As goes January

'January barometer'

11-Jan-06. 'They say' that the first five trading days of January are a harbinger of what's to come for the stock market in the coming year. Some call this the January barometer.

January barometer Source: Chart of the Day .com

I hope 'they' know what they're talking about, because January is off to a roaring start!

Dow Jones Industrial Average, up 3% YTD

The Dow is very close to its all-time high in January 2000, when it closed at 11,722.98. Today's close at 11043.44 less than 6% from that high.

Nasdaq composite, up 5.7% YTD

The Nasdaq, however, is far from its all-time high in 2000 when it closed at 5048.62 on March 10. Today's close at 2331.36 is nearly 54% below that high.

My 'Trader Paul' portfolio could use some help after last year! One thing's for sure — the first days of January look mighty fine! I'm up 14%.

Trader Paul, year to 11-Jan-06