Stock Market Blog -Jan 5th

The year started off with a drop in the stock indices. Lets see what the next few weeks will bring, keeping in mind that starting next week, companies will begin to report earnings. After the big rally that we had in 2013, most traders expect some kind of pullback, and a much smaller gain for 2014 -we'll see. Lets also keep an eye on Bonds and Gold to see if the sell-off continues.

Biggest winner in the S&P500 for 2013: NFLX
AAPL dropped this week.

New all time highs:    AAP, ALXN, BBBY, DDD, DIS, HTZ, STX, SAVE...
All time lows:   

Pops:  , Drops:   

Next week:  Economic reports, Monthy Jobs report

Earnings:  AA, MU, MON

Market Commentary

We may be seeing the start of a pullback for the new year. Upcoming catalysts include the Jobs report on Friday, and another set of quarterly reports over the coming weeks. Until the up-trend is broken though, it makes sense to continue to be long. How can you tell when it's broken? Use a Moving Average, with a time frame that matches your time frame (e.g. 20MA, 50MA, etc).

This week's charts:

S&P 500 -up-trend intact
10yr Interest Rates
Labor Force Participation Rate (10 year chart)

Commodities/Futures (charts):
Crude Oil dropped, closing at $95.44 -back under $100!
Natural Gas was up, closing  at $4.30
Gold was up, closing at $1225
The 30 year Bond was mostly flat, closing at 128.53
The US Dollar rallied to close at 80.95

NEWS:

Stocks: 2013 is one for the record books
Stocks close mixed; Bernanke says economy should continue to improve
Big week for Fed, as traders await jobs report
11 companies that won in 2013
Gold Goes Out With A Drubbing

Can The Economic Recovery Last in 2014?

10 Most Shorted Stocks in the S&P 500
Runaway blue chip bull? Cramer’s Dow predictions (DOW stocks)
The case for ditching stocks and buying gold in 2014
1930s-style debt defaults likely, says IMF research
World markets: What's hot in 2014