Analysis Topic: Stock & Financial Markets
The analysis published under this topic are as follows.Monday, January 24, 2011
Stocks Bear Market Rally About to End Soon / Stock-Markets / Stocks Bear Market
Mitchell Clark writes: This is a bear market rally and the party is going to end soon. Sorry.
I’m not super bearish by any means, but rather realistic as to how far the stock market has come since the March 2009 low and even since last summer. In order for us to have a real bull market, we need a catalyst and I don’t see one as of yet. That catalyst has to be some major innovation or technological breakthrough (like doing business over the Internet) and it has to be sustainable.
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Monday, January 24, 2011
Stock Market Breakdowns and Divergences Signal Trouble Ahead / Stock-Markets / Stock Markets 2011
This week was notable for the official state visit of the Chinese President, Hu Jintao, to American soil. I liken it to the landlord coming to visit his tenants. The visit lasted three days and I saw little in the way of news and comments among the usual suspects. In fact as Hu boarded the plane, these were the headlines on www.msn.com:
- 18 Commandments foe a Bangin Body
- The Surprising Secret for Increasing Passion
- Frigid Weather
- America’s Most Dangerous Jobs
- Taking Justice into Their Own Hands (Phoenix Jones considers himself a superhero)
Monday, January 24, 2011
Current State of the Stock and Commodity Markets / Stock-Markets / Financial Markets 2011
I’ve been forecasting a Mid January top in the SP 500 (Us Markets) for multiple weeks now well in advance. My work had looked for 1285 as a minimal upside rally from the 1173 4th wave lows. The range was 1285-1315, we have been to 1296 but that pretty much should have capped off the rally. Here are some further thoughts:
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Monday, January 24, 2011
The Three Risk Factors Every Stock Market Investor Should Know / Stock-Markets / Stock Markets 2011
Jon D. Markman writes: Last week had its ups and downs, but some winners emerged. Consumer staples and technology companies had strong showings. But in determining which companies will continue to succeed going forward, there are three important risk factors to consider.
Stocks reacted to the first big week of earnings with a surprisingly mixed-up performance, as large-cap value stocks rose 0.7% while mid-caps fell 0.7% and small-caps fell 2.4%.
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Monday, January 24, 2011
Global Stock Markets Over Extended and Running Out of Steam / Stock-Markets / Stock Markets 2011
First cab off the rank and probably one of the biggest bull markets ever experienced in a western equity market index over a two year period in the history of the stock market, would have to be the Canadian TSX Mining Index, which rose from 177 to 1568, a rise of 786% since November 2008.By comparison, the Sydney Metals and Minerals index rose from 370 in 1959 to around 5400 in January 1970 – a rise of 1360% over the last 11 years of Australia’s mining boom.
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Monday, January 24, 2011
What Phase is the Stock Market in Now? / Stock-Markets / Stock Markets 2011
If you are a fan of Wyckoffian logic then you will understand that the stock market has four major phases: Accumulation, Markup, Distribution and Markdown. The $64,000 question is what phase are we in now ?
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Monday, January 24, 2011
Stock Market Indices Dow, SP500, Nasdaq, Russell 2K Comparison / Stock-Markets / Stock Markets 2011
Depending what type of trader you are and what you focus on the most for trading you could be either bullish or bearish on the stock market right now. The charts below show how the Dow Jones Industrial Average is bullish while the Small-Cap Russell 2K is bearish. Options expiration last week really mixed the market up as the market makers and the big money players manipulate stock prices in their favor.
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Monday, January 24, 2011
Dow Stock Market Index Interim Trend Analysis and Forecast Update / Stock-Markets / Stock Markets 2011
The stock market spent most of the week trading sideways in a tight range into Fridays break higher to a new bull market closing high of Dow 11871.84. However minor weakness during early to mid week was enough to get many perma-bears with itchy fingers to short and lose more money on the so called bear market rally (approaching 2nd anniversary). Some even went so far as to resurrect the worthless Hindenberg Crash Omen, as they wait for the one time when it actually delivers something other than trading losses, though a coin toss has repeatedly shown itself to be infinitely more profitable than the likes of the hindenberg crash omen.
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Sunday, January 23, 2011
Value Line Geometric and Arithmetic Averages / Stock-Markets / Stock Markets 2011
Value Line maintains two averages of the universe of stocks that it tracks. The Arithmetic average tracks the average percentage change of all stocks in its index. Naturally, small and midcap stocks will usually move in greater percentages than large cap stocks during a bull and bear markets. It takes a lot more money to move large caps than small/mid caps. The chart below illustrates this index since its inception in 1988.
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Sunday, January 23, 2011
U.S. Transportation charts heralding a change of Stock Market direction? / Stock-Markets / Stock Markets 2011
Transportation is one of the main barometers of economic health and as such, this sector should be the first or one of the first to confirm a topping out process.It is the first sector to show charts breaking support levels and uptrends, but it is early days yet and more confirmations are needed.
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Sunday, January 23, 2011
Shanghai Interbank Offered Rate Soars to 7.5%, Could Trigger Stock Market Flash Crash / Stock-Markets / Financial Markets 2011
The FDIC Expands the Problem Bank List.
