Stocks popped for a new leg up today, pushing SPX to close above 1650! Financials led the rally: GS +3.27%; MA +2.49%; AIG +3.23%. Recent high flyers include TSLA, which went from $55-and-change to today’s high of $97.12 in just 4 trading sessions! GOOG has also been ramping up non-stop, almost hitting $890 today. 3D-printing stocks have also faired well: both DDD and SSYS made new all-time highs today!
So, how high can this market go without a respite?! Well, I think the market is about to take one. SPX 1650 could be a psychological barrier, one of those "whole number" levels! Technically speaking, the market is toppy. I would really find it unlikely to go push higher without some consolidation. If it continues to push higher without a break, it’ll have to go parabolic! This bull market, though, is unlike the tech boom back in 2000. This time, the Dow and SPX are leading the way, which means the rally is broadly based. In fact, techs, so far, have been lagging!
One group that really took off today was the education and training services. ESI vaulted almost +18%! APOL gained more than +9%. COCO popped +8.46%. DV added +5.49%. Let’s keep our eyes on this group. I think a lot of shorts will need to cover their positions in these stocks!
We didn’t chase the market today. We’ll see how the market does tomorrow. If the market keeps going, I wouldn’t complain if this rally turns parabolically higher!
Good night and HappyTrading! ™