Wednesday, November 04, 2009

Midday Briefing for November 4th: Sector View

The sector spectrum view from FinViz shows more green than red, as we've been trading stronger relative to yesterday's close. As you know, however, I like to track the market's strength and weakness from the current day's market open, not the prior day's close. I note that the Russell 2000 stocks are down from their open, as are financial and materials stocks (XLF, XLB). Among the 40 stocks in my basket, 23 are trading up from their opening prices, 17 down. That is not exactly ringing strength. I will be watching the response to the Fed announcement closely; at this point, it seems as though traders are taking some profits off the table ahead of the expected volatility.