Category: Stocks Bear Market
The analysis published under this category are as follows.Thursday, September 24, 2015
US Stock Bubble Bursts As The US Fed Begins To Shrink Its Balance Sheet / Stock-Markets / Stocks Bear Market
All serious students of economics well know there are several factors that can inflate stock values…and even cause them to soar beyond common sense and corresponding fundamentals. However, there is one factor that dwarfs all others in its disproportionate material effect on pumping up stock prices beyond all historical and reasonable metrics: AND THAT IS EXCESSIVE GROWTH IN THE FED’S BALANCE SHEET.
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Tuesday, September 08, 2015
7 Reasons the Stocks Bear Market Has Just Begun / Stock-Markets / Stocks Bear Market
On March 10th 2009 the US stock market hit an intraday low and put in the now-famous “Haines bottom”--coined after my friend, the late great Mark Haines, who made one of the most prescient calls in market history. It should be noted by the time that fateful day arrived it was virtually impossible to find a single bull out of all the geniuses on Wall Street.
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Saturday, September 05, 2015
Global Stock Markets Are Between Apocalypse And Armageddon / Stock-Markets / Stocks Bear Market
Major world stock markets are all in a BEAR MARKET MODE…cash is king horizon to horizon…universally! Death Cross patterns continue to spread through most international stock markets like an epidemic gone viral (A Death Cross pattern is when the 10-week moving average falls below the 40-week moving average). Moreover, history is testament that September is marked by horrific stock losses during the past 40 years.
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Saturday, September 05, 2015
Stocks Bear Market - 5 Further Technical Confirmations / Stock-Markets / Stocks Bear Market
Divest!
We now have five signals that the US equity market is entering a Primary Bear Trend (Confirms the prognosis of the S&P Global 1200 Index)
- Rounding top on both Industrials and Transports
- The DJ Industrials’ fall to a lower low than October 2014 was confirmed by Transports fall to a lower low (Pink spots)
- “Death Cross” on both indices as 50 Day MA crossed over of 200 day MA (Green spots)
- The consolidation of both indices after fall below 200 day MA was followed by sharp declines (Blue spots)
- On Balance Volume (relationship between buying and selling pressure) of Dow Jones Industrials has fallen to a new low (Yellow spots) (Not yet “finally” confirmed by Transports)
Friday, September 04, 2015
The Stocks Bear Market Everyone Saw Coming / Stock-Markets / Stocks Bear Market
The title lets you know where this article is going. For such a routine correction in the US stock market, the Psych/Sentiment backdrop has gotten way out of whack. Do some analysis on Rydex Bull/Bear fund allocations among investors and you will find a historic knee jerk reaction into bear funds over bull funds (by those who still use Rydex funds).
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Friday, August 28, 2015
Stocks Bear Markets and Interest Rate Hikes, Oh My! / Stock-Markets / Stocks Bear Market
The latest bear market has arrived and the Fed will raise the fed funds rate in September. There. It is written.
The conventional ‘bear market’ assumes two things. First, the major stock indices fall 20% from their recent highs. Two, there is a market. Both of these adages are now false in the new era.
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Wednesday, August 26, 2015
Why We Can’t Handle A Stocks Bear Market - State Budgets Will Implode / Stock-Markets / Stocks Bear Market
Back when society’s balance sheet was reasonably solid, the occasional bear market was no big deal. A 20% drop in the average S&P 500 stock would scare investors and lead to slight declines in consumer spending and government capital gains tax revenue, but the overall economy would barely notice such a minor speed bump.
But that was then. Like a person with an impaired immune system, today’s developed world is so highly leveraged that a shock of any kind risks catastrophic complications. Which is why governments and central banks now meet every incipient crisis with quick infusions of newly-created cash and lower interest rates. We can’t risk letting markets be markets any more.
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Wednesday, August 26, 2015
Stocks Bear Market, Is This 1929 All Over Again? / Stock-Markets / Stocks Bear Market
The Dow has been smashed over the last week which has brought out the usual doom and gloomer’s predicting Armageddon once again. There are several so called experts now predicting a 1929 style bear market.
Admittedly, it is hard not to get caught up in the emotion of days where the market sees a 1000 point intraday drop. So, is this really 1929 all over again? Well, for those that can’t be bothered to read the analysis, the short answer is no. Not as far as I’m concerned anyway.
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Tuesday, August 18, 2015
Corporate Debt - Road To Oblivion In A Stocks Bear Market / Stock-Markets / Stocks Bear Market
Any article that starts with a quote from Jim Grant is guaranteed to be a fact based, common sense, reasoned analysis of our warped, debt saturated, over-valued, Federal Reserve rigged financial markets. John Hussman starts his weekly letter with this quote from Jim Grant:
Read full article... Read full article..."The way to wealth in a bull market is debt. The way to oblivion in a bear market is also debt, and nobody rings a bell." - James Grant
Wednesday, August 12, 2015
Stocks Bear Market Investors Nightmare! / Stock-Markets / Stocks Bear Market
Ugly Outlook – Global Economics, Quantitative Easing and Equities - A take on the global economy and equities markets that paints a simple and clear pictures I think.
The DJIA index has recorded seven consecutive down days in a row! These 7 distribution days are a sign that many institutions are taking profits or establishing losses.
