Category: Stock Markets 2014
The analysis published under this category are as follows.Tuesday, February 11, 2014
Stock Market Yellen Like Magellan / Stock-Markets / Stock Markets 2014
More free money?
That's the hope on which the markets are pinning this little rally as we bounce quickly off S&P support at 1,750 and already back to 1,800 – halfway back to 1,850 – making this little pullback the smallest of blips in the great bull rally of 2009 (now up 177% in 5 years).
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Tuesday, February 11, 2014
Stock Market Forecast 2014 Thought Experiment Revisited / Stock-Markets / Stock Markets 2014
Courtesy of Doug Short: With 66% of Q4-13 earnings complete, here is the latest update of my ongoing “thought experiment” for forecasting the S&P 500 price based on earnings fundamentals.
The previous two months, I issued a warning due to forecasted earnings being lowered while the average monthly closes went above the forecasted earnings projections. This month, 2014 earnings have been significantly increased from previous forecasts. As a result, the warnings have disappeared. I’ve included a chart below that illustrates the change since April 2013.
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Tuesday, February 11, 2014
Stock Market Waiting on Yellen.... / Stock-Markets / Stock Markets 2014
The market is sitting pretty much on the 50-day exponential moving average on the S&P 500. It will be very important for the short-term to see if we can break back above, or whether these 50's cause the next move lower. The answer to that may come, to some degree, tomorrow morning when the new Fed President, Ms. Yellen, gives her first speech to Congress. The world wants to know her future stance on tapering, and on those extremely low rates in the short- and long-term worlds. Once she finishes her speech the grilling will begin. You get the feeling Congress won't have much mercy.
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Monday, February 10, 2014
Stock Market Struggles to Bounce Amidst Record Leverage / Stock-Markets / Stock Markets 2014
Many Are Betting on a Calm Stock Market. We're Not.
Here's one good reason why: a historic market sentiment extreme
The DJIA, S&P and NASDAQ are struggling to bounce. Yet the bullish convictions remain high. Says a February 5 Investor's Business Daily headline:
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Monday, February 10, 2014
Dow Industrials Stock Market Top in Place? / Stock-Markets / Stock Markets 2014
To answer that question truthfully, it's way too early to confirm the answer to that question. I have posted previously there is still a bullish wave count that suggests a possible move to 14000 before it moves higher and targets 17000 - 19000, but to those traders that are flexible and can trade both sides of the trend there is plenty of $$$ to be made for those that can find the right set ups.
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Monday, February 10, 2014
Stock Market Fat Lady Has Yet To Sing. Some Questions About YOUR Stocks? / Stock-Markets / Stock Markets 2014
The opposite sentiment of "gold fever" has been apparent in the stock market, of late, with so many calls for a top and/or a crash. Gold has not rallied to higher levels called for, and the stock market has not fallen to levels that resemble a crash.
Trust in the Fed a little more. That criminal body is not about to let the market go down without more of a taper fight. It is not yet game over, at least for the market in general. The same may not be true of individual stocks within one's portfolio, and that is where the focus should lie.
Monday, February 10, 2014
Is the Stock Market Correction Over? / Stock-Markets / Stock Markets 2014
Current Position of the Market
SPX: Very Long-term trend - The very-long-term cycles are in their down phases, and if they make their lows when expected (after this bull market is over), there will be another steep decline into late 2014. However, the Fed policy of keeping interest rates low has severely curtailed the full downward pressure potential of the 40-yr and 120-yr cycles.
Intermediate trend - The next week should decide if SPX has completed its correction, or if more time - and possibly new lows - is required.
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Sunday, February 09, 2014
Stock Market Back Testing...Now What.... / Stock-Markets / Stock Markets 2014
The market fell quite a bit from the first day of January and kept going pretty much until midweek this week. The market oscillators got very compressed lower, while the Dow was testing its 200-day exponential moving average. It told me that the market should be done selling for a while, and that a rally should take place, thus, the Spy long that was taken. The real question is once we tested the 20- and 50-day exponential moving averages from underneath, something that basically occurred today, would the market just quit, or would it surprise, take them out and go higher?
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Sunday, February 09, 2014
Dow Stocks Bull Market Continues / Stock-Markets / Stock Markets 2014
Another wild week volatile week that started off quite choppy to the downside. Then ended with a strong rally to the upside. After closing last week at SPX 1783, the market dropped to 1738 by Wednesday morning. Next it rallied, over the next two days, to end the week at SPX 1797. For the week the SPX/DOW were +0.7%, the NDX/NAZ were +0.8%, and the DJ World index gained 0.7%. Economic reports for the week were slightly to the downside: 7 to 6. On the uptick: construction spending, ISM services, monthly payrolls, consumer credit, plus both the unemployment rate and weekly jobless claims improved. On the downtick: ISM manufacturing, monthly auto sales, factory orders, the ADP index, the WLEI, the monetary base, and the trade deficit worsened. Next week we get a look at Industrial production and Retail sales.
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Saturday, February 08, 2014
Stock Market Napalm - Can You Hear the Popping Sounds? / Stock-Markets / Stock Markets 2014
Once again the smell of NAPALM is in the air. Reversals in liquidity and Massive markets reaction to PUNY emerging market outflows PROBABLY signals the next waves of insolvencies are STRIKING as I write this. Most main stream economists, banksters, brokers, governments and public servants are calling for continued recovery in developed world economies; to me it APPEARS we just saw the PEAK.
As Warren Buffet once said “When the tides go out we find out who has been swimming naked” and we are about to see this statement in ACTION!!!
