This afternoon, leading aluminum producer Alcoa Corp (NYSE:AA) will report earnings after the closing bell. While Alcoa may not move the major stocks indexes much, it is an indication that the start of corporate earnings season is upon us. The trading volume over the past couple of weeks has been extremely light. Short term traders are looking forward to the increase in volume and volatility that is certain to hit the stock markets over the next month.
J.P. Morgan Chase & Co (NYSE:JPM) will report earnings on January 13, 2012 ahead of the opening bell. This stock is considered by many traders to be the best financial stock in the market at this time. It is JPM that could set the tone for next week. Traders must remember that stocks can do anything after they report earnings for the quarter, therefore, taking positions right before earnings can be very risky. As a rule it is always best to trade only the best chart pattern setups and avoid earnings plays.
Nicholas Santiago
InTheMoneyStocks.com
