 before a pull back, and told his subscribers this morning that he too thinks a pull back is near.
It's interesting to note how quickly the mood shifted from bearish to bullish. The Greek debt situation suddenly became manageable, Bank of America (NYSE:BAC) settled a huge number of mortgage put-back issues for $9 billion, and the drumbeat of a stronger second half of the year was quite loud.
Financials, technology and energy stocks have been out in front of this relief rally. These stocks were also leading the recent declines, so we can certainly conclude that short-covering has been an important aspect of the recent move higher.
It's easy to imagine that traders would not want to be short heading into 2Q earnings season. Even though there is skepticism that earnings can continue to grow at such string pace, the reality is that earnings have been growing steadily. It would not be wise to simply assume that earnings (and guidance) will be poor for the second quarter.
| Special opportunity, article continues below.
| The One Oil Company Paying Shareholders a 10X Bonus Dividend
Gas prices are nearing all-time highs. While the national average hovers around $3.50, some parts of the U.S. are paying upwards of $4.50 and $4.80 and even $4.99 in some parts of California.
You would think Big Oil would be flush with money. You'd think they would be paying fat dividends.
Sadly, this is not the case. Exxon-Mobil, Chevron, ConocoPhilips, even beleaguered BP are paying only 2 to 4% yields: certainly not sharing the wealth by any stretch of the imagination.
But there's one oil sector company paying an unpublished dividend up to 10 times the published dividend. Wall Street "banksters" have cashed in on this payday for years. Now it's your turn.
Click here for the full story on this oil sector cash cow. |
|
****While we have seen some weak earnings reports over the last two weeks, most notably from Micron Technology (NYSE:MU) and Oracle (Nasdaq:ORCL), we've also gotten solid reports from FedEx (NYSE:FDX) and Nike (NYSE:NKE).
I realize that doesn't help much. But it shows why shorts might cover their positions ahead of earnings -- there's just no telling how earnings will come in. (Though if I had to guess, I would say that earnings will be solid and companies will talk about a stronger second half.)
In any event, earnings season kicks off on July 11. I don't expect much more upside before then. But I would point out that the mood can easily shift back to bearish just as quickly as it went bullish a few days ago.
*****I'm going to keep today's letter a little short. I'm sure many of you are getting started on your Independence Day holiday a little early. Have a great holiday, and if you're driving, please be careful out there.
I'll talk to you again on Tuesday...
*****As always, feel free to write me anytime at ianwyatt@wyattresearch.com
Happy 4th of July!
| | | Follow Daily Profit Editor Ian Wyatt on Twitter:
| Funding an American Retirement
Low interest rates are penalizing savers and jeopardizing your retirement plan. Find out how to build your nest egg regardless of market direction. | | Is Your Win Rate 90%?
If you're not winning on 90% of your investments we can help. In the last 2 years we've had 32 paydays out of 37 stocks, averaging 12.5% profit every 90 days. | | The 8.2% Bank
With most banks paying a paltry 1% or less it's hard to stay ahead of inflation, let alone make a buck. One small bank in Manhattan rewards investors with an outsized yield. |
| |  | To read past issues of Daily Profit or check out additional articles go to www.WyattResearch.com You can also reach me at editorial@dailyprofit.com with questions and comments. To stop receiving Daily Profit click here for the subscription preference center.
You are subscribed with the following email address: ignoble.experiment@arconati.us For customer service questions or comments, contact us at service@wyattresearch.com.
We don't sell our readers names. You can review our privacy policy here.
If you believe this communication to be a mistake or unsolicited, please e-mail abuse@bfpnewsletters.com with details regarding your situation, and we will be sure to promptly investigate your situation.
Disclaimer & Important Information
24/7 Investor, Wyatt Investment Research, and Daily Profit are owned and published by Business Financial Publishing, LLC of Burlington, Vt. and Washington D.C. Business Financial Publishing is neither a registered investment adviser nor a broker/dealer.
Readers are advised that this electronic publication is issued solely for information purposes and should not to be construed as an offer to sell or the solicitation of an offer to buy any security.
The views expressed herein are based upon our analysis of the issuer's public disclosures, and assumes both their accuracy and completeness.
The opinions and statements included herein are based on sources (including the companies discussed and public sources) believed to be reliable and in good faith, but no representation or warranty, express or implied, is made as to their accuracy, completeness or correctness. We have not independently verified the information contained herein. This information is not intended to be used as the sole basis of any investment decisions, nor should it be construed as advice designed to meet the investment needs of any particular investor. We encourage you to consult with independent financial advisors with respect to any investment in the securities mentioned herein. You should review a complete information package on all companies, which should include, but not be limited to, the Company's annual report, quarterly reports, press releases and all regulatory filings. All information contained in Daily Profit should be independently verified with the subject company. The foregoing discussion contains statements which are based on current expectations, estimates and projections, and differences from such expectations, estimates and projections can be expected.
Daily Profit is intended only for residents of the United States. Daily Profit is not for residents of the United Kingdom and is not an approved publication by the Financial Services Authority in the UK.
The information contained in this newsletter is not intended to be a complete discussion of information regarding all of the current and/or intended business activities of the covered companies. Any opinions expressed in Daily Profit are statements of judgment as of the date of publication, are subject to change without further notice, and may not necessarily be reprinted in future publications or elsewhere.
 c/o Business Financial Publishing
65 Railroad Street
Richmond, VT 05477
PO Box 790 Copyright (c) 2011 Business Financial Publishing | | |
No comments:
Post a Comment
Keep a civil tongue.