Insider buying is no where to be found. I don't see any large cap stock that is being is being accumulated, and among the names that do have some light purchases, I am not familar with the company.
In addition, now that the market cheerleaders have gained momentum, the latest AAII Sentiment Survey has turned bullish;
Results as of October 19, 2006:
Bullish: 54.20%
Neutral: 16.03%
Bearish: 29.77%
This week's survey results saw bullish sentiment rise to 54.20%, above its long-term average of 39.2%. Neutral sentiment rose to 16.03%, below the long-term average of 32.6%. And bearish sentiment fell to 29.77%, slightly above the long-term average of 28.3%.
Oil prices continue to get a boost as Saudi Arabia agreed to cut production in the wake of falling prices. I am firmly in the camp that oil prices will rise after the November election.
If you want to see something odd, the new front contract for crude traded at $58.56/bbl this morning, 25 cents below yesterday's close. Here is how some of our favorite oil stocks closed.
Marathon (MRO- $87.17, -.11)
Valero (VLO- $52.72, +1.11)
Chesapeake (CHK- $31.14, +.77)
Sunoco (SUN- $67.18, +1.77)
BG Group (BRG- $65.56, +.27)
While energy prices have been treading water, the oil stocks have rallied significantly from their lows.
