Where we are headed in April and the Summer of 2006

Posted on April 10, 2006 , filed under Stocks | Print This Post

April has historically been a good month for traders and is the best Dow month of the year. I expect to see a bullish market fueled by strong 1st Quarter 2006 earnings reports. I believe that the 1st Quarter 2006 rally is a little extended. I have written in the past that I believe the theme of the market is uncertainty. The shift from a bull market to a bear market can happen in an instant. At the end of the month I am anticipating a drop in the markets. I expect investors to lock in profits and I intend to sell off the majority of my portfolio in April if the markets advance. I am planning to hold onto a few key stocks and build new positions in the next 1-3 months.

Add this post to your favorite social networking site