Analysis Topic: Stock & Financial Markets
The analysis published under this topic are as follows.Tuesday, August 03, 2010
Analog Comparisons Show Trouble Brewing For Stocks / Stock-Markets / Stock Markets 2010
As anticipated, last Friday, which marked options expiry for July, witnessed a down day in stocks, which in fact turned out to be a 90% down day. In a bull market this would not occur, as the trend would be up, so one must conclude Friday’s 90% down day on increasing volume is a negative omen even though it was not re-enforced by follow-through yesterday. Of course in order to establish the short-term trend as being down, stocks need to continue falling, this, along with taking out what could be considered a new neckline in the S&P 500 (SPX) head and shoulders pattern (now slanted) at 1015 to be considered confirmation this is in fact the case. Seasonally this is the weakest week in July and is most often down, so it will be interesting to see where we end up.
Read full article... Read full article...
Tuesday, August 03, 2010
Profit Taking Hits European Stocks / Stock-Markets / Stock Markets 2010
U.S. stocks rallied hard Monday, sending the S&P 500 to the highest close in 10 weeks, after better than estimated earnings at companies from Humana to Allergan. US manufacturing data that topped forecast and speculation that the Federal Reserve may be about to embark on more QE. Alcoa rose 4.8%, to help lead gains in commodity shares. Oil climbed above $81 for the first time since May, giving a boost to energy companies. Humana, the biggest provider of U.S.backed health benefits, and Allergan, the maker of the Botox wrinkle smoother, rallied at least 3.6% while Intel gained 2.7% as a trade group said global chip sales were “robust.”
Read full article... Read full article...
Tuesday, August 03, 2010
Quantitative Easing May Change Stock Market Dynamics / Stock-Markets / Stock Markets 2010
After reading James Bullard’s twenty-three page paper on possible monetary responses to further economic shocks, we feel it is important for investors to gain a basic understanding of how future Fed policy could impact the value of an individual’s savings and other financial assets. The basic premise of Mr. Bullard’s work is as follows:
Read full article... Read full article...
Tuesday, August 03, 2010
Stock Market Good News Trumps Pessimists... / Stock-Markets / Stock Markets 2010
Trade Recommendations: Take no action.
Daily Trend Indications:
Read full article... Read full article...
Tuesday, August 03, 2010
What To Do After Monday’s Stock Market Gap Up / Stock-Markets / Stock Markets 2010
The S&P 500 closed at 1101 on Friday and 3 minutes into the open Monday it is at 1116! Then we INSTANTLY backed off up to the ISM number and on that news we got an instant knee jerk to you guessed it to the 1120ish level and ended up closing at just shy of 1126.
Read full article... Read full article...
Tuesday, August 03, 2010
Stock Market 1131 S&P 500 Getting Closer... / Stock-Markets / Stock Markets 2010
close today at S&P 500 1125 has the bulls feeling good about things, and why not. Just a few days ago they were feeling the heat as the market closed in on losing 1080, or critical down trend line support. Think about it folks. Weren't most of you who are bullish feeling pretty badly late last week? Didn't things seem dire? You know they did! Now, we can all go sleep tonight with the S&P 500 just 6 points away from getting back to the last highs at 1131. Things certainly do change fast in this crazy insane game.
Read full article... Read full article...
Tuesday, August 03, 2010
Stock Market Bulls Step Up... / Stock-Markets / Stock Markets 2010
Trade Recommendations: Take no action.
Daily Trend Indications:
Read full article... Read full article...
Monday, August 02, 2010
Who Has It Right, Stock or Bond Market Investors? / Stock-Markets / Investing 2010
As David Rosenberg put it today, "One has to question which asset class has it right – stocks or bonds. It is extremely difficult to square a sustained economic recovery which is what the equity bulls are telling us with a $38 billion 2-year note auction that was sold at a new record low-yield of 0.665% (as was the case on Tuesday)."Read full article... Read full article...
Monday, August 02, 2010
How to Conquer Volatile Stock Market Volatility / Stock-Markets / Stock Markets 2010
The stock market since the May “flash crash” and early July cycle low has been a trading range affair characterized by alternations between high and low volatility levels, or what pundits have taken to calling “volatile volatility.” As Steven Sears in his Barron’s column of July 26 pointed out, “The back-and-forth action is just the latest reminder that volatile volatility is a central fact of the 2010 market.” After being spoiled by last year’s extremely low volatility market, participants are shell-shocked at the heightened levels of volatility in recent months.Read full article... Read full article...
Monday, August 02, 2010
Does the Stock Market Have Enough In-flowing Liquidity? / Stock-Markets / Stock Markets 2010
No matter how you cut it, the stock market needs "an increasing inflow of money to go up and increasing money flow to sustain an up move".
One of the daily charts we post on our paid subscriber site shows the in-flow and out-flow of Liquidity in the stock market.
