Monday, March 30, 2009

GM: Does it Matter to the Market?

Today's big news is about GM. I'm not so sure the market reaction has much to do with GM though. We are in a position where if we want to move higher, a pullback was necessary. I'm not convinced that we're out of the woods yet with this market (and surely not with the economy).

I've been doing a little trading lately, but with the market whipping back and forth, it has made it hard to hold onto positions, especially if I set stops too tight.

Picked up some Mosiac (MOS) today on the heels of an analyst downgrade. This stock always has fast money behind it if the market rallies.

A couple of names I've added to the radar:

Diamond Offshore (DO). I used to be a Noble (NE) fan but may be shifting my favorite in the sector. They are both good companies though.

Raytheon (RTN). I think this stock has gotten to low based on "Obama will cut military spending." He's actually ramping up activity right now.

The market has bounced off its lows around 780 a couple of times today. If it breaks below that, I'd expect some more to the downside.

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