|Written by L.A. Little|
|Thursday, 03 January 2013 06:40|
Big move this week - almost 4% higher in two days. That's enormous when you consider that all of last year only register about 13%. So should we expect the trampoline ride to continue upward? Well, not immediately but you have to be worried if you are a bear. All the hype surrounding the "fiscal cliff" did nothing more than separate you from your money as it was nothing but hype. Folks, the vast majority of the time markets move higher, not lower. It's just that when they do move lower they do so in a hurry so avoiding the full fledged drops is something to strive for but staying long is what you have to do most of the time even when it is uncomfortable.
With the big start to the year you have to expect some backing and filling but you also have to expect the buyers who are under-invested will be lying in wait looking to pick off positions at slightly lower prices. That will make this move very sticky to start with.
We have the employment numbers tomorrow and earnings season officially kicks off next week and really gets rolling the week afterwards. So there is plenty of reasons for some selling to materialize but I wouldn't count on it being a driving force near term.