Analysis Topic: Stock & Financial Markets
The analysis published under this topic are as follows.Sunday, November 20, 2011
Stock Market Bull or Bear, This Correction Should Tell / Stock-Markets / Stock Markets 2011
For the third week in a row the market had a turnaround tuesday event. Three weeks ago it hit the SPX 1215 low. Two weeks ago the SPX 1278 high. And, this tuesday the high for the week at SPX 1264. Economic reports for the week were again biased to the upside. On the downtick: the CPI/PPI, retail sales, business inventories, housing starts and the Philly FED. On the uptick: the NY FED, industrial production, capacity utilization, the NAHB housing index, building permits, leading indicators, the monetary base, the M1-multiplier, the WLEI, and weekly jobless claims improved. For the week the SPX/DOW were -3.35%, and the NDX/NAZ were -4.15%. Asian markets lost 3.0%, European markets lost 2.9%, and the DJ World index lost 3.9%. Next week’s holiday shortened economic highlights are Q3 GDP, PCE prices and the FOMC minutes.
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Sunday, November 20, 2011
Japan Stock Market Bearish Trigger Whilst Everyone Is Watching Europe / Stock-Markets / Japanese Stock Market
I have been closely following the Japanese Nikkei Stock Market Index ($NIKK) lately waiting for it to break down below the neckline of a big "head and shoulder-y"-type topping pattern that has been going on for over 2 years now. Well, this week it finally broke on a weekly basis. Ignoring other important global markets is a mistake for American and European traders. The fact that Japan broke down this week means there should be very little weight given to the bullish case for common equities in my opinion (unless this break down quickly reverses course, which seems unlikely at this point).
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Sunday, November 20, 2011
Stock Market Rally, It's a Trap / Stock-Markets / Stock Markets 2011
So far, the high for the year occurred on May 2nd at 12,876 on the Industrials and on July 7th at 5,627.85 on the Transports. In turn, this left an upside non-confirmation in place and on August 4th both the Industrials and the Transports closed below their previous secondary low points. This was the first time since the March 2009 low that this has occurred. In doing so the primary trend turned bearish in accordance with Dow theory.
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Saturday, November 19, 2011
S&P Stock Index Unable to Sustain Strength / Stock-Markets / Stock Index Trading
As the e-mini S&P 500 circled unchanged near the end of Friday's session, we noticed the price action had failed to lift off of the lower Bollinger Band line at 1206.25 on the daily chart.
In an underlying, very constructive technical set-up, a traverse from the upper BBnd line (1289.25 on Oct 27) to the lower BBnd (1207 on Nov 17) usually resolves itself in a potent upmove off the lower line, which renews the dominant uptrend.
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Saturday, November 19, 2011
Why We Should Help Debt Crisis Europe! / Stock-Markets / Global Debt Crisis
A major component of the big new eurozone rescue plan is to substantially increase the European EFSF contingency bailout fund, from 440 billion euros to 1 trillion euros ($1.4 trillion). The fund would then be a substantial firewall, with the ability to lend money to Italy, Greece and other countries at low interest rates, helping them cover their debts until the austerity measures being imposed bring their debt loads under control.Read full article... Read full article...
Saturday, November 19, 2011
Stock Market, I Remain Bearish / Stock-Markets / Stock Markets 2011
The hourly chart of the NDX looks unbelievably bearish. There is no hourly support whatsoever. As I had mentioned in prior e-mails, the Broadening Wedge in the Head and Shoulders pattern compel me to believe the crash is imminent. The market held up during options expiration, but that does not mean that we can't have a serious gap down Monday morning.
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Saturday, November 19, 2011
Essential U.S. Budget Deficit Elephant Realities and Gold Antidote for Investors / Stock-Markets / Financial Markets 2011
“U.S. Federal Budget Deficit Reality. On November 23rd… the Congressional Super Committee is due to announce a mandatory plan for cutting the federal budget deficit. Ostensibly, the package to be produced will provide at least a 1.2-trillion dollar deficit reduction over ten years. Even if the Committee can reach an agreement… the deal will not be meaningful… consider the following:
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Friday, November 18, 2011
Stock Market Flash Crash Alert / Stock-Markets / Financial Crash
The SPX is caught between intermediate term trend resistance at 1220.23 and hourly cycle bottom support at 1214.43. Final support not shown in the charts is the 17 hour cycle bottom at 1204.79. Below that is free-fall territory.
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Friday, November 18, 2011
Gold Rallies after "Hard Hit", ECB "Now Only Significant Bond Buyer" / Stock-Markets / Gold and Silver 2011
SPOT MARKET prices to buy gold regained some ground on Friday morning – following a sharp drop on Thursday, which saw a disappointing Spanish government bond auction and sustained losses on European and US stock markets.
