Category: Stocks Bear Market
The analysis published under this category are as follows.Saturday, November 28, 2009
Stocks Market Bearish Visions / Stock-Markets / Stocks Bear Market
There are, in my opinion, some extremely strong warning signals being sent out by the markets right now. Every time we delay the inevitable by artificially supporting and bailing out markets, we create the set up for the next round of volatility. Governments cannot change the primary trend of the economy, they can only destroy the currency and destroy confidence through their irrational and dangerous acts designed to protect the few and screw the majority.
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Monday, November 23, 2009
Stock Market Mixed Signals Warn of Near, But Not Imminent End to Bear Rally / Stock-Markets / Stocks Bear Market
Current Position of the Market
SPX: Long-term trend - Down! The very-long-term cycles have taken over and if they make their lows when expected, the bear market which started in October 2007 should continue until 2014. This would imply that much lower prices lie ahead. As illustrated by the current market performance, this will not be a straight-down decline, but will consist of a series of intermediate-term rallies and declines until we have reached the low point.
SPX: Intermediate trend - The rally from the 1030 low has entered a consolidation/correction phase which is likely to be followed by higher prices into the normally bullish December season.
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Sunday, November 22, 2009
Recognising a Stock Market Top in the Making / Stock-Markets / Stocks Bear Market
John Whtehall writes: Risk Outweighing Reward for Financial Markets... Remember when the S&P was playing around 666-670? Remember that day? Of course we do. However, remembering how you felt on that day is far more important than glancing back at a date on a calendar. Most of the investing population remembers early March as if it were yesterday, but many investors are far too forgetful of the emotions elicited during that time.
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Saturday, November 21, 2009
Stocks Bear Market Rally Lives On / Stock-Markets / Stocks Bear Market
The rally out of the March low lives on. Cyclically, this is a higher degree move that is, thus far, still intact. From a Dow theory perspective, there was a short-term non-confirmation in place the week of November 13th, but this last week that was corrected and the uptrend was reconfirmed. However, the longer-term data has not changed. From a longer-term perspective, this rally still must be viewed as a counter-trend affair or a cyclical bull within an ongoing secular bear market.
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Tuesday, November 17, 2009
Revisiting Three Stages of Stocks Bear Market Rally, Right on Schedule / Stock-Markets / Stocks Bear Market
When someone says, “it’s different this time,” what happens next is rarely surprising.
We know it’s never different this time.
The thing is though it takes a bit of time to remember that.
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Friday, November 13, 2009
Three Bearish Stock Market Breadth Charts You Won't See Anywhere Else / Stock-Markets / Stocks Bear Market
Figure 1 is a daily chart of the S&P500 (symbol: $INX). The indicator in the bottom panel comes from mathematician James Meikka. Meikka developed a formula to measure advancing and declining issues that prevents drift and forces it to maintain a consistent relationship with the zero line. It is like a McClellan Summation Index. Instead of applying the indicator to advancing and declining issues, I am utilizing NYSE up volume versus down volume in figure 1 (the data is hidden). So my indicator in the lower panel is a measure of advancing volume versus declining volume.
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Friday, November 13, 2009
SELL Signal Alerts For Stocks, Bonds, Gold and Crude Oil / Stock-Markets / Stocks Bear Market
U.S. equity benchmark indexes fell from 13-month highs as energy shares slumped following bigger- than-estimated growth in oil stockpiles, erasing an earlier advance spurred by Hewlett-Packard Co.’s takeover of 3Com Corp. The dollar rose the most versus the euro since August.
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Tuesday, November 10, 2009
Are We Headed for a 25% Stock Market Drop? / Stock-Markets / Stocks Bear Market
With anticipated GDP growth insufficient to sustain current market levels, Q1 Publishing's Founder and Chief Investment Strategist Andrew Mickey asserts that great expectations tend to lead to great disappointments. Although he's not foretelling a big crash, he tells Gold Report readers why it makes sense to expect the market to fall back to a fair-value level over the next six months to a year and there will still be plenty of opportunities for those in the right spot.
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Tuesday, November 10, 2009
Societe Generale's Albert Edwards Calls New Stocks Bear Market Low in 2010 / Stock-Markets / Stocks Bear Market
Societe Generale's Albert Edwards is generally considered an uber bear, although there were times in the past year he has tactically increased exposure to equities to take advantage of oversold conditions. Now is not one of those times. In fact, Edwards chimes in with many similar thoughts we've posted on the fundamentals... but sticks his neck out calling for new lows in 2010.
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Monday, November 09, 2009
Stock and Dollar Bears At the Margin / Stock-Markets / Stocks Bear Market
How can the stock market continue to set new rally related records week in and week out? Answer: As per our discussion last week, because at the margin, there have been enough bearish speculators, as measured by US index open interest put / call ratios, to continually squeeze prices higher. What’s more, this, in itself is nothing new (sentiment largely drives market direction in fiat currency economies), and has been the primary driving force behind stock market direction for sometime now (decades).
