Market Report: U.S. Markets Flex Their Muscle
By Bryan Bottarelli
In this article
The last time this happened, the U.S. markets suffered a 400-point sell-off.
Without question, it was yet another amazing display of strength in a market that's already at very lofty levels.
This position has now registered an 87% gain in just under two weeks - and it's looking to move even higher.
Market Report: U.S. Markets Flex Their Muscle
Overnight the Shanghai market lost 6.5%.
The last time this happened, the U.S. markets suffered a 400-point sell-off. And at the open of trading, the Dow gapped down 65 points in response to this downside catalyst.
But as the day progressed, the selling pressure did not snowball like last February. Rather, the U.S. markets shrugged off the International weakness and mounted a 70-point rally (as of this writing).
Without question, it was yet another amazing display of strength in a market that's already at very lofty levels.
So in response to this upside strength, I would like to highlight the oil play that Adam and I issued in last week's WOW missive - but Adam already covered that in his section. So I'll simply add that this position has now registered an 87% gain in just under two weeks - and it's looking to move even higher.
I would also look to highlight the “bottom feeding” real estate play that Adam and I issued yesterday in WOW - but I don't want to give this position away to readers who are not in our WOW service. So I'll just mention that this trade is up 17% in just one day.
Taken collectively, both positions offer you a fantastic way to ride the market's unrelenting upside in a very safe and logical manner.
Add into the equation the fact that the FOMC said that the slow growth in the first quarter was probably exaggerated (noting that they remained optimistic that growth would pickup as the year unfolds) and I wouldn't be surprised to see the market continue to move higher.
With nearly all of the FOMC members not convinced that price pressures were on a downward trend, the bears could be running for cover.
At least here in the near term…
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Bryan Bottarelli is the head trading tactician for the WaveStrength Group, and is a contributing editor for Taipan Financial News. Coming off the floor of the Chicago Board Options Exchange (CBOE), Bryan uses WaveStrength chart forecasting to develop wining options plays for his service called WaveStrength Options Weekly. Bryan is also the lead editor of BottarelliResearch, an elite membership service that he independently publishes himself.
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