Three Ways to Play a Resurgent Bull Market

by Greg Guenthner
Daily Reckoning

Stocks are roaring back to life.

We haven’t witnessed a trading environment this constructive in more than a year. The major averages are consolidating near their highs. Breakouts are holding. Beaten-down sectors are catching a bid. After months of tough trading, the market’s handing us the perfect opportunity to ring the cash register.

You can throw darts at stocks during a roaring bull market and you probably won’t lose money. But if you want to book repeatable short-term gains, you have to know what stocks to go after when the tide turns in your favor.

Every trader worth his salt knows what stocks to avoid when the market’s vulnerable.

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