Stock market wrapup for June 5th.

Wow the first day of June started with the DOW up over 100 points, only to close down over 100 points at the day. On June 2nd, the market steadily rose throughout the day to close at session highs, over 220 points. June 3rd, marked another seesaw day as the market jumped early in the session to 10,300, only to fall to a session low of 10,179 before steadily rising up to close above 10,255. The Market began moving higher late Thursday as news of a strong jobs reports were expected on Friday morning.
On Friday there were three major negative factors that hit the market and dictated the day’s trading activity.

1. Things started out overseas when Hungary announced that it’s economy is in a crisis.  This brought out concerns that Europe could be headed into a deeper economic crisis.
2. The Euro dropped to new year of 1.1955 against the dollar.
3. Jobs market data disappointed.  The report showed 430,000 jobs were created in May, well short of 513,000 that Economists polled by Thomas Reuters had expected.  And of the 430,000 jobs created, 411,000 were temporary census workers.

When the market opened on Friday, it quickly gaped down and steadily rose for the first hour of trading.  As traders began to absorb the data, the market sell off began to accelerate throughout the day.  The Dow closed at 9,931 (down 323 points), the lowest point since Feb 8th, 2010.

On a positive note, the S&P was able to gain support at 1064.  The S&P continues to trade within the trading range of 1105 - 1060.  Any move above 1105 is bullish and bearish if we break the 1060 range.  For active traders, it’s important to keep a close watch on the ranges.

At this time due to the poor jobs report, we are bearish on the retail stocks.  We are bullish on airline stocks as the group continues to hit new 52 week highs on a weekly basis.  Some stocks to keep an eye on are:

• ALK - Alaska Airline
• CRM - Salesforce.com
• UNG - Natural Gas Fund
• VMW - VM Ware

Look to pick up some shares on any major pullbacks on the above stocks, they are poised to outperform the market if and when we recover from the current slump.

The trades I post here are strictly my own personal trades and does not serve as recommendation to buy or sell a stock. Always do your own research prior to purchasing or selling a stock. Jin’s Corner is solely for the purpose of entertainment reading. Thank you for visiting Hot Stocks to Buy.