Earnings push market higher
The earning season is upon us for the next month. Some bullishness has crept back in the market. It looks like we have made a low on April 14 th in the SPX and may continue with the bullish momentum for now. GOOG had its share of miss in this quarter but hardly dropped down as expected. The stock survived and looks like next week cover up the losses. The chart however is far from bullish pattern. CMG was another notable that beat earnings and gained 24% more revenues and gap opened yet got mauled by bears in profit taking that turned into a full fledge blood bath on Thursday. Earnings are always a gamble and it is wise to be out couple of days afterwards, but this time we took a position rather too soon. The stock should recover back to 545 and that is all we want this whole month.
SPX continues to grind higher and so do the other indexes these days. RUT bounced off its 200 day moving average and NDX is climbing higher in tandem. Good earnings will keep the market bullish this week as NFLX, AAPL and BIDU report.