Friends
It was a very quiet day for the markets with little volatility and volume. Stocks vacillated back and forth between positive and negative territory seemingly without any real catalyst for the day. Traders of course are focused on the fiscal cliff, but they also will be paying close attention to the employment reports we will be receiving over the next 3 days (ADP tomorrow, claims on Thursday and non-farm payrolls on Friday).
For the day, the Dow Jones Industrial Average was down 14 points to close at 12,951. The S&P 500 was down 2 points to finish the day at 1407. Gold was down $22 to trade at $1698 per ounce, while oil was down $.87 to trade at $88.42 per barrel WTI. On a technical basis we are watching 1420 (the 50 day moving average), 1409 (the 100 day moving average) and 1385 (the 200 day moving average) as points of interest pertaining to the S&P 500. You can see how traders are using these pivot points for quick trading moves.
We’ll continue to keep an eye on the economic calendar this week. Remember, through all the noise, our advice is to look for things that you would like to own and pick them off on selloffs, and sell things that don’t fit your strategy, as we look into 2013, on rallies. Whatever happens in the short run, fiscal cliff wise, is likely to be short lived. Don’t get sucked into making emotional decisions. Of course, for those of you who are clients of ours, that’s what we are here for.
Have a nice evening everyone.
