Does 4,200 matter? Plus a FB update.

Free After-Hours Analysis: 

The S&P 500 finished Thursday up a fairly trivial 0.12%. That said, it was enough to let the index close above the psychologically significant 4,200, if only by 0.88 points.

Does 4,200 really matter? While round numbers always sound nice, in reality, this is just another level and is no different than 4,199 or 4,198. More important than some number that ends in a double zero, now we can move on. From here, 4,200 simply turns into another minor milestone disappearing in the bull market’s rearview mirror.

Inflation worries are gone for now, but no doubt they will be back. And inflation might even cause the demise of this bull market. But that’s an issue for another day. Until then, we trade what’s right in front of us and that is riding the rally higher. With 4,200 down, the next stop is all-time highs.

As I often say, a market that refuses to go down will eventually go up.

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FB is on fire and closed at all-time highs. So much for the post-election drama hanging over this stock.

And you know what? Stocks that are high tend to get even higher. No reason to give up on what has been working. Keep holding for higher prices and lifting our stops.

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