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Monday, November 09, 2009
Robert Prechters Stocks Bear Market Latest Updates / Stock-Markets / Stocks Bear Market
It has been an exciting week in the markets. And FreeWeek attendees have been enjoying the ride.
FreeWeek Update: Elliott Wave International's publications have alerted subscribers -- and FreeWeek attendees -- that volume and breadth readings have been contracting throughout the multi-month rally, which signals a critical juncture ahead.
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Saturday, November 07, 2009
Stock Market Top Likely Reached / Stock-Markets / Stocks Bear Market
Last week, I called a market top; and the Dow Jones industrial average proceeded to reel off a 3.2% gain. There are a couple of important observations to make about this market action.
First, the tape never lies so it's important to be flexible when the market moves in the direction that you do not expect. While I entered last week slightly net short, I had a trailing stop loss on my major short position TWM and as the market rallied, I was able to close that short position and still preserve some my profits from the preceding week.
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Thursday, November 05, 2009
Robert Prechter Current Stock Market Bear and Crash Calls / Stock-Markets / Stocks Bear Market
Eight months ago, the stock market began a very large rally -- the gains exceeded 60% in the S&P 500. Everyone knows this. But here's a fact that has gone virtually unreported: The vast majority of those gains (about 90%) were from March through August. By comparison, September and October were sluggish.
Yet the past two months have been the very time when the financial press has been the loudest about "green shoots," "recovery" and "new bull market." So the question is WHY -- why so much enthusiasm, even as the evidence literally fades away?
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Wednesday, November 04, 2009
This S&P 500 Chart Tells the Two-Part Truth / Stock-Markets / Stocks Bear Market
Have you seen or read ANYTHING like this in the past two weeks?
The following text is courtesy of Elliott Wave International. Until Nov. 11, EWI is allowing non-subscribers to download their latest market analysis and forecasts for free, including Robert Prechter's latest Elliott Wave Theorist and Steve Hochberg's and Pete Kendall's latest Elliott Wave Financial Forecast. Learn more about FreeWeek, and download your free reports here.
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Tuesday, November 03, 2009
Jeremy Grantham, Stock Markets Being Silly Again / Stock-Markets / Stocks Bear Market
My long time readers are familiar with Jeremy Grantham of GMO as I quote him a lot. He is one of the more brilliant and talented value managers (and I should mention very successful on behalf of his clients). He writes a quarterly letter which I regard as a must read. I have excerpted parts of his recent letter, where the chief investment strategist really takes the current financial system follies to task. Typical of his great writing and thinking is the quote from this week's Outside the Box selection:
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Tuesday, November 03, 2009
Has the Stock Market Broken Major Support? / Stock-Markets / Stocks Bear Market
In our last video on the S&P 500 (10/27), we indicated that this market may have topped out for the year. Today’s action puts in place a weekly “Trade Triangle” which indicates that a temporary or a permanent top is now in place for this market.
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Sunday, November 01, 2009
Nailed the Stock Market Top? Probably / Stock-Markets / Stocks Bear Market
For the past month, as both market technical indicators and macroeconomic fundamentals have deteriorated, I’ve been warning of a possible market top in my Always a Winner newsletter. In preparation for that market top, I took my profits from the March run-up by closing almost all my long position.
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Friday, October 30, 2009
Stock Market V Spike Rally Losing Momentum, Bear Market Beckons / / Stocks Bear Market
Hauntingly Familiar - In a recent update of our analog chart of the Dow on 10/23/2009, the results show a continued haunting resemblance to the behavior in data points exhibited in the Dow Jones Industrial average of 1930. The muted light-blue price series of daily closes illustrates the point at which the 1930 Dow reached its ultimate momentum failure. Pursuant to the peak achieved at its plateau in 1930, the Dow went on to lose nearly 90% of its value before putting in a final bottom in 1932.
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Friday, October 30, 2009
World’s Greatest Investor Turns Bearish on Stocks, 25% Drop Next? / Stock-Markets / Stocks Bear Market
The recession is over!
GDP grew at a 3.5% clip between July and September.
Wall Street’s fortunes seemingly turned around overnight.
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Friday, October 30, 2009
U.S. Dollar Premature Death Rumours and Necessary Stock Market 40% Plunge / Stock-Markets / Stocks Bear Market
Summary and Conclusion - Rumors of the US Dollar’s death may be premature. Indeed, rumors of the US economy’s death may be premature. What is needed is a period of cathartic healing to facilitate a process of ecdysis (shedding the old skin to reveal a new and healthy skin beneath). The equity markets need to be allowed to breath out and contract. A fall of up to 40% from current levels is necessary. Below the level of its immediately visible surface the US economy still has the potential to remain a powerhouse in the world economy.
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