Stocks Rally For 3rd Straight Week

Friday, September 17, 2010
Stock Market Commentary:

Stocks enjoyed their third weekly gain and closed near their summer highs as investors digested a slew of economic data. Volume was reported higher on the NYSE and on the Nasdaq exchange compared to Thursday’s levels due to options expirations. Advancers led decliners by about a 3-to-2 ratio on the NYSE and by about a 4-to-3 ratio on the Nasdaq exchange. New 52-week highs easily outnumbered new 52-week lows on the NYSE and on the Nasdaq exchange. There were 59 high-ranked companies from the CANSLIM.net Leaders List made a new 52-week high and appeared on the CANSLIM.net BreakOuts Page, higher than the 48 issues that appeared on the prior session.

Monday & Tuesday’s Action; Stocks Rally On New Bank Rules (Basel III):

On Monday, stocks surged around the world after bank regulators met in Basel Switzerland over the weekend and passed a new set of capital rules for banks. The new agreement now known as “Basel III” set new capital requirements for banks around the world. The new standards are viewed as bullish for the ailing financial industry as they help prevent excessive leverage which threatened the global financial system in 2008. On Tuesday, stocks ended mixed after August’s retail sales topped estimates and gold surged to a fresh all-time high. Stocks in Europe were under pressure before Tuesday’s open after a report showed economic growth in the Euro zone was slowing. In the US, retail sales topped estimates and rose by the largest pace in five months. The Commerce Department said total retail sales swelled by +0.4% following a revised +0.3% rise in July. This was the second consecutive monthly gain and bodes well for the economic recovery. 

Wednesday- Friday’s Action; Stocks Drift Higher And Close Near Resistance (Summer Highs):

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