Ken Tower Rally Quotations

Only 10 New York Stock Exchange stocks made new lows yesterday, so it's clear that there is a great deal of underlying market strength. Industrials remain the clear winner, as they reached another new high yesterday. Financials had a huge rally and also closed at a new high. Leadership will eventually shift back to tech, energy and basic materials, but we're not there yet.

The whole tech sector jumped after the IBM announcement and it may spark a rally tomorrow. But it's one piece of good news. Could the impact be erased by a subsequent piece of bad news between now and tomorrow? Sure.

Investors remain skeptical of the rally that began in April. Therefore, the rally could restart.

The recent stock rally was fueled by the idea that the Fed is nearly done and I am concerned that such a hope could be in trouble. If the economy is growing faster than investors are expecting, that could be a problem.

We're thinking that yesterday's rally will probably go back down and test the low today... So, this afternoon, we're looking again probably for the market to sell off.

At this point, any rally is a good rally. You need to see more strength in the Nasdaq to confirm that there really was a significant bottom, but there are an awful lot of stocks doing very well.

These hearings have an impact on investor psychology, they make people nervous, and that's why we're having a rally at the close.

This rally is very fragile, as it is being led once again by energy stocks and not technology or finance. This is no time for the bulls to relax.

Financials led the sector rally yesterday. Tech has been getting a lot of bullish press recently, but its relative performance continues to suffer. It's premature to put this into the leading sector category.