Category: Stock Markets 2011
The analysis published under this category are as follows.Sunday, April 01, 2012
Euro Collapse Crisis Sledgehammer Pounds Into Stock Market Santa Rally / News_Letter / Stock Markets 2011
The Market Oracle NewsletterDecember 18th, 2011 Issue #25 Vol. 5
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Sunday, January 01, 2012
World Stock Markets Year End Review: Good Riddance to 2011! / Stock-Markets / Stock Markets 2011
Courtesy of Doug Short. Our gang of eight world market indexes finished 2011 with a thinly traded, holiday-interrupted week that saw little drama. The average weekly performance of the eight was flat, with the CAC 40 taking the top spot for the second week in a row, and the BSE SENSEX at the bottom, equidistant below the flat line.
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Sunday, January 01, 2012
Stock Market Review...2011 and What May Be Ahead For 2012..... / Stock-Markets / Stock Markets 2011
2011 was clearly the year of the bull.
Why, you ask?
Think about it, folks. This market was hit with a tremendous amount of bearish news from all over the world. Europe in terrible shape with many of the Eurozone countries tinkering on bankruptcy. Desperate measures are being taken to try to keep things afloat. Day after day we hear of how dire things are overseas. We know that Japan and China are struggling with their economies, and things are slowing quickly.
Saturday, December 31, 2011
Stocks Bull Market Relief Rally Sends Dow to 5.5% Gain for 2011 Before Dividend Income / Stock-Markets / Stock Markets 2011
The DJIA closed an extremely volatile 2011 up 5.5% at 12,217 (11,577) before dividend income is taken into account, which in terms of the indices is about the minimum return one should expect from long-term stock market investing, so as to beat Inflation. Now before readers start stating a string of indices that failed to end the year in positive territory i.e. showed significant divergence to the DJIA. In which respect the Dow has always been my primary stock index for analysis and trading for the past 25 years, and highlights the mistake many analysts tend to make which is to play pick and mix with stock indices, such as the perma-bear's who jump from index to index, whichever with the benefit of hindsight supports the bear point of view, which at this point would have many opting for the european stock markets, China's SSE (-21%) or for a really big 'ouch' factor India's BSE (-24%), though it is unlikely the bear trends in any of these markets would have actually been capitalised upon since most are only being mentioned with the benefit of hindsight.
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Saturday, December 31, 2011
2011, Wall Street Shysters Stock Market Targets Year in Review / Stock-Markets / Stock Markets 2011
“It ain't what you don't know that gets you into trouble. It's what you know for sure that just ain't so.” - Mark Twain
I published my predictions for 2011 on January 3, 2011 in my article 2011 – The Year of Catch-22. Humans evidently enjoy being embarrassed by how pitiful they are at predicting the future, because we continue to do it year after year. The mainstream media pundits don't dare look back at their predictions or the predictions of the Wall Street shills that parade on CNBC and get quoted in the Wall Street Journal, eternally predicting 10% to 15% stock market gains. The multi-millionaire Wall Street strategists like the spawn of the squid, Abbey Joseph Cohen, have used all of their Ivy League brain power to predict at least a 10% stock price gain every year since 1999. The S&P 500 stood at 1,272 on January 6, 1999. As of this writing it currently stands at 1,261. ZERO appreciation over the last twelve years.
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Saturday, December 31, 2011
2011 A Year Of Odd Global Stock Market Divergences! / Stock-Markets / Stock Markets 2011
Global economies and stock markets have always had a strong tendency to move in lockstep with each other. That tendency has become even more pronounced as global economies have become increasingly dependent on each other in international trade of their goods and services.
So the divergences this year have been rather odd.
Thursday, December 29, 2011
Stock Market Looks Poised to Reverse Hard to Downside Within Days / Stock-Markets / Stock Markets 2011
The market has been in the process of a near 13 Fibonacci week corrective rally since the October 4th 2011 lows at 1074 on the SP 500. So far the highs reached on the initial rally of 218 points were in October at 1292. That has remained the high water mark as we have consolidated over the last many weeks. I expect the market to complete this counter-trend ABC bounce during the Dec 27th-29th window, followed by a good sized correction into Mid-January ahead of the earning season.
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Thursday, December 29, 2011
Stock Market Back on Crash Alert / Stock-Markets / Stock Markets 2011
Yesterday the SPX decline to mid-cycle support/resistance at 1249.27. This morning it is taking a brief bounce to retest the 200 day moving average at 1258.87. As an alternate, it may challenge the 50% Fibonacci retracement at 1259.02.
Additional support may lie at the 50 day moving average at 1235.61 or the intermediate-term trend support at 1230.87. However, other circumstances dictate that those supports may have little influence on the decline.
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Thursday, December 29, 2011
Get Ready for Another Stock Market Plunge! / Stock-Markets / Stock Markets 2011
The VIX has staged a breakout of its smaller Ending Diagonal Formation, but is still underneath mid-cycle support/resistance at 26.94 and the upper trendline of its larger Declining Wedge formation. The VIX is posing a challenge to the equities markets again. My best interpretation of the cycles is that the VIX may be challenging the upper trendline of the Declining Wedge formation by the end of this week.
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Thursday, December 29, 2011
Stock Market Back To No Control........ / Stock-Markets / Stock Markets 2011
The market getting back up to the breakout area of 1267 on the S&P 500 looked so promising if you're a bull. We headed into the holiday weekend with breakouts that were the talk of the stock market world. The bulls were talking the talk as it seemed Europe was under control for the moment. The reports in the United States, currently, aren't at all bad. The reasons for a breakout seemed real. That is, until today when the bears, not so fast, stopped us cold when we tried to break things down. But now, we're stopping the bears as well. No one in control. Volume is light, thus, both sides need not apply too much pressure to hold the other side off from making the bigger move. Holiday time of year when volume is basically light.
