MO MO MO ....Merry X-MAS!
The market finally delivered what might be the beginings of a Santa Claus rally. Tech shares particularly semiconductors were strong on the back of favorable economic news this morning. Breadth was solid on the Nasdaq at 19:11 positive and 10:6 positive for the NYSE. Volume however was light which can be explained by the lack of institutional sellers.
Most large institutions have completed their selling for 2005. Infact, should the market start taking off next week many large mutual funds will be forced to do a little buying to keep up with their bench marks. Large liquid names such as Microsoft and Cisco would seem like a logical place to go for these big boys of Wall Street, especially since these stocks have been weak recently.
Tomorrow is "Thin Friday" ( not to be confused with Good Friday or Fat Tuesday). On "Thin Friday" trading will be void of the large selling institutions. This will give the nimble MO MO players a nice opportunity to build on today's gains. They will most likely gravitate towards the small cap and micro cap sector. Should the market break to the upside on small cap strength, the large caps may follow early next week. Indeed the market would likely rally stronger then many expect. However, if the market fails to catch a little MO tomorrow, the year end rally will most likely fizzle out around Nasdaq 2255-2265 due to lack of institutional buying next week.
If You Held a Taser to Our head:
Bullish sentiment has decreased and Bearish sentiment has increased recently. The makings for a nice final push higher are in place. The market deserves at least an oversold rally before December 31st. Tomorrow's action will be more key than many would have you believe.
We are still very net long (with substantial exposure in large cap and small cap tech).
Hope you traded well.
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The analysis, opinions and/or forecasts expressed on the Kcap Trading Blog (âKTBâ) are for informational purposes only and should not be relied upon in making investment decisions. By using this site you agree that Kleiner Capital Management, LLC (âKCAPâ) and its principals are not liable for any action you take or any decision you make in reliance on any content. Please be aware that there is no commitment by KCAP to update the KTB. Furthermore, there may be inconsistent timing and follow up (if any) of posts.
None of the information on KTB is considered individualized investment advice and should not be construed as a recommendation or solicitation to purchase any securities. Reliance on information provided on KTB in no way establishes an advisor-client relationship. Investors are encouraged to seek the advice of a qualified investment professional prior to investing funds.
Clients of KCAP, as well as the firmâs principals and other employees, may be invested in securities discussed at KTB. However, any mention of said securities is not intended to influence market conditions for the security to the benefit of KCAP clients and/or principals and employees. KCAP is not affiliated with any advertisers on this site and does not endorse any of their content. For additional information and disclosures, please visit www.kleinercapital.com.
The information on KTB has been furnished from sources we consider to be reliable, but no guarantee is made with respect to accuracy.
___________________________
Most large institutions have completed their selling for 2005. Infact, should the market start taking off next week many large mutual funds will be forced to do a little buying to keep up with their bench marks. Large liquid names such as Microsoft and Cisco would seem like a logical place to go for these big boys of Wall Street, especially since these stocks have been weak recently.
Tomorrow is "Thin Friday" ( not to be confused with Good Friday or Fat Tuesday). On "Thin Friday" trading will be void of the large selling institutions. This will give the nimble MO MO players a nice opportunity to build on today's gains. They will most likely gravitate towards the small cap and micro cap sector. Should the market break to the upside on small cap strength, the large caps may follow early next week. Indeed the market would likely rally stronger then many expect. However, if the market fails to catch a little MO tomorrow, the year end rally will most likely fizzle out around Nasdaq 2255-2265 due to lack of institutional buying next week.
If You Held a Taser to Our head:
Bullish sentiment has decreased and Bearish sentiment has increased recently. The makings for a nice final push higher are in place. The market deserves at least an oversold rally before December 31st. Tomorrow's action will be more key than many would have you believe.
We are still very net long (with substantial exposure in large cap and small cap tech).
Hope you traded well.
___________________________________________________
The analysis, opinions and/or forecasts expressed on the Kcap Trading Blog (âKTBâ) are for informational purposes only and should not be relied upon in making investment decisions. By using this site you agree that Kleiner Capital Management, LLC (âKCAPâ) and its principals are not liable for any action you take or any decision you make in reliance on any content. Please be aware that there is no commitment by KCAP to update the KTB. Furthermore, there may be inconsistent timing and follow up (if any) of posts.
None of the information on KTB is considered individualized investment advice and should not be construed as a recommendation or solicitation to purchase any securities. Reliance on information provided on KTB in no way establishes an advisor-client relationship. Investors are encouraged to seek the advice of a qualified investment professional prior to investing funds.
Clients of KCAP, as well as the firmâs principals and other employees, may be invested in securities discussed at KTB. However, any mention of said securities is not intended to influence market conditions for the security to the benefit of KCAP clients and/or principals and employees. KCAP is not affiliated with any advertisers on this site and does not endorse any of their content. For additional information and disclosures, please visit www.kleinercapital.com.
The information on KTB has been furnished from sources we consider to be reliable, but no guarantee is made with respect to accuracy.
___________________________
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posted by Kleiner Capital Management, LLC. | 5:30 PM
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