chart4The markets closed near the break even point at the end on Monday after spending most of the day in negative territories. There are predictions from some that the recession is near while another major news that all should be aware of by now is the temporary halt in the sale of Chrysler to Fiat. If this goes too long, a potential deal could be soured and further pain could be felt in the automotive and manufacturing sectors.

One stock that bucked the trend on Monday was in the automotive sector. The dead stock of General Motors was up over $1.21 a share. Remember, this company is bankrupt and its already known that the value of the common shares are worth zero. The current rise could only be explained by larger companies trying to cover their shorts which is putting a squeeze. Also, there are a lot of June $1 puts on the stock which might add further strain on shorts who try to cover in the coming days. Watch this stock if you want to try and pick up a little on the pump and dump as I call it.

Here is the market summary for Monday:

Looking at Tuesday:
Pep Boys 1Q Earnings Rise As Turnaround Continues >(PBY)

Texas Instruments Sharply Raises 2Q Guidance.

Men’s Wearhouse 1Q profit tops expectations.

This week I am really busy trying to relocate from Toronto to Chicago so its probably hard to make some trades where I can actually make money. Daily, if I feel like the odds are less in favor to make some money, then I don’t truly bother with the risk. Hope you use the above news links to try and pick up some gains.

Happy Investing!

Aman, MBA

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