At one point on Thursday, gold prices fell 1.9% in just one hour – with several analysts suggesting investors ha to liquidate gold holdings to cover positions elsewhere.
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Friday, November 18, 2011
Why Warren Buffett Is Buying Stocks And You Should Be Too / Stock-Markets / Investing 2011
Keith Fitz-Gerald writes: Legendary investor Warren Buffett recently made news with his purchase of International Business Machines Corp. (NYSE: IBM), though I can't say I'm surprised.
Despite criticism that he's buying into a top-heavy market, that IBM is at a premium, and that he's losing his touch, chances are Buffett knows exactly what he's doing.
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Friday, November 18, 2011
Stock and Commodity Markets Make Or Break / Stock-Markets / Financial Markets 2011
BIG PICTURE – The global economy is slowing down, most of Europe is in recession and the US is also on the verge of a contraction. Nonetheless, the ‘risk on’ trade has raged over the past month and somehow, the market seems to be oblivious to the real economy.Read full article... Read full article...
Thursday, November 17, 2011
Things Getting Ugly for Stock Market Bulls / Stock-Markets / Stock Markets 2011
SPX has clearly emerged out of its Diamond pattern formation and, technically speaking, has nothing but air to the bottom of the charts. This is a perfect crash set up. Since the SPX reentered its original Broadening Wedge formation, it may still be under the influence of that Broadening Wedge, which has a target below 1000. In fact, there is some argument that we are now entering the crash phase of the initial Broadening Wedge.
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Thursday, November 17, 2011
A Stock Market Trifecta of Sell Signals / Stock-Markets / Stock Markets 2011
The NDX has now crossed and back-tested the lower trendline of its Broadening Top at 2312.00 and the intermediated-term trend support at 2306.00. This gives the NDX a confirmed sell signal. The next probable support is the neckline at 2292.00, which happens to correspond with hourly cycle bottom support. Once these are all crossed, we will have a trifecta (or possibly a “fourfecta”) of sell signals. This would put the Head & Shoulders target in play.
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Thursday, November 17, 2011
Stock Market Next Leg Down / Stock-Markets / Stock Markets 2011
Global markets appear to have completed their consolidation and now appear set for the next leg down.
After several weeks of stalling, today's movement on the broad-based NYSE Composite suggests that the index is expected to decline (Chart 1) over the next few days. Price support has been at 7350-7400. That level should be broken by early next week.
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Thursday, November 17, 2011
Stock Market Poor Action....Still In The Range..... / Stock-Markets / Stock Markets 2011
Today spoke volumes about the type of market we're in right now. It's a market that can't break out, seems to be clear to all of us now. A market that has been moving laterally is more of what we're seeing, but with today's action, we may be ready for some much deeper downside action. Let me explain.
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Wednesday, November 16, 2011
Stocks Severe Bear Market Forecast 2012? / Stock-Markets / Stocks Bear Market
The stock market's 17-month drop into March 2009 erased all the gains in the Dow Jones Industrial Average since the late 1990s. That's a full decade's worth of gains.
And the two-week drop that ended August 9 basically wiped out all the gains from 2010 - 2011.
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Wednesday, November 16, 2011
Why We Don’t Buy Stock Breakouts / Stock-Markets / Stock Markets 2011
Wednesday, November 16, 2011
New Stock Market Action is Right Around the Corner / Stock-Markets / Stock Markets 2011
If we were to get a Santa Claus rally ... How high could it go?
The answer can be found on today's chart as seen below ...
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Wednesday, November 16, 2011
Stocks and Dollar Breakouts, Breakdowns & Supports / Stock-Markets / Financial Markets 2011
Yesterday I reported the breakdown of the Euro. This morning, the US Dollar is staging a breakout, having reached an overnight high of 78.60 in the futures. It appears to be finding support at or above its cycle top support/resistance at 78.30, which is a sign of strength. This is typical of an Elliott third wave, which appears to be beginning.
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Wednesday, November 16, 2011
Are You Prepared For What’s Coming? / Stock-Markets / Financial Markets 2011
Michael A Burnham writes: The US$ is the world reserve currency and a huge amount of it is used in international commerce and held in foreign banks. What is the real value of the US$ or any currency for that matter? Money is no longer backed by gold or anything other than “good faith”, thus coined “fiat currency". Whenever the US Treasury runs short of money, it auctions Treasury notes…IOUs. But since there are fewer interested buyers in the world today, it then borrows dollars, printed out of thin air, from the Federal Reserve, a privately owned banking consortium, in exchange for Treasury notes. Every dollar issued represents an instrument of debt. In your wallet, you will find a Federal Reserve Note and its value is quantified by what it can buy.Read full article... Read full article...