Weekly Average Momentum Index (AMI) rankings of HSA, SSPP, RSP, SELECT, ETF, iETF, sETF have been posted at http://sites.google.com/site/ycprankings
Another strong week for stocks. The SP 500 index closed this week at 1404 up 2.43%, the Dow Jones Industrial Average gained 2.4%, and the Nasdaq composite index increased 2.24%.
With strong momenta, S&P 500 index and Dow Jones Industrial Average, and Nasdaq composite index broke their psychological barrier of 1400, 13000 and 3000 respectively the past week. S&P 500 index has gone up 11.7 % so fart this year. I have pointed out, in last week's blog, that the up trend is still intact as that the momentum of the index is still strong. However, when stocks advanced so strong and so fast, I do expect some kind of pull back or consolidation.
Apple started selling new iPad yesterday with much fanfare. Its stock price has been running up like crazy as everyone want to own Apple stocks. As can be seen in the weekly chart, Apple's stock price has been running above its trend lines the past 3 years. Every time it dipped to or below the trend line, it bounced back right away (I did a chart comparison between google and apple last year). Even when general market condition was deteriorating during August - November last year, Apple's stock price still ran strongly above the trend line and kept the up trend intact. After the exceptionally strong quarterly earning report in January this year, its stock price exploded and has been running up nonstop from 425 to 685. A 61% gain in a short 2 month time. We do not know how far Apple's stock price will keep going but again too much too soon is a reason for caution.
1 comment:
I cannot get over all the all the hysteria over apple the last couple of years. The stock has increased from only 5 dollars a share in 1998 to around 450 today. It was as high as seven hundred dollars in 2012. Now if thats not enough to make someone sell the stock and invest somewhere else I do not know what is.
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