Klein Market Summary-May 6th, 2013

Klein Market Summary

 

May 6th, 2013

 

Current Market Facts:

Technical Status

 Confirmed Uptrend Beginning Week 2
   

Other Observations

Some leading stocks continue to hold up

Indices are back up near highs

   

Feel of the Market

Earnings reports and Fed policy are in focus
   

Important Levels on Key Indices:

Index

Support

Last Close

Resistance

Nasdaq

3200

3279

3300

Nasdaq 100

2800

2841

2860

S&P 500

1575

1582

1597

 DJIA

14500

14713

14887

Market Interpretation:

Broad accumulation has pushed the market to record highs.  The NASDAQ indices have taken a leadership role, led by AAPL, rebounding off of lows, GOOG, and MSFT.          While leadership continues to come from many different industries, the NASDAQ Comp. has lagged throughout the year, mostly due to AAPL’s downtrend.  It is interesting to note, that while the NASDAQ has led for the last two weeks, volume has come in lighter in the last two trading sessions, as the index broke out in earnest.

The S&P 500 and the DJIA, which have led the market to date, finally broke to new highs on Friday’s jobs report.  This was accompanied by increased volume on the NYSE.  Also of note last week, global central banks continued to enforce an increasingly accomodative policy, which might continue to help the markets to move higher.

Joel’s Take:

Last week, the indices overcame a high level of Distribution to move into new high ground.  This was accompanied by some breakouts, and many moves to new highs among leading stocks.  While this market has been tricky because the broad trend underwent an amount of Distribution that most often leads to a market top, the facts have clearly changed.  Significant exposure should only be taken in this market, after initial positions show gains.

  • The Klein Market Summary is a professional interpretation of the general stock market conditions that is updated on a weekly basis.  Joel T. Klein is the portfolio manager of the investment partnership Blue Diamond Capital, LP. He writes the summary using select technical and fundamental data.  The Klein Market Summary is not intended to provide investment advice of any kind, and is only provided for the entertainment of the reader.  It is typically updated Monday morning, weekly.  Please e-mail info@kleinasset.com, if you are interested in receiving this free weekly update.
  • Past performance is not a guarantee of future results.  Due to market volatility, a fund’s performance may fluctuate.  Current performance may be less than previous results.  An investment a hedge fund when redeemed, may be worth more or less than the original cost.  Information above is not a replacement for the Fund’s prospectus.  This webpage does not constitute any kind of offer or solicitation.  Additional information on investment objectives and policies is in the Fund’s prospectus.  Ask your representative for a prospectus.
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About kleinmarketforum

Klein Asset Management, LLC, formed in 2003, serves individual investors via a directional growth stock approach. When the market is in an uptrend, the firm seeks to exploit investment opportunities. When the trend is down or neutral, assets are protected. Klein Asset Management undertakes major market research projects. In many cases, these result in improved investment methods, which ultimately improve performance.

One response to “Klein Market Summary-May 6th, 2013”

  1. Mark says :

    Sent from my iPhone

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