While they are two of the most extended stocks on Wall Street, Exxon Mobil Corporation (NYSE:XOM) and Chevron Corporation (NYSE:CVX) continue to power higher today. Both stocks are trading up about 0.75% on the day, adding to massive recent gains. While both stocks look extended and ready to short, in this light volume environment, they show no signs of stopping. Many major leaders in the Dow Jones Industrial Average are continuing to power higher over key levels. International Business Machines Corp. (NYSE:IBM) reports earnings today and has moved above the major $150.00 level. The stock is currently trading at $150.90, +0.90 (+0.60%). IBM is expected to report earnings of $4.15. Earnings should meet or beat expectations but much of this is already factored in. The stock has a high chance of selling off on earnings today but caution must be used. Apple also reports earnings today. These should be very good, especially after Steve Jobs announced he was taking a leave of absence. AAPL would have never released this news the day before earnings unless earnings were going to be spectacular.
Through all this mess of earnings, economic news and Federal Reserve propping, the markets are holding slightly higher with a weak Dollar. All eyes are now on earnings and will react accordingly.
Gareth Soloway
InTheMoneyStocks.com
