Even though the economy appears to be gradually improving, global issues have yet to be fully addressed. Thus, the wide swings in the market generated by headlines are likely to remain a challenge for traders and investors alike.
The “Santa rally” appears to be over, but stocks did rally enough to change the intermediate trend from down to up; however, the overall market is still in a long-term downtrend.
This year, the trading range of the S&P 500 could be as broad as 1,140 to 1,440. So, at current prices, holders of non-performing stocks should take advantage of the December-to-early-January bounce and rid themselves of losers to accumulate cash or purchase high-yielding quality issues.
Here is our list of stocks to sell in January: