Today the USA market was pretty strong. S&P 500 Index was able to close above the Major support of 1400. Last time 500 Index closed above 1400 was on 10 January. I believe that market will trading above this level for some time and will continue to go higher. I guess "The Worst is Over!" is sticking in the minds of the majority investors.
Apple has broken through the resistance at $175 and 180. Well, it is not unusual as the market was so strong, DOW was up 1.48% and NASDAQ was up 2.81%. Any strong NASDAQ stocks could easier up 3% today, Google was up 3.27%, Research in Motion was up 5.24% and Apple was up 3.48%.
The below is my profit from Apple shares: 40.03% or $5,146.00
Now, I will take half of the profit if it is trading below $175 and let the other half goes.
My profit from options: 92.18 % or $37,565.00
I just bought 2 new call options which the mother share is MERCK (NYSE:MRK). Merck is a Drug company. I bought the call options because Merck was recommended by Jim Cramer. As per Jim Cramer, Merck has better growth than Pfizer(NYSE:PZE), although both companies are Dow Components. I see the Daily chart for Merck, its share price is trading at half of what it was on January. It was getting killed and it sounds like another Apple or Google. The investors were just over react for the last couple of months. It is a steal at this price!
Now the market is getting stronger and I think that it is the buy opportunity for the stocks which have good fundamental but were killed because of the over reactions from investors and may be because of the fear of the Recession.