Read full article... Read full article...
Monday, August 02, 2010
The Dangerous Financial Markets Confidence Game / Stock-Markets / Financial Markets 2010
We are near a major turn in markets and preparing landmark new recommendations this week. So I’m going to be very brief and get straight to the point:
Wall Street brokers and pundits seem to think their dangerous con game can prevail despite a major decline in the real economy.
Read full article... Read full article...
Monday, August 02, 2010
Stocks, U.S. Dollar, Gold and Miners Technical Chart Report / Stock-Markets / Gold and Silver 2010
Stocks: I expect, barring some kind a catastrophe, next week should be another good week for the market. The recent minor pullback has worked off the short term overbought conditions and in the process formed a small bull flag.
Read full article... Read full article...
Monday, August 02, 2010
Wall Street’s Mood Shift Signaling a Profit-Making Stock Market Price Push Ahead / Stock-Markets / Stock Markets 2010
Jon D. Markman writes: A mood of mild optimism has begun to spread down Wall Street not long after there was nothing but long faces. Fancy that.
More good news out of Europe, better-than-expected new home sales, and the latest of a solid second-quarter earnings season has helped resuscitate the animal spirits that were missing in action since the spring.
Read full article... Read full article...
Monday, August 02, 2010
Stock Market, Look For A Retest Of The Highs / Stock-Markets / Stock Markets 2010
In our mid-day update to our subscribers on Friday we said : “Part of me would feel safer seeing a retest of recent highs for a mini double top (little red line at 1120 or even the 1131 level before a drop as that would mark a double top at a retest of 1120 and/or a 5th and final wave higher.”Read full article... Read full article...
Sunday, August 01, 2010
Low Risk ETF Trading Setups for SP500, Gold and Crude Oil / Stock-Markets / Financial Markets 2010
As we all know there is an unlimited amount of ways to trade the financial markets. Each person sees the market in a different way, has different skill sets, trading experience and risk tolerance levels. While some individuals create and use complete systems to make money there are some very basic trading strategies which still work well and require nothing more than basic charting, patients and a little money management.Read full article... Read full article...
Sunday, August 01, 2010
Stock Market Targeting Down Trend S&P 900 to 950 / Stock-Markets / Stock Markets 2010
Current Position of the Market
Very Long-term trend - Down! The very-long-term cycles are down and if they make their lows when expected, the bear market which started in October 2007 should continue until about 2014-2015.
SPX: Intermediate trend.The index made an intermediate top at 1220 and is now in an intermediate
downtrend which should come to an end in October 2010.
Sunday, August 01, 2010
Economic Coin Flips and WikiLeaks Catching Up With Market Truths / Stock-Markets / Financial Markets 2010
Many market analysts were left scratching their heads as the stock market ignored bad news the whole week from ECRI recession data to worse than expected U.S. GDP data by closing up on the week at 10,466 (10,425), with the Dow continuing its meandering trend towards a target of 10,700 which will more than likely be achieved this coming week. Last weeks newsletter (Stocks Bull Markets Generate Economic Growth) proved an opportune reminder to readers to remember asset prices drive economic growth which is contrary to the consensus view.
Read full article... Read full article...
Saturday, July 31, 2010
Solving the Great Disconnect Between Stock Market and Economic Reality / Stock-Markets / Stock Markets 2010
We have a “Great Disconnect” on our hands.
On Monday, the Federal Reserve Bank of Dallas released its latest manufacturing survey. This wasn’t old, stale data; the survey was conducted in mid-July. And the results were awful, with the headline index plunging to -21 from -4 a month earlier. That was the worst showing in a year.
Read full article... Read full article...
Saturday, July 31, 2010
Stock Market Reversal Again At Support...Should Be Bullish Short Term.... / Stock-Markets / Stock Markets 2010
Yesterday we had a strong move down to support. We blew through 1099 and headed to the 50-day exponential moving average at 1093. It actually fell slightly below. We rallied as the day went on, but closed poorly. This allowed for another gap down today that was quite nasty, as we once again, tested the 50-day exponential moving average. This time we went a bit lower than yesterday as we traded to 1089. Getting too close for comfort when you think of how close we got to 1080, or the long term down trend line. It was do or die time for the market.
Read full article... Read full article...
Saturday, July 31, 2010
Stock Market Advances on Bad Economic News / Stock-Markets / Stock Markets 2010
U.S. Economy Grew 2.4% in Second Quarter, Below Forecast
Growth in the U.S. slowed to a 2.4 percent annual rate in the second quarter, less than forecast, reflecting a larger trade deficit and an easing in consumer spending.
The increase in gross domestic product compared with a median forecast of 2.6 percent of economists surveyed by Bloomberg News and follows an upwardly revised 3.7 percent pace in the first quarter that showed a jump in inventories, according to figures from the Commerce Department today in Washington. Business investment climbed at the fastest rate since 1997.