Analysis Topic: Stock & Financial Markets
The analysis published under this topic are as follows.Monday, November 08, 2010
Fed Inflationary Money Printing Propels Stocks 'Stealth' Bull Market to New High / Stock-Markets / Financial Markets 2010
The Fed pumped market participants full of $600 Billion of fresh QE2 testosterone that sent stocks into a euphoric rally to a new bull market closing high of Dow 11,444, which apparently has major medical consequences for the mainstream press and BlogosFear due to the general outbreak of amnesia as to the commentary that had transpired during the preceding 6 months of deflation, depression, double dips and the bear market rally's always imminent end.
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Sunday, November 07, 2010
Stocks Soar on Fed Policy But Financial and Sovereign Debt Crisis Have Not Gone Away / Stock-Markets / Financial Markets 2010
Lost in all the election and Fed hoopla are the problems in Ireland. The yield on Irish debt is surging and the share price for Bank of Ireland stock is plummeting. Ireland, like it or not, is going the way of Greece. As of Friday the yield for Irish debt stands at close to 8% and that's about 2.5% more than you would pay for a home loan in the United States. With respect to the Bank of Ireland shares lost almost 15% of their value on Friday and, as you can see below, and the share price has been cut in half over the last two months:
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Sunday, November 07, 2010
Stock Market Extrreme Bullish Sentiment, Oil Breakout and Gold Rocket / Stock-Markets / Financial Markets 2010
The financial markets continue to climb the wall of worry on the back of more Fed Quantitative Easing. Those trying to pick a top in this choppy bull market may prove to be correct for a couple hours but over time the shorts continue to get clobbered.
Quantitative easing was enough to turn gold back up and gave oil just enough of a nudge to breakout of its cup and handle pattern explained later.
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Saturday, November 06, 2010
Global Stock Markets Breakout on Fed QE2 / Stock-Markets / Elliott Wave Theory
The stock markets, worldwide, broke out of their trading range this week after the FED announced their QE 0.6 ($trillion) program on wednesday afternoon. The Bank of Japan followed up by announcing they were going to buy Japanese equity ETF’s and other financial instruments as part of their central bank intervention program. On tuesday, the Liberterian wing of the Republican party gained enough seats to swing the House of Representatives to the GOP. We reported on this event on thursday:Politics and Secular Stocks Bull/Bear Markets, The Fourth Turning Crisis
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Saturday, November 06, 2010
Stock Market Incredibly Resilient......Financials Finally Participate... / Stock-Markets / Stock Markets 2010
What can I say about this market. It is resilient beyond words. The degree of overbought not mattering for the time being. We're more than a bit overbought here folks. It's at extremes. Many daily RSI's in the 80's. Everything 70 or higher. Stochastics are pushed near the top. The problem for selling is this is a buy the dip market that needs a catalyst to have more sustained selling. News that would stop the bulls from buying any and all dips. We certainly had our chances to find a strong catalyst for the week.
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Saturday, November 06, 2010
The Most Interesting Stock Market Chart of the Week / Stock-Markets / Stock Markets 2010
I thought Friday would be the perfect time to bring you a bit of technical analysis insight. This week's stock market chart just blew me away when I saw it and thought it would be a great candidate. Adobe systems, the Silicon Valley software creator, should not only be known as the creator of PDF's and flash players, but maybe also for the enormous and frequent "gaps" in its stock price.
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Saturday, November 06, 2010
Jessie Livermore and the Stock Market / Stock-Markets / Stock Markets 2010
The legend and romance surrounding the famed stock plunger Jessie Livermore has long held a fascination among traders. Livermore has become somewhat of a cult in recent years and there are several books that purport to reveal his secrets for making a fortune in the stock market. None of them can hold a candle to the book which Livermore himself commissioned (written by journalist Edwin LeFevre) entitled Reminiscences of a Stock Operator.
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Saturday, November 06, 2010
Don’t Fight the Fed / Stock-Markets / Financial Markets 2010
Does this rule still really apply?
Comparisons of economic conditions of today with those of the Great Depression abound, as well as comparisons with Japan’s “lost decades”, most implying that we are doomed to a repeat of those woeful eras. We know of course that the Fed did everything wrong in the 30′s and made things worse. Beginning in 1990, the Bank of Japan did everything right but it did no good. Why would this time around be any different?
Friday, November 05, 2010
The Fed Bubble Making Machine Is Cranking Up! / Stock-Markets / Stock Markets 2010
The Federal Reserve has cranked up the bubble-machine again, pumping up opportunities as well as risk.
In doing so it is on the wrong side of the economic cycle again, as it so often has been in the past, beginning to ease too late to prevent recessions, and then continuing to ease too long after recoveries are underway, creating bubbles.
