Underexposed money managers may be buying as the market rebounds Less than a week ago the Dow Jones Industrial Average was at about 16,000 again and many stocks were hitting new 52-week lows. Aren't you glad you didn’t panicinto the fearful market sell-off when those employment numbers that were off by rounding errors last Friday? That said, if you were stressed out last week when stocks were getting trashed, now is the time to consider trimming some of your long positions. Here's a random walk down this week's most important headlines, with my analysis on each. Dow Industrials' best winning streak since July: The markets have had a nearly 5% straight up move since the most recent bottom was put in last Friday morning. On the one hand, there's that old saying that has merit: "The biggest rallies happen in bear markets." On the other hand, that Friday bottom is a higher low that the chartists will have to respect. I still think there's a lot of money managers out there who are underexposed to the markets and were worried we could get a 2008-like meltdown but are now starting to cover/buy more stocks as the market runs away from them. Certainly there's a possibility that we drop back to the August lows, but feet to the fire, I think the path of least resistance for the stock market is higher into year-end. $50 oil: so close, yet oh so far: Some big bounces in all energy-related stocks of late. I'm still far from being an energy bull and probably will be until/unless there is a wave of formerly big-cap stocks hit $0 and/or there's a wave of bankruptcies in the sector. That doesn't mean it will happen; I'm just saying that it'd have to be a scenario like that before I'd buy into energy stocks. Tough challenges ahead for Twitter CEO Jack Dorsey: It's not like it was big news when Twitter TWTR, +1.75% finally officially announced that Jack Dorsey was returning as CEO. Twitter recently launched Moments (previously known as Project Lightning) as a separate tab within the broader Twitter app highlighting the "best of what's happening on Twitter in an instant." I saw several analyst notes that mentioned that feature will be highly monetizable, but there's no real change in the outlook here. They have a terrific platform that gets loads of free advertising with their bird logo and #hashtags everywhere you look and Periscope is gonna be a big winner for them. https://twitter.com/jack!function(d,s,id){var js,fjs=d.getElementsByTagName(s)[0],p=/^http:/.test(d.location)?'http':'https';if(!d.getElementById(id)){js=d.createElement(s);js.id=id;js.src=p+"://platform.twitter.com/widgets.js";fjs.parentNode.insertBefore(js,fjs);}}(document,"script","twitter-wjs"); gotta take it to the next level. Saudi Arabian prince is now the second-biggest shareholder in Twitter: As an investor, I don't care too much one way or another that Saudi billionaire Prince Alwaleed bin Talal is buying Twitter. As a global citizen, I'm not a fan of the Saudi regime. Holiday retail sales outlook suggests weak consumer spending: I tend to think retail is about to rebound. An important economic indicator for the stock market is corporate earnings, which aren't trending down (yet, at least). Fitbit slides as Microsoft unveils wearable fitness device: I think the world has passed by Microsoft MSFT, -0.72% They want the new Microsoft Band to tie into Windows ... and Windows is a dying platform. Remember the Microsoft Zune MP3 player? Like Apple's iPod for the MP3 market back when Zune hit, Fitibit has become the de facto standard for fitness wearables, and I don't think Microsoft can break that. It's a very cheap stock, and I'm holding it here. Avoid companies built on taxpayer largesse: People ask me all the time if the reason I am so bearish on companies that lean on the taxpayer to fund their businesses — like Wells Fargo WFC, -0.76% and other too-big-to-fail banks or even Tesla TSLA, +1.32% — is because I'm taking a moral stance against corporate welfare. The answer is no. I am an opportunist with my money and my investing/trading. And, anyway, every single publicly traded company in this country (and around the world) benefits from subsidies and competitive protection from government forces. Read the article for more or listen to the latest Cody Underground podcast where I rant freestyle on this topic. I'll be back with some deep dive market analysis and will highlight some of my current favorite stock picks in a couple articles here on MarketWatch next week. marketwatch