By: Scott Redler

Today is one of those ever-important Fed Days. My gut tells me that the Fed finally removes the “extended period” language from their statement. That is the next logical step in the progression towards an exit strategy. If they do this, the market may get hit hard, but it would be an emotional, BUYABLE move.

Some leaders were hit yesterday, but money rotated into new sectors and the indices held up.

This is why you gotta love analysts–JP Morgan just upgraded General Electric (GE) to a momentum play after a three day move:

J.P. Morgan believes that, for the first time in over 10 years, the pieces are in place for earnings upside, a key to moving GE from value to momentum. They believe credit losses are peaking and should begin to decline in mid-2010. They still see normalized GE earnings of ~$2 in 2013 (note consensus for 2013 is at $1.72), though the trajectory, especially at GE Capital, is likely to be more front end loaded, a positive. They are a penny ahead of the Street for FY10 and at $1.30 for FY11 vs the $1.20 consensus; they note positive revisions would move GE decidedly into the momentum camp.

Here is the chart I put out on Friday:

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