Category: Stock Markets 2018
The analysis published under this category are as follows.Tuesday, June 19, 2018
Trump A Bull in a China Shop / Stock-Markets / Stock Markets 2018
In light of the developing trade war between the US and China, let’s review the all-important Semiconductor sector and in particular, the Semi Equipment segment, which is a key economic early bird (and canary in a coal mine).
Various sectors took hits on Friday as Trump moved forward with Tariffs on China. But most of those sectors and industries are follow-on aspects of the economic cycle, which got its start when the early bird chirped in early 2013.
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Monday, June 18, 2018
Stock Market Consolidating in an Uptrend / Stock-Markets / Stock Markets 2018
Current Position of the Market
SPX: Long-term trend – The bull market is continuing with a top expected in the low 3000s.
Intermediate trend – The intermediate correction from 2873 has ended and we are in a new intermediate uptrend which should take SPX to a new all-time high.
Monday, June 18, 2018
Russell Has Gone Up 7 Weeks in a Row. EXTREMELY Bullish for Stocks / Stock-Markets / Stock Markets 2018
Last week I published a study demonstrating what happens to the stock market when the Russell 2000 (small caps) index goes up 6 weeks in a row. The Russell has extended that streak to 7 weeks in a row.
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Friday, June 15, 2018
Is This a Big Sign of a Big Stock Market Turn? / Stock-Markets / Stock Markets 2018
Financial legislation might mean something different than most investors believes it means
A stock market warning has just developed for those who are bullish.
Here's what I'm talking about (CNBC, May 22):
The House voted May 22 to pass the biggest rollback of financial regulations since the global financial crisis.
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Thursday, June 14, 2018
Stock Market Topping Pattern or Just Pause Before Going Higher? / Stock-Markets / Stock Markets 2018
It was all about the FOMC Rate Decision release on Wednesday, and stocks' initial reaction to that news was slightly negative. The broad stock market extended its short-term consolidation along the resistance level. Will the uptrend continue or is this some topping pattern ahead of downward reversal? There are still two possible medium-term scenarios.
The U.S. stock market indexes lost between -0.1% and -0.5% on Wednesday, as investors reacted to the Fed's interest rate hike announcement. The S&P 500 index is still close to its mid-March local high of around 2,800. It currently trades 3.4% below January's 26th record high of 2,872.87. The Dow Jones Industrial Average lost 0.5%, and the technology Nasdaq Composite lost 0.1% yesterday.
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Thursday, June 14, 2018
Yield Curve Continues to Flatten. A Bullish Sign for the Stock Market / Stock-Markets / Stock Markets 2018
The Treasury yield curve continues to flatten. The 10 year yield – 2 year yield is now at 0.39%. Or as the bears would have you believe, “the Fed is about to end the economy and stock market”.
Facts and data disagree.
This is the first time in the current economic expansion cycle in which the yield curve flattened to 40 basis points (0.4%). As you can see, the yield curve still needs to flatten a lot more before a recession and bear market begins.
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Thursday, June 14, 2018
Stock Market Near Another Top? / Stock-Markets / Stock Markets 2018
According to the Gann astro/cycles and my wave counts, we are near another important top. Ideally, this top should occur on June 14/15. The next possible cycle low is due sometime between June 28/29 and July 3/5 depending on the count and final top. My preferred count has the S&P 500 moving down into July 3/5 to a slightly higher high than the 2553 mark tagged on April 2. The alternate has a much lower drop going down into the 2460’s by June 28/29. The ideal top this week is a minimum 2805 SPX.When the market fell in February, it readjusted the normally dominant 20 week cycle, which is now due toward the end of June or early July. The Gann 64/128 TD lows remain the same, due in early July. At any rate, we should see a nice summer rally out of the expected drop. Major cycles are due to top on August 19th one month and fall into mid November and even January-February 2019.
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Tuesday, June 12, 2018
What Happens Next to Stocks when Russell Goes up 6 Weeks in a Row / Stock-Markets / Stock Markets 2018
Small cap stocks (Russell 2000 Index) continues to lead the stock market higher.
As I demonstrated in a study last week, the Russell leading the S&P 500 is a medium term bullish sign for the stock market.
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Tuesday, June 12, 2018
Stock Market Eying Extension Into March Highs / Stock-Markets / Stock Markets 2018
High Odds that Low of Year Confirmed
The first week of June was fairly easy to navigate and trade as the bullish pattern took a couple extra weeks of high level consolidation to finally complete its course. It really started with the breakout on Monday June 4 above the key 2742 level to confirm that the bull train is ready for the immediate breakout to accelerate above the prior two weeks’ worth of consolidation range (2742 vs.2700/2675). On the next day, the bull train grinded up a little and held above the 2742 breakout level to trap in more market participants for the high odds of a trend week.
Monday, June 11, 2018
Why You Should Brace Yourself for Big Financial Changes / Stock-Markets / Stock Markets 2018
Extrapolating current trends into the future leave many people unprepared for major societal shifts
The one thing you can count on in financial markets, and society at large, is change.
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Monday, June 11, 2018
Stock Market Topping Pattern or Just Consolidation? / Stock-Markets / Stock Markets 2018
Stocks traded within a short-term consolidation on Friday, as investors took some profits off the table following the recent advance. The broad stock market accelerated its uptrend after breaking above three-week-long consolidation a week ago. Will it continue its uptrend or is this some topping pattern ahead of downward reversal? There are still two possible medium-term scenarios.