Saturday, February 08, 2014
Will Stock Market 2014 be Like 2008? / Stock-Markets / Stock Markets 2014
One of the biggest problems for the stock market entering 2014 was the near unanimous belief on Wall Street that stock prices would only go higher this year. Indeed, you had to look a long way to find even a hint of bearishness at the start of the year.
Just how bullish were investors before the decline began? According to Bloomberg Businessweek, advisers surveyed by the National Association of Active Investment Managers had 98.3 percent of their clients' portfolios allocated to stocks in January before the decline began. By comparison, exposure to equities averaged 72 percent during 2013. It's easy to see from this near-unanimity of belief in equities why the correction was bound to occur.
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Saturday, February 08, 2014
Stock Market Sell-Off Gives Us “Miracle Material” Bargain Of The Year / Stock-Markets / Stock Markets 2014
Michael A. Robinson writes: I was one of the first analysts to pronounce this as the “Golden Age of Materials Science.”
You know what I’m talking about – all those “Miracle Materials” that are changing our lives: There are the advanced composites that lighten our airliners; the great plastics that increase the “cool factor” of today’s cars – while also making them safer and more economical. It’s one of earth’s more abundant resources; and the new discoveries, such as graphene, which promise to revolutionize biotechnology, computers and industry.
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Friday, February 07, 2014
Stock Market Selloff Starts, New Bear Market? / Stock-Markets / Stock Markets 2014
Selling has finally returned to the US stock markets, short-circuiting their year-old levitation. This new downside action of the last couple weeks looks very different from anything witnessed in 2013. Is it just another minor and short-lived pullback, the vanguard of a full-blown correction, or the dawn of a new cyclical bear market? The prudent strategy for traders varies greatly with this selloff’s likely magnitude.
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Friday, February 07, 2014
February to Be a Repeat of January’s Stock Market Losses? / Stock-Markets / Stock Markets 2014
Mohammad Zulfiqar writes: Since the beginning of the year, key stock indices have fallen, and this is making investors nervous. They are asking what will happen next. The first month of the year is usually good for the stock market, but that wasn’t the case this year. The S&P 500 fell more than three percent and other key stock indices showed the same, if not worse, returns.
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Friday, February 07, 2014
Many Are Betting on a Calm Stock Market. We're Not / Stock-Markets / Stock Markets 2014
Here's one good reason why: a historic market sentiment extremeThe DJIA, S&P and NASDAQ are struggling to bounce. Yet the bullish convictions remain high. Says a February 5 Investor's Business Daily headline:
"Why Mutual Fund Investors Need Not Panic After January Sell-Off"
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Friday, February 07, 2014
Stock Market Rally Before the Big Jobs Report / Stock-Markets / Stock Markets 2014
Courtesy of Doug Short: Before the market opened, the latest new jobless claims report was a bit better than expected and European markets were rallying. The S&P 500 followed suit, rallying at the open and trading higher through the day to its 1.24% close, just fractionally off its 1.28% intraday high shortly before the bell. Today’s rally comes in advance of tomorrow’s big employment report for January. The mainstream consensus is for 175K-185K new nonfarm jobs. My forecast? A beat will be good news, and a miss will probably be dismissed as weather related.
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Thursday, February 06, 2014
Global Stock Markets Throw a Taper Tantrum / Stock-Markets / Stock Markets 2014
A sharp sell-off in the global stock markets so far this year has left many small investors a bit puzzled and panicky, and unsure how to react. Retail investors in the US, who watched the from the sidelines in a state of disbelief, as the “Least Loved” Bull market on Wall Street, continued to climb to new all-time highs, - finally decided to throw in the towel in the second half of 2013, and jumped aboard the Bullish bandwagon. The late converts plowed $175-billion of their savings into US-equity funds, helping to push the S&P-500 Index to an all-time high at the 1,850-level. They gave little thought that maybe, the “Least Loved” Bull had climbed “too far and too fast” after gaining +175% from the Great Recession low.
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Thursday, February 06, 2014
Stock Market Bottoms Have Two Elements: We’re Still Missing One / Stock-Markets / Stock Markets 2014
Courtesy of Doug Short: Monday’s ISM wipeout pushed the stock market into deeply oversold territory as fear levels in the market began to surge. The ISM Manufacturing PMI came in at 51.3 versus the estimated 56.0 reading and down from 57.0 for December 2013 and was the biggest miss in years, elevating growth fears. However, while many bears will dismiss pundits blaming the cold weather and see the miss as a sign of things to come, the ISM national PMI is just one survey and it moved opposite to many of the regional Fed manufacturing surveys for January. In fact, when reviewing various PMI readings across the country there were more positive improvements than negative with the average among surveys increasing during the month, as shown below. Note the positive changes in the Austin PMI (+9.4) and the Empire Manufacturing Survey (+10.3) were greater in size than the negative declines. Another encouraging development was a slight uptick in the JP Morgan Global Composite PMI.
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Thursday, February 06, 2014
Why I Wouldn’t Give Up on This Stock Market Yet / Stock-Markets / Stock Markets 2014
George Leong writes: Another day and another 300-point decline in the Dow Jones Industrial Average—that seems to be the norm right now. But despite my assurances that things will inevitably get better, I continue to see extreme nervousness out there.
Now it’s probably time for more hand-holding as we move along during this mini crisis in the markets.
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Thursday, February 06, 2014
Steps to Overcoming Losses in a Falling Market / Stock-Markets / Stock Markets 2014
Mohammad Zulfiqar writes: “What should you do when the house isn’t in order?”
A good friend of mine asked this question back in 2011. At that time, key stock indices were plunging lower due to issues regarding the U.S. debt ceiling. There was uncertainty, and many wondered what would happen next. I remember this question now because the key stock indices nowadays are falling due to troubles in the emerging markets and there seems to be panic—similar to what we were experiencing when I first heard this question.
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