MyHappyTrading's  Instablog

Stocks popped for a new leg up today, pushing SPX to close above 1650! Financials led the rally: GS +3.27%; MA +2.49%; AIG +3.23%. Recent high flyers include TSLA, which went from $55-and-change to today's high of $97.12 in just 4 trading sessions! GOOG has also been ramping up non-stop, almost hitting $890 today. 3D-printing stocks have also faired well: both DDD and SSYS made new all-time highs today!

So, how high can this market go without a respite?! Well, I think the market is about to take one. SPX 1650 could be a psychological barrier, one of those "whole number" levels! Technically speaking, the market is toppy. I would really find it unlikely to go push higher without some consolidation. If it continues to push higher without a break, it'll have to go parabolic! This bull market, though, is unlike the tech boom back in 2000. This time, the Dow and SPX are leading the way, which means the rally is broadly based. In fact, techs, so far, have been lagging!

One group that really took off today was the education and training services. ESI vaulted almost +18%! APOL gained more than +9%. COCO popped +8.46%. DV added +5.49%. Let's keep our eyes on this group. I think a lot of shorts will need to cover their positions in these stocks!

We didn't chase the market today. We'll see how the market does tomorrow. If the market keeps going, I wouldn't complain if this rally turns parabolically higher!

Good night and HappyTrading! ™

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Last weekend, in my Market Forecast, I wrote:

"For the new week, we should see the markets glide higher. I wonder if we could see the type of rise that Nasdaq had in 2000. Both SPX and the Dow are in uncharted territory. So, we'll have to watch the levels in the next couple of weeks to see where the resistances will appear. On the downside 1600 should now be the initial support."

Well, indeed, the market did glide higher. There were some stutters on Thursday and Friday, but, buyers came in at every weakness. The market closed on a strong note on Friday. We also enjoyed a nice week with mostly winning trades.

For the week, the Dow was up +144.53 points; SPX added +19.28 points; Nasdaq gained +57.95 points. As the dollar popped higher, Gold took a quick drop, trading below $1440/ounce. Oil was little changed, staying above $95/barrel. At the time of this writing, Asian markets were mixed. Japan's Nikkei was rising to a new all-time high as yen fell further against the dollar. Here's how the US markets looked after Friday's close:

SPX

On Friday, SPX added +7.03 points to close at 1633.7. It closed above 1630. Its daily MAs and MACD went up.

Nasdaq

Nasdaq gained +27.41 points to close at 3436.58. Its daily MAs and MACD also pushed higher.

Buyers finally started to move into techs. VIX tried to rise, but, closed the week pretty much flat. For the new week...

To read the rest of this article, please subscribe to HappyTrading "Premium Articles" by going to the Premium Services (click here) page. If you are already a subscriber, please click here: Market Forecast 5/12/13.

Happy Mother's Day!

The markets continued to plow higher. The Dow pushed through 15,000 and SPX closed above 1630. Nasdaq broke out above 3400. We also had a great week. SWKS calls gave us a +57% gain; we've held on to this since earnings. SOHU calls turned in a +163 profit. SOHU continued to push higher throughout the week on M&A activities in the Chinese internet space. CF produced a +93% win on eanings. APA calls were an overnight gain of +121% on earnings. Here are the closed trades for the week:

• 12:43 | Ecstatic Plays GOOG ($878.00) Sold to Close 05880 May 880 calls, at $8.00 +4%
• 12:15 | Ecstatic Plays GOOG ($879.00) Sold to Close 05C880 May 880 calls, at $8.70 +13%
• 10:53 | HappyTrading SWKS ($23.60) Sold to Close 05C21 May 21 calls, at $2.67 +57%
• 12:05 | HappyTrading AAPL ($458.00) Sold to Close 05C470 May 470 calls, at $2.70 -40%
• 11:55 | HappyTrading CMG ($370.00) Sold to Close 05C375 May 375 calls, at $3.20 -24%
• 08:52 | HappyTrading FFIV ($79.35) Sold to Close 05C75 May 75 calls, at $4.60 +48%
• 07:03 | Ecstatic Plays SINA ($57.70) Sold to Close 05C55 May 55 calls, at $3.90 +10%
• 06:47 | HappyTrading CF ($194.70) Sold to Close 05C185 May 185 calls, at $10.25 +93%
• 06:44 | Ecstatic Plays APA ($81.50) Sold to Close 05C75 May 75 calls, at $6.40 +121%
• 12:55 | Ecstatic Plays SINA ($57.80) Sold to Close 05C55 May 55 calls, at $4.15 +17%
• 12:47 | HappyTrading CF ($191.15) Sold to Close 05C185 May 185 calls, at $8.50 +60%
• 09:33 | Ecstatic Plays BIDU ($92.50) Sold to Close 05C90 May 90 calls, at $3.45 +17%
• 07:27 | HappyTrading SOHU ($54.90) Sold to Close 05C50 May 50 calls, at $5.00 +163%
• 10:37 | Ecstatic Plays DXJ ($48.53) Sold to Close 05C47 May 47 calls, at $1.80 +20%
• 10:26 | Ecstatic Plays SLB ($76.80) Sold to Close 05C75 May 75 calls, at $2.30 +28%
• 08:19 | HappyTrading FFIV ($77.80) Sold to Close 05C75 May 75 calls, at $3.25 +5%
• 08:18 | HappyTrading APC ($87.80) Sold to Close 05C85 May 85 calls, at $3.35 +34%

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If you're still waiting on the sideline, you've gotta come into this market! There are both quick and steady money to be made!

GOOG's glasses seem to be catching a lot of attention. Its stock seems to be on its way to $900+ and it wouldn't surprise me to see GOOG testing $1000 this years. PCLN popped after earnings and is looking for a breakout; even EXPE bounced. Kuwait just made a $3 billion deal with Airbus; it'll be interesting to see how BA trades on Monday. I suspect that if BA gets a pullback, dip-buyers will come in within a couple of days. Commodities were weak on Friday as the dollar rose. Financials seem to be hold steady. Biotechs were strong again on M&A activities. We'll look at these sectors in more detail later on this evening in my weekly Market Forecast & Sector Watch.

Happy Mother's Day and HappyTrading! ™

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