The U.S. stock market indexes gained 0.1-0.3% on Friday, as they fluctuated following the recent advance. The S&P 500 index remained close to its mid-March local high of around 2,800. It currently trades 3.9% below January's 26th record high of 2,872.87. The Dow Jones Industrial Average gained 0.3%, and the technology Nasdaq Composite gained 0.1%, as it was relatively weaker than the broad stock market on Friday.
Monday, June 11, 2018
Study: What Happens Next to Stocks When the Put/Call Ratio is Very Low / Forecasts / Stock Markets 2018
The Equity-Only Put/Call Ratio was very low last Tuesday, falling below 0.5 for the first time since January 2018. This is commonly seen as a bearish sign. It isn’t. Here’s the data to prove it.
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Monday, June 11, 2018
G7 Chaos, Central Banks and US Fed Will Drive Stock Prices This Week / Stock-Markets / Stock Markets 2018
After last weeks closing bell for stocks and the early signs of the Capital Market Shift which we mentioned previously was taking place are now clearly evident. We wanted to alert all of our followers that this week could be very dramatic with a number of key events playing into global expectations.
Our research team at Technical Traders Ltd. have been combing through the charts trying to find hints of what may happen and what to expect in terms of price volatility next week. We know our ADL price modeling system is telling us that certain price weakness will continue in certain sectors and strength in others – but we are searching for the next opportunities for great trades.
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Monday, June 11, 2018
SPX Unshackled / Stock-Markets / Stock Markets 2018
Current Position of the Market
SPX: Long-term trend – The bull market is continuing with a top expected in the low 3000s.
Intermediate trend – The intermediate correction from 2873 has ended and a new intermediate uptrend has started with the bottoming of the 40-wk cycle on 5/29.
Analysis of the short-term trend is done on a daily basis with the help of hourly charts. It is an important adjunct to the analysis of daily and weekly charts which discusses the course of longer market trends.
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Sunday, June 10, 2018
Stock Market Could Pullback for 1-2 weeks, But Medium Term Bullish / Stock-Markets / Stock Markets 2018
As always, the economy’s fundamentals determine the stock market’s medium-long term outlook. Technicals determine the stock market’s short-medium term outlook. Here’s why the stock market could pullback for 1-2 weeks, but the medium term is bullish.
Let’s go from the long term, to the medium term, to the short term.
Long term is bullish
The Medium-Long Term Model states that there is no “significant correction” or bear market for U.S. equities on the horizon.
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Sunday, June 10, 2018
End of the World Stock Market Chart! / Stock-Markets / Stock Markets 2018
I have only one chart to show you tonight which I call the “History Chart of the End of the World,” which I built out in 2013. I usually show this chart a couple of times a year just to keep the big picture in perspective. This long term monthly chart shows all the earth shattering events that felt like the end of the world when they occurred and I can personally attest to that fact because I was in the markets in each one of those events.
The crash into the 2009 low was the last time we had anything that really felt like it would be a life changing event similar to the 1929 crash. As you can see, that end of the world event in 2009, formed the fourth reversal point in that 10 year blue triangle consolidation pattern. The last slightly little thing to put a scare into investors was the BREXIT vote in early 2016 that turned out to be a non event. Most have already forgotten about it, but for several weeks it was big news.
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Saturday, June 09, 2018
5 "Tells" that the Stock Markets Are About to Reverse / Stock-Markets / Stock Markets 2018
Dear Reader,
Our friends at Elliott Wave International (elliottwave.com) just released a new, free report: "5 'Tells' that the Markets Are About to Reverse”. It reveals many false indicators – a.k.a. “head fakes” -- investors like you and me see every hour of every day.
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Friday, June 08, 2018
Fed’s Interest Rate Hike is Short term Bearish for Stocks / Stock-Markets / Stock Markets 2018
The Fed is expected to hike interest rates next Wednesday.
Rate hikes in the current rate hike cycle have been a short term bearish factor for the stock market. The stock market has tended to go down or swing sideways during the next 2 weeks after a rate hike.
Here’s what happened to the S&P 500 after each rate hike in the current rate hike cycle.
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Thursday, June 07, 2018
Axel's Stock Market Outlook / Stock-Markets / Stock Markets 2018
Ask me what I am currently most enthusiastic about in the markets, and I’ll tell you it is the underpricing of rate hike expectations. Let me elaborate on why, what it means for investors’ portfolios and how to possibly profit from it.
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Thursday, June 07, 2018
Blue Chips Take the Lead, Enough to Push Stock Market Higher? / Stock-Markets / Stock Markets 2018
Investors' sentiment continued to improve on Wednesday, as the broad stock market accelerated its short-term uptrend following Monday's breakout above three-week-long consolidation. The S&P 500 index gets closer to march local high. Will the uptrend continue? There are still two possible medium-term scenarios, but bulls are much happier now.
The U.S. stock market indexes gained between 0.7% and 1.4% on Wednesday, extending their short-term uptrend, as investors' sentiment continued to improve and blue-chip stocks regained their strength. The S&P 500 index broke above 2,750 mark and it currently trades just 3.5% below January's 26th record high of 2,872.87. The Dow Jones Industrial Average gained 1.4%, as it was relatively stronger than the broad stock market yesterday, and the technology Nasdaq Composite gained 0.7%.