More Candies For The Bulls

FUNDAMENTAL ANALYSIS
The Dow broke above the critical 12750 point today and is now just a small leap from making a new high. Already the S&P 500 has made a new high as more candies fed the bulls today. Core consumer price index rose lower than expected, increase in housing start and permits and great earnings release from Coka Cola and Johnson & Johnson that topped wall street estimates. All that being said, advancers and decliners were at par today indicating a slight retreat of the bullishness that we saw yesterday... which, of course, is natural. Nothing in the world goes all out and up but in same surges and stages. This earnings season looks like its going to be a good one afterall and that the old wall street adage of profiting in April and going away in May seems like it is going to happen.

TECHNICAL ANALYSIS
The Dow continue to rise on systematic buying as expected. Just look at the volume today and we can see that it is nearly equal yesterday's volume. Even though such large systematic buying can definitely lift the market, I do hope to see evidence of the mass public jumping in and supporting the rally. For now, the bulls look neatly in charge and that we can expect to see a new high tomorrow.


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