The good news is the S&P500 officially ended its 6 week losing streak this week. The bad news is you could barely notice, given the fact it closed higher by less than 1 point compared to last week. The fact remains though that this week was the first step in establishing a base. More importantly is that the market held above its March lows and bounced with a “bend but don’t break” mentality. While we are no means out of the woods, after a 6 week losing streak, we’ll consider this week a moral victory.
The initial enthusiasm that led to the markets higher open today was due to new developments in the Greek debt crisis that the market viewed as positive. However, that excitement soon waned as U.S. consumer sentiment came in below expectations and helped pull the markets back, even as the conference boards leading indicators came in ahead of expectations. Throw in a horrible outlook from Research in Motion (RIMM) that led to a 22% decline for the stock, and the market was simply unable to sustain any type of positive price momentum.
Days like today remind us of why it is so great to trade penny stocks. We saw amazing liquidity in shares of Javulation Coffee (JCOF) after the stock broke out of a trading range past $0.70. Late in the afternoon, the company released news that pushed shares to a close at the high of day around $0.85, and we think JCOF should gap to at least around the $.90 level on Monday. Such a gap will offer us and our members a great profit opportunity, and we expect it to be very active and offer many trading opportunities. Other stocks that gave us gains and remain on our watch list are POTG, RATE, SNRY, EGOH, & ADHC. Have a great weekend traders
Did you know that you can watch Stockhaven trade live in real time?
Learn how to daytrade by watching someone else trade! Watchhimtrade.com is the only site that lets you look over the shoulder of a professional daytrader.
Watch this video now where he shows you how it’s possible to make 100% in just 5 minutes!