Ideas for the week of May 8th. My apologies for not posting any financial 411 as of late. I've been pretty inactive seeing how as most of you know I'm changing demographics. This upcoming week is the Fed making their annoucement on what they're going to do with rates. It seems like the market (i.e. upward movement and gains in the broader markets that we've seen) is pricing in a quarter point raise with the expectation no further hikes to come in our near future. Because this is widely anticipated, the markets might see some selling pressure; hence, the 'buy on rumor sell on news'. The gains we've seen are not purely on earnings provided by a lot of companies, because if any of you all have traded on earnings, you would have noticed that companies that have blown out numbers had got a pop (probably because of short coverings) and then quickly gave them back. So to me, this says headfake.

If you all are looking for ideas, I still think the theme is energy. It currently only makes up 6% of the Standard & Poor Index. I know most people love technology, but when we were all seeing the tech boom, i believe Technology made up as much as 42% of the Standard & Poor Index. Notice the Nasdaq is stuck at 2500, when it was 5000 back in the days? The Dow Jones Industrial & Standard & Poor Index have pretty much recovered whereas the Nasdaq has not. Avoid four letter words (i.e. your nasdaq symbols.) :)