Don’t Fight The Liquidity
Earlier today, the European Central Bank (ECB) announced their version of Quantitative Easing (QE). As I have been saying for a long time, we're in a liquidity driven market fueled by a globally coordinated effort to keep rates low and the markets high. Although I came into the year short-term cautious (which was wise due to the increased volatility), I am noticing the following constructive signs in the market: 1) All the major indexes launched above [...]
Obama’s Stock Market
Barack Obama will do everything in his power to keep the U.S. stock market up until the end of his Presidency. He inherited an economy that was in a recession, and his number one priority is to leave the U.S. better off "by every economic measure" than it was when he took office. Now before you jump out of your chair, let me stress that this is NOT a political commentary. These are simply observations [...]
4 Tips for Trading Biotech Stocks
The Biotech sector has been a leading group for years now. I get many questions on how to trade these stocks, so here are a few tips: 1) DO NOT trade anything you are not comfortable with. There is nothing worse than being nervous in a position. Why? Because we tend to make horrible decisions based on emotions, rather than coming from a position of confidence and conviction. One of the biggest fears we have [...]
Short-term Cautious
As I have mentioned for the last year or two, I still think the Nasdaq Composite eventually gets to its old March 2000 high of around 5100-5200. It will probably get there over the next 6-18 months, however, it will not be an easy ride up. There will be pullbacks, shakeouts, and quick corrections along the way to keep the Bulls honest. Although I am bullish over the longer-term, in my Weekend Video I outline the [...]
Market Thoughts Into Year-End
I sent this note out to my clients earlier in the week. If you are interested in our Managed Account Products, please email me at: jfahmy@zorcapital.com. After QE-1 ended, the market dropped -17%. After QE-2 ended, the market dropped -21%. Now that Operation Twist/QE-3 is over, many believe the market will drop again. In my 18 years of trading, I have never seen the market move more on sentiment and psychology than I have seen [...]
Fox Business Video 10-16-14
The following Fox Business video is a market discussion with Charlie Gasparino, Liz Claman, and me. Watch the latest video at video.foxbusiness.com I can be reached at: jfahmy@zorcapital.com. Follow me on Twitter @jfahmy Follow me on StockTwits @jfahmy