Cautious approach in stock investing

Stocks on Wall Street rose on Thursday. The party was mostly led by industrial and pharmaceutical stocks, as investors were more cautious and defensive in advance of jobs data that may perhaps demonstrate how much housing and tight credit markets may have damaged the economy.

Overall on Thursday, most of the stocks were trading in narrow range and lackluster trading session as investors took more cautions approach as the center of attention continued on Friday's nonfarm payrolls report. Also the reports on the job market, service sector, and August retail sales bring up some cheers to investor’s mood by making a positive ending in Thursday’s trading session.

The Dow Jones index ended inch up at 57.88 points (0.44%), at 13,363.35. The Nasdaq Composite Index was up 8.37 points (0.32%) at 2,614.32.

My feeling for today’s (Friday) stock trading session remains a strong volatile day keeping investors in no comfort zone, but as a trader I might take a very short long position if there is any significant dip of about 150+ points in Dow and also I might go for stock investing in highly research stock in small quantity, eying mostly defensive sectors like pharma or telecom.