Last week, I edged a bit more into the bullish camp, but I honestly, never thought we’d see another 1.5%-plus week for the Dow. Heck: 1.8% for the Nasdaq!
Of course, the rate of this climb just can’t continue unless you think the market will move up 40% this year.
So, if it’s going to at least rest, where’s that likely to be? At this point, probably when it reaches the top of the uptrend channel.
As for specific stocks, it’s no surprise that FedEx (FDX) bounced back after the recent selloff. I think you can play it for a small trade north, as filling that gap looks very tempting.
In a different vein, Sirius XM Radio (SIRI) had an uneventful 2013 until it recently broke out. However, it moved a little too quickly, so I’d look to buy if it pulls back to support.
Can the market move up ANOTHER 1% next week? I’ll be back next Friday to check in.
Gary B. Smith joined FOX News Channel in 1999 and is currently a regular commentator on "Bulls & Bears," including his own segment called, "The Chartman."