Everyone is waiting for a solution to the cliff. IF they
stall and kick the can down the road, market will drop.
IF they come up with ANY grand plan,market will pop 500 pts and IBM will be up over $5.
I don't see BamBam giving in at all. So it's up to Boehner, otherwise,it's a long way down from here.
everybody is going off the cliff with this. Its a no brainer. Either a comprimise will be reached or they'll kick the can down the road. Either option or choice will not effect the market any more than putting it into a temporary neutral state ( sideways movement). IMHO
The prez thinks he has the political capital to force feed the GOP. Fact is, he does.
ANY delay or disagreement getting it done will be viewed more as a negative towards the GOP now. Furthermore, he is one obstinate guy.
So, I don't think he will accept kicking the can down the road.
I think this will come down to the wire and maybe even go into overtime.
Therefore, my read, from an investor standpoint is we will likely see this range we're in until the fear gets out there again.
Then, at any time, we'll see drops and pops.
Ultimately, the day before the announcement of the agreement, we'll see a huge rally.
IBM will likely be in this range of $185 - $192 until that agreement.
Then, onto new highs, quickly.
That's ONE likely scenario, IMO.