Market Notes
When the major averages peak right after the open generally bodes ill for the rest of the day. Although the averages attempted a late day rally, they failed to even come close to their early morning highs and sunk going into the close. The SPX and the Nasdaq managed to stay above their intraday support levels but the Dow indexes, the DTX and the DJIA, closed below their respective support levels.
The market is sending a mixed message, and where it’s headed in the short-term is anyone’s guess. My view is that it would have no problem going higher if more of the bench warmers (i.e., the retail investor and hedge funds) could be enticed to join the party. Hey, coach! Are you listening?
New Long Portfolio
Today’s portfolio selections come from the following *Blue Plate Specials* lists: Breaking out to new highs (4), Breaking out to new highs on Lower Volume (1), Low-Priced Leaders (3), Speculative Leaders (1), and Darlings of the Day (1).
Today’s portfolio close-out
The 10/8 portfolio was closed out for a 3.1% gain, almost negating Friday’s loss. The biggest gainer was IXIA (XXIA) which popped last Friday on good earnings and an analyst upgrade.
The 10/11 portfolio will be closed out tomorrow.
*Important FYI*
Dr. Kris began these portfolios to illustrate how the stocks given in the daily *Blue Plate Specials*can be used to create or enhance your own stock portfolio. This was meant as a short-term exercise only and frankly Dr. Kris is looking forward to doing other things besides spending several hours a day managing portfolios. In particular, this website will shortly have an entirely new, streamlined look and a companion website focused mainly on investing strategies will be also be unveiled. I’m very excited about this and so I’ve decided that October 29 will be the last *Blue Plate Specials* portfolio.
[See 4/21/10 blog for further details on how these portfolios are constructed.]