The FDIC Failed Bank List announced four new bank closures this week. The FDIC said in November that its list of “problem” banks -- those at heightened risk of failure -- grew by 3.7 percent to 860 in the third quarter, the most in 17 years. Banks on the confidential list had $379.2 billion in assets as of Sept. 30, down from $403 billion three months earlier.
Saturday, January 22, 2011
My Central Banker Can Beat Up Your Central Banker! / Stock-Markets / Stock Markets 2011
Another week - another gain for the Dow. The S&P was slightly positive but what’s up with the Nasdaq? It was actually down a few percentage points. While the other indices were rising because the economy was getting better, the Nasdaq was falling because the economy was not getting better. Go figure! Was Bernanke only buying the senior indices this week? Isn’t that all that matters? I think the chart below explains things quite clearly.
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Saturday, January 22, 2011
Stock Market Elliott Wave Analysis and Forecast for Week Starting 24th Jan / Stock-Markets / Stock Markets 2011
The US markets closed out the week with their first weekly decline on friday, after seven consecutive weekly gains. Economic reports were good: seven up, three down, and one flat. Year end earnings reports, thus far, have been better than expected. On the economic front the NY FED, building permits, existing homes sales, leading indicators, weekly jobless claims, the monetary base and the WLEI all improved. Housing starts, the Philly FED and the M1-multiplier was down, while the NAHB housing index remained flat. For the week the SPX/DOW were mixed, and the NDX/NAZ were -2.4%. Asian markets were mostly lower -1.3%, European markets were mixed +0.8%, the Commodity equity group was mixed -1.1%, and the DJ World index was -0.8%. Bonds were -0.6%, Crude slid 3.2%, Gold lost 1.2%, and the USD declined 1.2%. Next week the FED concludes its two day FOMC meeting on wednesday, two days before the Q4 GDP report on friday.
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Saturday, January 22, 2011
Stock Market Froth Breaks Lower / Stock-Markets / Stock Markets 2011
If you're holding the classic froth high P/E stock you had one of the worst weeks of your trading lives. Slaughter's everywhere. If you're holding lower P/E stocks then you had a nothing from nothing week even though the averages sold off decently. Those high beta monsters destroyed the masses as usual. In the end they always end badly for most folks. The masses are buying the most right at the top as they can no longer handle not being in those frothy beasts. They figure they'll make a killing on the earnings report. They bought F5 Networks, Inc. (FFIV) and had their careers halted. You deal with -30 and see how it feels.
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Saturday, January 22, 2011
Gold Moves Lower as Stocks Reach Their Key Resistance Level - What's Next? / Stock-Markets / Financial Markets 2011
In our previous free essay we’ve mentioned that mining stocks are at a particularly important crossroad, and whichever they decide to move is likely to determine the way for the underlying metals as well. In the following article we will put another factor into the equation – the general stock market.
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Saturday, January 22, 2011
Stocks fall as Stock Mutual Fund Inflows Resume? / Stock-Markets / Stock Markets 2011
Food Inflation Comes To America: General Mills, Kraft And Kellogg Hike Prices On Selected Food Products
(ZeroHedge) After denying for months that surging food prices will eventually come to the consumer, hoping that instead food companies could absorb the margin drop, sell-side research is finally capitulating to the reality of what is really happening in the retail store. In a note discussing General Mills, Goldman Sachs says the company raised prices on snack bars some 7% last week. Goldman further clarifies that "this reportedly followed a comparable increase taken by K on its snack bars in mid-December. In addition, KFT has reportedly announced a 6% increase on select Planters branded nut products. We expect more price increases to be announced by the food companies in the coming weeks.
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Friday, January 21, 2011
Investors Will Have To Learn To Trade! / Stock-Markets / Stock Markets 2011
The statistics are eye-opening. The average holding period for stocks is now only three or four months. Presumably that includes those held by mutual funds and etf’s.Is it a new impatience or nervousness on the part of investors and managers? Or is the average holding period being distorted by ‘flash-trading’ firms?
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Friday, January 21, 2011
New Stock Market Highs -New Lows Not Keeping Pace / Stock-Markets / Stock Markets 2011
Now I know this stuff doesn't matter until it does and I know all those trend followers out there who "just follow price" ignore this kind of thing, but the differential of NYSE new highs minus new lows has not only failed to keep pace with price but it is now breaking down.
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Friday, January 21, 2011
Stock Market SPX Correction Looms / Stock-Markets / Stock Markets 2011
The US stock markets have enjoyed an awesome run since late August, with the flagship S&P 500 stock index (SPX) up 23.7%. Traders have earned huge profits in sectors that leverage general-stock-market gains, including commodities stocks. But as usual after any long and uninterrupted rally, complacency reigns supreme today. Such sentiment is a prime breeding ground for spawning corrections.
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Friday, January 21, 2011
Despite The Awakening Beast, Profit & Protect with a Portfolio Essential / Stock-Markets / Financial Markets 2011
“The U.S. Dollar is being devalued by the Federal Reserve…
QE2 is nothing more than devaluation of the dollar for the benefit of only Wall Street Money Center Banks. This is a fraud on the American people who will get nothing from QE2, not jobs, no reduction of their debts, no increase in the values of their homes, no reduction of taxes, no cash, nothing.” Robert McHugh, McHugh’s Weekend Market Newsletter, 1/14/11
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