With earnings season now underway, the markets could be setting
up for some more near-term melt-up action. We saw a taste of that
today, but we did see the markets pull off the highs in the last
As I have been mentioning, we are sitting in very over-bought
territory. Back in my trading days, the strategy was simple. Buy
high, sell higher, but in the process keep moving up the trailing
stops on my longs, all the while keeping my sell-stop orders tight
in the event of a quick reversal lower. We are certainly seeing
more dividend stocks that are set to flash the green signal for us
to add them to our recommended list, but it is simply a question of
patience as we look for further opportunities. Our current list of
48 recommended names continues to grow nicely, as do the returns
for investors in those names.
) was a big earnings winner today, after the railroad operator
easily beat Q3 estimates. J.P. Morgan(
) and Intel(
) closed lower despite some early analyst accolades on both
companies' earnings reports. The big story once again today was
gold, with gold prices up over $23 an ounce in today's action.
Technically things still look fine for gold, but it is not a trade
without risk for those of you that are putting aggressive capital
to work. Whether you are buying the Gold ETF (
), or mining plays like Barrick Gold(
) and Newmont Mining(
) , the risk of quick reversals is there. If you are not a nimble
trader, I would take caution to being overly exposed to the red-hot
commodity space. It is inundated with traders that are getting in
and out on a daily basis.
Be sure to catch up with our latest watchlist updates from this
past weekend, as well as the latest "Learn to Be Rich" articles as
I'd like everyone to gain the money knowledge they need to navigate
through other parts of their financial life outside of investing.
And of course, check our our currently "Recommended" names on our
industry-leading Best Dividend Stocks list.
Be sure to visit our complete recommended list of the
Best Dividend Stocks
, as well as a detailed explanation of
our ratings system here