The market was weak early after gapping down, but after filling the gap from Monday’s gap up, the market bounced hard, re-testing resistance at the 1300 level of the S&P. Despite the potential dissolution of the government in Portgual, a civil war in Libya, violent protests in Syria, Bahrain and Yemen, and reports of high radiation from Japan, investors have decided this is a compelling area to buy dips. If that barrage of headlines can’t keep the market down, then it seems clear stocks want to go higher from this level. The process of getting back to highs may continue to be choppy, but we expect it to happen over the next couple months.
Even before the indices bounced, select stocks went green and never looked back. Two trade ideas from the T3Live.com Morning Call, Freeport-McMoRan Copper & Gold Inc. (FCX) and Baidu.com, Inc. (BIDU), were among the strongest stocks on the day. FCX finally extended out of its downtrend after poking its head through last week then consolidating nicely. BIDU exploded to new highs, gaining 4.23% on the day. Precious metals and miners also had a strong day, with silver blasting off to new highs once again, while gold is knocking on the door of highs.
For more market and stock commentary, watch the T3Live.com Daily Recap with Scott Redler, below.
*DISCLOSURE: Scott Redler is long AMZN, POT, JDSU, FCX, SOHU, NYX, LEI, SLV, GLD, VLO; Short SPY.
This material is being provided to you for educational purposes only. No information presented constitutes a recommendation by T3 LIVE or its affiliates to buy, sell or hold any security, financial product or instrument discussed therein or to engage in any specific investment strategy. The content neither is, nor should be construed as, an offer, or a solicitation of an offer, to buy, sell, or hold any securities. You are fully responsible for any investment decisions you make. Such decisions should be based solely on your evaluation of your financial circumstances, investment objectives, risk tolerance and liquidity needs. Visit the T3Live Homepage, Virtual Trading Floor, and Learn More About Us.
