Stock Market Summary Wednesday May 2nd 2012

Posted by Stephen Sutherland on Wed, May 02, 2012 @ 03:15 PM
describe the image

Yesterday's market action was neutral.

On day five of a new rally attempt, the Nasdaq bearishly reversed after being up as much as 1.3% intraday. It ended the session with a 0.13% gain. Trading volume came in above average.

On a positive note although the Nasdaq and S&P 600 both bearishly reversed both remain above their all important 50 day moving averages.

The global materials sector, India and Russia all outperformed the market. Leading stocks action was positive.

In summary even though the general market has been acting better lately, I'd still like to see a successful follow through sometime this week. A follow through is when one of the main indexes jumps over 1.7% on increased trading volume.

A follow through is not essential to confirm a new uptrend but they do provide a lot of weight and significance when they occur. Follow throughs with the highest chance of success occur on days four to seven of a new rally attempt. Today is day six.

 

Please note past performance should not be used as a guide to future performance, which is not guaranteed. Investing in the Funds should be considered a long-term investment. The value of the investment can go down as well as up and there is no guarantee that you will get back the amount you originally invested.

About ISACO

ISACO was established in 2001 by brothers Stephen and Paul Sutherland and is the first financially regulated firm to offer adventurous ISA and SIPP investors a unique personal investment service that shares on a daily basis our star-performing investor’s thoughts, personal insights and investment decisions.

Clients enjoy being informed throughout the year what ‘best of breed’ funds our premier investor currently owns, when he’s buying and when he’s moving into the safe harbour of cash – helping clients enjoy more control, manage their portfolio more effectively and benefit from the potential of outstanding long-term returns.

For more information about ISACO and our Investment Guidance Service, please read our free brochure.

If you have any questions or thoughts on the points covered in this post, please leave a comment below or connect with us @ISACO_ on Twitter.

cta-large



Topics: Stock Market Summary