Wednesday, December 28, 2011
Euro Holds Key For Stock Market Rally / Stock-Markets / Stock Markets 2011
The best way to monitor the sustainability of the current push higher in stocks (SPY) is to keep an eye on the euro and U.S. dollar. The correlation between stocks and the euro has been strong in recent months. In the current environment, when the euro strengthens, stocks tend to come along for the ride.
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Wednesday, December 28, 2011
Stock Market Volatility Lurks / Stock-Markets / Stock Markets 2011
The European Union is putting its money where its mouth is. Never taking the slightest blame for euro woes, its New York employees are moving to new offices at 666 Third Avenue. The EU's United Nations delegation will "take about 45,000 square feet .... and pay about $60 a square foot annually for 15 years...." reported Bloomberg on December 23, 2011. Negotiations with its prospective new landlord, Tishman Speyer Properties L.P., are nearing completion. The real estate company should consider an anti-EU hedge at the moment the EU signs up.
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Tuesday, December 27, 2011
Stock Market Rally Time for a Pause / Stock-Markets / Stock Markets 2011
SPX: Very Long-term trend - The very-long-term cycles are down and, if they make their lows when expected, there will be another steep and prolonged decline into 2014.
SPX: Intermediate trend - The current action suggests that a wave "C" from 1075 is underway and, after a short consolidation, has resumed its uptrend.
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Tuesday, December 27, 2011
Stock Market Year End Notes, More Broadening Tops / Stock-Markets / Stock Markets 2011
While everyone is looking at the Dow in the SPX, virtually no one is paying attention to the NDX. The rally from August 9 to December 5 was very choppy and overlapping, with the best interpretation being a wave two. Since December 5 it has made an impulsive decline to 2950.71 and three wave correction. As of Friday it has stalled at mid-cycle resistance at 2287.57.
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Monday, December 26, 2011
Stock Market Inflection Point / Stock-Markets / Stock Markets 2011
After a rough beginning on monday US stocks surged tuesday, following the ECB’s successful LTRO results, then continued higher for the rest of the week. For the week the SPX/DOW were +3.65% and the NDX/NAZ were +2.25%. Asian markets gained 0.6%, European markets surged 3.5%, and the DJ World index rose 3.0%. Economic reports in the US were mixed, with positives outnumbering negatives 8:7. On the uptick: NAHB, housing starts, building permits, consumer sentiment, durable goods orders, new home sales, the monetary base, and weekly jobless claims improved. On the downtick: existing home sales, Q3 GDP, leading indicators, FHFA, personal income, the M1-multiplier and the WLEI. Next week, a holiday shortened week, Case-Shiller and the Chicago PMI.
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Saturday, December 24, 2011
Stock Market Bulls Closing In.... / Stock-Markets / Stock Markets 2011
One week ago the market was closing in on breaking down below S&P 500 1225. It failed to hold the breakdown once it occurred as the bears just couldn't find any momentum once the level was taken out. A slow grind lower ensued, with the bulls, eventually, holding the line in the sand. Here we are with the bulls trying to press through massive resistance between 1260/1657. You need a gap up and out to confirm the move, so we'll be looking for that on Tuesday when we open for trading once again. The bears choked big time when they had their chance, especially since they actually broke through key support at 1225. Now, the bulls are on the precipice of breaking through their major headache resistance area. Let's see what they can, or can't, do with it.
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Friday, December 23, 2011
The Stock Market and Recession Crazes / Stock-Markets / Stock Markets 2011
Recession is a four-letter word in the financial markets, striking terror into the hearts of everyone. And if reports since August are to be believed, there is a recession hiding behind every tree. For a myriad of reasons, economists have argued we are due to plunge into the next one any day now. But speculators and investors have to understand how recession talk is spawned, sometimes leading to recession crazes.
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Friday, December 23, 2011
ECB Liquidity Loans Still Not Enough to Stop Stock Market Topping / Stock-Markets / Stock Markets 2011
Giuseppe L. Borrelli writes: Yesterday we learned that the European Central Bank offered to loan 523 banks a total of 489 billion euros ($641 billion) in funding. The idea is part of a drive to increase liquidity and curtail the threat of sovereign default by some euro-zone members. Unfortunately the short-term liquidity needs for European banks exceed one trillion euros. What's more the ECB is loaning out money to EU banks for three years thereby increasing the overall debt of these troubled banks while allowing them to postpone the problem of how to pay down that debt. In return the ECB is receiving bad sovereign debt as security at face value and it is leaving itself with little cash on hand.
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Friday, December 23, 2011
Stock Market Failure at Resistance / Stock-Markets / Stock Markets 2011
The trendline under wave [c] of ii appears to have been broken. The chances are that any indication of selling may beget even more selling, as the tacticians are all watching the 200-day moving average.
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Thursday, December 22, 2011
Chinese and Indian Tails Wagging the Global Equity Dog? / Stock-Markets / Stock Markets 2011
There is no significant decoupling in our current global economy. As I am typing this, the Chinese stock market (Shanghai Index or $SSEC) is making new lows (intraday basis) for the current decline it has been undergoing. Is the Chinese market signaling what comes next for developed stock markets like the US and Germany? Is the tail predicting what the dog will do? I think it is.
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