I will be busy preparing for my final exams in the coming week.
I am still long bias, and expect the markets to touch 11800 by Christmas.
I expect financials to lead the rally.
JPMorgan will be the financials leader in my opinion as it guides all the large and small cap banks to new highs.
Stocks will also experience pre earnings rally.
Currently, banking stocks are significantly undervalued and the earnings rumors suggest that credit losses will be much lower than Q3. This would mean even higher profits for the banks. Hence, we should use this opportunity to buy the rumors and jump into banks before the earnings.
LVS is touching dangerous waters. The stock might close its gap and this is a bad sign for bulls.
This is because the run away gap should not be filled for a heartily strong rally.
But even if it is filled, I see LVS as a strong buy at $38.
Hope it has been a great trading year for all. Expect a strong bull rally next year. I am guessing the DOW might reach 13500 by 2011 DEC.
Tomorrow we have our unemployment claims. If it is below 420k, we should see a strong rally tomorrow. And the DOW might finally break through its resistance.
Lastly, Chinese CPI will be release in the weekend, and traders are pricing in extreme inflation in China and a possible rate hike.
Should the CPI come in favorable, we should see an even stronger rally and the S&P could touch 1280.
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