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Tuesday, August 04, 2015
I’m Ready for a Stocks Bear Market. Are You? / Stock-Markets / Stocks Bear Market
Increasingly concerned about the markets, I’ve taken more aggressive action than in 2007, the last time I soured on the equity markets. Let me explain why and what I’m doing to try to profit from what may lie ahead.
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Monday, July 06, 2015
Dow Stocks Bear Market Underway / Stock-Markets / Stocks Bear Market
The final high to the Dow's bull market was put in on the 20th May 2015 at 18351. This was outlined in client analysis the following day titled Dow Final High. For those following the continuous intraday charts, there was a clear bearish double top around 18350. It is my expectation that a bear market is now underway. I don't wait for any mainstream nonsense that requires a 20% fall. I leave that stuff for the fools.
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Tuesday, June 02, 2015
Lindsay Forecast for the End of the Stocks Bull Market – Part3 / Stock-Markets / Stocks Bear Market
Lindsay’s Long Cycle serves as the basis for forecasting bull and bear markets. It lasts for approximately 20 years and its important highs and lows are labeled points A through M.
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Wednesday, May 27, 2015
Imminent Stocks Bear Market Signaled by Dow Theory ... / Stock-Markets / Stocks Bear Market
Don't be fooled by the new highs in the flagship US stock indices that are being trumpeted on Wall St as a sign of strength - the internals of the market are terrible and getting worse, and one big sign of impending trouble is the Dow Theory non-confirmation of these new highs by other key indices.
First we will see how the S&P500 looks on its charts before moving on to consideration of other key indices. On the 1-year chart for the S&P500 index we can readily see that the breakout to new highs was marginal, on weak volume, and that the index has made very little progress since late last year - it appears to be rounding over and weakening within an uptrend that is converging, which has bearish implications. The fact that it has made new highs has theoretically opened up the possibility of a run to the upper boundary of the uptrend, which is quite some way above, but other factors that we will come to shortly suggest that it will fall way short of that, and they further suggest that this breakout could be false and be followed by a reversal to the downside anytime now.
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Monday, April 20, 2015
DJ Transportation & Utility Averages Suggest Stocks Bull Market Is Over / Stock-Markets / Stocks Bear Market
Let’s analyse the technicals of these two indexes beginning with the DJ Transports.
The Dow Jones Transportation Average is a stock market index of the American transportation sector. Price last traded at $8647.
Let’s take a bottom up approach beginning with the weekly chart.
Monday, March 16, 2015
Preparing for the Next Stocks Bear Market - Forecast 2015-2016 / Stock-Markets / Stocks Bear Market
So with the advent of global QE, and zero interest rates, have central banks unlocked the key to perpetual bull markets? Let’s just say, I doubt it.
They have managed to stretch some of the multi-year cycles, and hold off the bear much longer than most have anticipated, but I don’t think they have discovered the secret to infinite prosperity.
As I said, the implementation of global QE has stretched some of the longer term cycles, and that is the first thing I’m going to explore in this article. Prior to 2000 there was a very clear four year cycle in the stock market. Roughly every four years stocks would move down into an exceptionally vicious decline, usually associated with either a recession, or some kind of financial debacle.
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Friday, February 20, 2015
Beware the Stocks Bear Market! / Stock-Markets / Stocks Bear Market
The US stock markets’ latest record highs have left traders exceedingly euphoric and complacent. They are utterly convinced this stock bull will power higher for years to come. But their enthusiasm is very misplaced. In real inflation-adjusted terms, the US stock markets only just regained breakeven levels 15 years after the last secular bull peaked. Now the secular stock bear ever since is overdue for a new cyclical bear.
The flagship benchmark index for tracking the US stock markets is the mighty S&P 500, often shortened to SPX. The whole financial world literally revolves around this dominant index, with most global equity markets and even some major commodities markets like oil usually mirroring it. American stock traders can directly trade the SPX through a handful of gargantuan ETFs including the leading SPY S&P 500 ETF.
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Thursday, January 22, 2015
Stocks Bear Market Lessons from History / Stock-Markets / Stocks Bear Market
Rajveer Rawlin writes: While the financial media is absolutely infatuated with stocks hitting new highs everyday, we would do well to pay attention to some ongoing bear markets:
1) Japanese stocks continue to languish under the effects of deflation following a well over 26 year old bear market, down over 50% from the highs set in 1989.
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Sunday, December 14, 2014
The Rushing Stocks Bear Market and How to Prepare / Stock-Markets / Stocks Bear Market
Michael E. Lewitt writes: Oil prices plunged to their lowest prices in five years last week after the International Energy Agency (IEA) downgraded its forecast for global oil demand for the fifth time in six months.
The IEA report told markets that global growth will remain weak in 2015, triggering an across-the-board sell-off in stocks and junk bonds on Friday that left the major indices with some of their worst percentage losses in three years.
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Saturday, December 13, 2014
U.S. Congress Has Guaranteed the Secular Stocks Bear Market is Not Over / Stock-Markets / Stocks Bear Market
The cyclical bull market that began in 2009 has not ended. Enjoy it while it lasts because the long-term secular bear market that began in 2000 has also not ended.
Secular markets are very long-term trends within in which cyclical market moves take place. The last secular bull market ran for 18 years, from 1982 to the peak in 2000.
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