While the stock market was yet again hitting fresh record highs, Cyber Monday posted the biggest online sale day in the history of the world, with almost $7 billion in sales.
When not spiking 1% higher, the market is in a slow digestion mode, moving in a small intra-day range after the customary morning veil of weakness.
More of the same id the likely short term outlook for the market as we head into the time when the calls for a Santa Rally will emerge. More of the same means sideways action with a bias for upside, with some names, the most recent being bitcoin plays, soaring. Also earnings is not done yet and we could see some earnings backed moves this week.
A few names to watch are stocks on the brink of a breakout.
Two names I am in via calls for upside are $MSFT and $WMT. Boring names of the past, these two stocks broke out after their last earnings report. After digesting these breakouts, both again look poised to at least revisit their post-earnings highs in the short term. As such I am in $84 $MSFT calls and $97 $WMT calls.
Futures are slightly higher this morning. The 'FEAR' index remains a polar opposite... and would be more aptly named the who gives a shit index or the WGAS Index
Last week the VIX hit a new record low. We've seen these lows throughout 2017 and in each case the market has moved to new record highs afterwards.
There is no sense fighting the trend. And until their is a palpable change in this market, it's going to be more of the same.
See you in the chat room:
Here are some earnings charts for this week: