Here we go again, markets headed for new highs. The rally rolls on with the lousy jobs on Friday adding fuel to the run higher.
Market Report Bulls Running Wild
More new highs for the equity markets, nothing matters. Bad economic news markets go higher, lousy jobs they go higher.
Todd Horwitz Chief Strategist BubbaTrading.com
Be Prepared not Surprised.
More new highs for the equity markets, nothing matters. Bad economic news markets go higher, lousy jobs they go higher. Nothing matters but the price action of the market and that remains bullish.
These are the type of markets that create heartburn for many traders and investors. Many feel compelled to call tops which is always a fool’s game. If you always remember that markets are never wrong, but opinions often are it will help you follow price action and trends which will lead you in the path of least resistance.
Naturally, the options market has led this latest run with call buying continuing to lead the way. Bull put spreads have moved into the number two spot. There are a few bearish trades being made but appear to be more about selling credit. The bottom line is simple, markets will continue to rise until they don’t.
Tech remains the overall leader with bullish trades being made in AAPL, AMD, NVDA and SQ have been active. There was a lot a movement in the electric vehicle space and pot space. TSLA, NIO and TLRY going wild. On the bear side SPY, BBY, GME and FDX leading the way.
WallStreetBets remains a big story with their efforts to create short squeezes which appears to be the case in the cannabis stocks last week. They appeared to try and create a squeeze in Silver and quickly found it would not work, later they called fake news.
Trading is best when we remember to know our exits, stay away from news items. You must keep emotions and opinions out as we are witnessing right now. There is no reason for these markets to continue higher except that they are.
Todd “Bubba” Horwitz