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Wednesday Morning Coffee with TradingMarkets

By David Penn | TradingMarkets.com
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Good Morning!

S&P 500, Dow Rally for Third Straight Day ... Toyota Cut from AAA to AA on Soft Auto Sales ... Homebuilders Rally on Fed $600 Billion Assistance Plan ... Yen Up on Fear of Fading Carry Trade ... Markets Closed on Thursday for Thanksgiving Holiday

If your stock trading could use a boost, then treat yourself to a free, 7-day trial to our Short Term PowerRatings. The highest rated Short Term PowerRatings stocks have outperformed the average stock by a margin of nearly 17 to 1 after five days. Click here to start your free trial today!

TradingMarkets 7 Stocks You Need to Know for Wednesday

Here are 7 stocks for traders for Wednesday from TradingMarkets.com:

  • Warning that the selling in shares of Google (GOOG | Quote | Chart | News | PowerRating) was excessive, Barclays analysts pointed to a rebound in search advertising as a positive catalyst going forward.

  • Goldman Sachs (GS | Quote | Chart | News | PowerRating) and Morgan Stanley (MS | Quote | Chart | News | PowerRating) are the two banks taking the lead in selling FDIC-guaranteed debt.

  • In a cost-cutting effort, Cisco (CSCO | Quote | Chart | News | PowerRating) said that the company plans to shut down during the final week of the year. The move is expected to help save Cisco $1 billion.

  • Fears that Research in Motion (RIMM | Quote | Chart | News | PowerRating) might miss its subscriber goals for the quarter ending in November led to selling in the stock on Tuesday.

  • Shares of E*Trade Financial (ETFC | Quote | Chart | News | PowerRating) soared on optimism that the online brokerage firm would be able to access funds from the Federal Troubled Asset Relief Program or TARP.

  • Deere (DE | Quote | Chart | News | PowerRating) reports quarterly earnings Wednesday morning before the markets open. Analysts are expecting EPS of 0.99.

For a list of today's highest PowerRating stocks, click here.

TradingMarkets 5 PowerRatings Stocks for Today

Company
Symbol PowerRatings
ProShares UltraShort Russell 2000 TWM 8
Rydex Inverse 2X S&P 500 RSW 8
ProShares UltraShort Consumer Svcs SCC 8
ProShares UltraShort Industrials SIJ 8
ProShares UltraShort QQQ QID 8
View More Stocks

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Often times there is a pattern in our current trending markets whereby the pairs consolidate for quite a period of time after a series of impulsive/trending moves, refer to as the 'Momentum Box'. Forex trader Chris Capre explains how to trade momentum, and when to exit the position.

7 ETFs You Need to Know for Today - TradingMarkets
Up dramatically were homebuilding stocks, boosted by the Fed's plan to provide up to $800 billion to unlock consumer and small business credit markets. Wednesday's ETFs includes SPDRS S&P Homebuilders ETF.

TradingMarkets Daily PowerRatings Analysis

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With the Dow and S&P 500 both up for three days in a row, are these overbought markets exactly what swing traders have been waiting for?

Click here to get a peek at the new blog, Market Moods, by TradingMarkets Editor David Penn!

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