Friday, November 05, 2010
Stock Market Federally Funded Friday / Stock-Markets / Stock Markets 2010
I feel like I’m driving in a gasoline truck at a 100 mph and towards a brick wall, says Brian Kelly. And Ben Bernanke just lit a match. I can’t help but worry that this ends badly. - Fast Money's Brian Kelly
I also remain skeptical, adds Steve Cortes. The unanimous opinion sees to be the market can not go lower and I find it reminiscent of the rhetoric we heard right before the tech bubble burst. I want to know what the Fed sees that’s so dire that it’s required them to take drastic steps, muses Guy Adami. I guess it doesn’t matter because the market just wants to go higher. But the market action has the feeling to me of a blow-off top. I don’t know when it ends, but I suspect it ends extraordinarily badly.
Friday, November 05, 2010
Stock Market S&P 500 May Be Headed to 1,256 / Stock-Markets / Stock Markets 2010
Friday’s better than expected employment report aligns well with the market’s post-QE2 interpretation the economy is in a little better shape than most believe. Now that mid-terms, QE2, and the employment report are in the rearview mirror, it is a good time to catch our breath and discern what may be in store over the next week or two.
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Friday, November 05, 2010
Stock Market Mid-Term Election Rallies Analysis / Stock-Markets / Stock Markets 2010
The highly-anticipated 2010 mid-term elections are finally over, a huge relief if you hate politics and government meddling in our lives as much as I do. Now that the American people have fired the arrogant politicians who refused to listen to the will of their tax-paying constituents, we can get back to focusing on the financial markets. So how do the stock markets tend to perform after mid-term elections?
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Friday, November 05, 2010
Stock Market BubbleOmics: S&P 500 Race to 1,300 by Christmas? / Stock-Markets / Stock Markets 2010
Well it’s nice to see that Ben has managed to un-leash some good-old-fashioned Irrational Exuberance with the latest round of Quantitative Easing. That’s something that’s been sadly missing over the past few years…I wonder why?
It’s probably good news too that he has apparently given up on his strategy to persuade people to buy AAA rated collateralized debt obligations lovingly crafted by Goldman Sachs, by creating a “market” and of course a “mark-to-market”. That didn’t work very well because sadly, most people figured out that if the Sucker of Last Resort is the only player in town (as in the Wall Street line “the value of something is what you can sell it for to some poor sucker dumber than you”), well that doesn’t actually constitute a “market”.
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Friday, November 05, 2010
Finance — A Dysfunctional System / Stock-Markets / Financial Markets 2010
In 1993, I commented to a colleague that the market seemed to be appreciating more rapidly than the underlying dynamics would suggest.
Was something afoot?
Friday, November 05, 2010
Republican Victory and Fed Quantitative Easing Mean It’s Time to Shift From Commodities to U.S. Stocks / Stock-Markets / US Stock Markets
Martin Hutchinson writes:
The U.S. economic and investment world has changed fundamentally in the last 48 hours from two key events:
•The massive Republican victory in Tuesday's midterm elections.
•And the $600 billion worth of bond purchases by the U.S. Federal Reserve.
These two events have changed the trajectory of the U.S. economy, probably for the next two years.
Friday, November 05, 2010
Does Anyone Care about the U.S. Jobs Data? / Stock-Markets / Stock Markets 2010
I've already figured out tomorrow's analysis on the monthly jobs data
If it's worst than expected, we have QE2
If it's better than expected, we have QE2
Friday, November 05, 2010
Stock Market Huge Up-Session, although Nasdaq Trails / Stock-Markets / Stock Markets 2010
The stock market indices had a huge up-day today, gapping up big time at the opening, pulling back slightly early on, and then reaching the session highs on the Nasdaq 100 early in the morning. After that they moved sideways, just slightly lower on the NDX and slightly higher on the S&P 500. Late in the day the SPX surged to new highs, but the NDX failed to confirm, possibly setting up a negative divergence, but we'll see if there's any follow-through on the NDX to confirm tomorrow.
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Thursday, November 04, 2010
Stock Market Insiders are Running for the Exits, Should You Follow? / Stock-Markets / Stock Markets 2010
The Federal Reserve announced its going to pump more than $800 billion of new cash into the economy.Financial assets, as they’ve done for the past two years, have responded strongly to the pump.
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Thursday, November 04, 2010
Inflationary Thursday - Benny Drops the Big One! / Stock-Markets / Financial Markets 2010
Mutually Assured Destruction (MAD).
That was the actual military policy of the United States of America and the rest of the World for about 30 years. We had Presidents and Kings and thousands of bureaucrats - the top minds of 2 generations - all getting together on a regular basis and coming up with or buying into insanity like the system on the right. We look back at it now and say "Gee, what were we thinking" but the whole World went down this path for a while.
Thursday, November 04, 2010
Politics and Secular Stocks Bull/Bear Markets, The Fourth Turning Crisis / Stock-Markets / Cycles Analysis
With the 2010 elections now history, Republicans regaining control in the House, the public is now optimistic again that change will take place. They are likely to be correct. However, the change may be from the Democratic - just pass the bills don’t read them – agenda, to a Stalemate - just vote against the bills don’t read them – agenda. Historically, this has been good for the equities market and the economy overall.
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