Analysis Topic: Stock & Financial Markets
The analysis published under this topic are as follows.Friday, December 13, 2013
Financial, Stock and Commodity Market's Outlook 2014 by Robert Prechter / Stock-Markets / Financial Markets 2014
Dear Reader,
I may not be Santa Claus, but I have an early present for you this year. It’s actually 15 presents in the form of 15 charts of financial markets with analysis by Bob Prechter, the president of Elliott Wave International.
He created these charts – which cover markets like the S&P 500, NASDAQ, gold, and mutual funds – to explain where financial markets have been and where they are headed. These are not your typical price charts. They combine history and patterns to tell the story clearly, all from his distinctly different point of view. With this information, his Elliott Wave Theorist subscribers are now prepared for 2014. And you can be, too, because you can get the full 10-page issue, FREE.
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Friday, December 13, 2013
Current Stock Market Euphoria a Carbon Copy of 2007? / Stock-Markets / Stock Markets 2013
Mohammad Zulfiqar writes: Increasing optimism towards the key stock indices worries me. In the beginning of 2013, you would hear the bears’ opinions all over the financial news channels. Now, it seems they have all disappeared—or have turned outright bullish. No matter where I look, it’s pretty much the same opinion across the board in the mainstream: key stock indices are going higher, they say.
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Friday, December 13, 2013
Stock Buybacks at Market All-Time Highs: Poor Use of Corporation Capital / Stock-Markets / Stock Markets 2013
Era of Stock Buybacks
This has definitely been the era of stock buybacks with such low borrowing costs as companies are borrowing at very low rates not to expand the business, create innovative products, increase research and development but to buy back their own stock which isn`t cheap considering the multiple expansion in markets the last five years.
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Thursday, December 12, 2013
Has the Long-term Kress Cycle Bottomed Early? / Stock-Markets / Cycles Analysis
A reader asks, "I was wondering if it's possible that the long cycles, such as the 60-year cycle, have already bottomed early. Is that even a possibility within the scope of the cycles? It appears that the Fed has complete control of the markets right now. One cannot help but wonder how high they will drive the stock market, and how low they will drive the gold miners. It would seem that the imbalances are beginning to look a little conspicuous."
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Wednesday, December 11, 2013
Mon(k)ey Puzzle / Stock-Markets / Financial Markets 2013
By Grant Williams
Protruding from the sand a short distance to the south of the Pilot Pier, on the golden sands of Hartlepool in England's North East, is a vertical wooden mast.
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Wednesday, December 11, 2013
Did the U.S. Government Shutdown Help the Economy? / Stock-Markets / US Economy
From New Delhi to San Francisco to London, and finally back in San Antonio, I’ve been communicating one consistent theme to investors: Follow the money.What’s really important in following the money is for investors to not get caught up in the negative web spun by the media. There’s a lot of drama these days about Obamacare and Washington dysfunction. Take the government shutdown in October, when the House and Senate fought over the debt ceiling. Economic data wasn’t released, services were halted, national parks were closed, and “non-essential” government workers were told to stay home.
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Wednesday, December 11, 2013
Stock Market Decline Resumes / Stock-Markets / Stock Markets 2013
Good Morning!
VIX has lifted above its 50-day moving average at 14.23 and its mid-Cycle support/resistance at 14.43. The sell signal is re-confirmed.
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Wednesday, December 11, 2013
Stock Market Hindenburg Omen and the Titanic Syndrome / Stock-Markets / Stock Markets 2013
With the reporting of a Hindenburg Omen last week, like Pavlov's dog I rushed to check my charts for evidence of the Titanic Syndrome. The creator of the indicator, Bill Ohama, wrote that after the Titanic Syndrome, all major averages/indices will drop at least 10% from their highs. The Syndrome warned of the October 19, 1987 stock market crash as well as others.
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Tuesday, December 10, 2013
Why a Serious Stock Market Correction is Overdue / Stock-Markets / Stock Markets 2013
Mitchell Clark writes:
There is going to be considerable pressure on interest rates and the Federal Reserve very soon, and it’s very likely that we’re going to get some choppy trading action in stocks. The reason for this is, of course, positive economic news, which is increasing the likelihood of a decrease in monetary stimulus. As contradictory as it may seem, good economic news is actually bad news for stocks; that’s just the way the counterintuitive system of the stock market works—buy on rumor, sell on news. But what’s transpired recently goes more like buy on expectations, sell on hints of growth.
Tuesday, December 10, 2013
Stock Market Flat...Still No Splat... / Stock-Markets / Stock Markets 2013
Poor bears. Even at the final bell they had to watch the Dow go from -5 to plus 6. Meaningless, of course, but it seems like a slap in their face as the market just won't give the bears even a sliver of a good vibe. Each sector was up a drop, refusing to go red seemingly in spite of the bears. This is why we have the sentiment problem we're dealing with now for a few weeks. The bears just can't gain any traction, and, of course, the moment the market sells even just a little bit the sentiment seems to be a rousing here we go. It hasn't happened with the bears growing increasingly frustrated. I can't even imagine how bad it has been for these bears the past many months as overbought has stayed that way while sentiment is flashing an outright sell signal.
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Tuesday, December 10, 2013
How the Masters of the Financial Universe Use Derivatives for Fun and Profit / Stock-Markets / Derivatives
Shah Gilani writes: Jon Stewart just did a very funny piece on “The Daily Show” about a new derivatives dust-up that Bloomberg news broke.
Earlier this year, a big Wall Street firm bought a credit default swap on debt that a private company owed to a third party. So the firm was set up to make money if that company missed any payments. Then the firm offered the company a multi-million-dollar loan… with the condition that they would miss a payment on the other loan. They did. And the Wall Street firm walked away with a $15 million insurance payment.
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Tuesday, December 10, 2013
QE Tapering or Tightening? / Stock-Markets / Quantitative Easing
Atlanta Federal Reserve President Dennis Lockhart delivered the news, responding to all speculation about the coming back issue of possible "tapering". Despite the chairman change for Ms. Yellen, the tapering issue did not taper out yet. Lockhart has told us that the Federal Reserve still plans to stay "accommodative" for the number of years to come. This does not mean though that some possible adjustment may not happen, because the "tools" of remaining "accommodative" may change. In other words, the message is: even if some things may change, remember, the Fed is always ready to starts its machine to help banks.
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Monday, December 09, 2013
U.S. Fed Creating More Financial Market Uncertainty / Stock-Markets / Financial Markets 2013
Although the U.S. stock market continues to hit new nominal highs on a nearly daily basis, the U.S. economy bumps along at a lackluster pace. This disconnect has been achieved by a massive Fed experiment in monetary stimulation. Through the combination of seemingly endless maintenance of zero interest rates and the injection of some $1trillion a year of synthetic money into fixed-income markets, the Fed is hoping that the boom it is creating on Wall Street will lead to a boom on Main Street. In reality, this a very dangerous economic gamble of enormously high stakes. As we have seen in the recent past, financial bubbles can leave catastrophe in their wake.
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Monday, December 09, 2013
The Best and Worst Investment Strategies to Battle Coming Inflation / Stock-Markets / Stock Markets 2013
Sasha Cekerevac writes: The S&P 500 may be entering bubble-like territory: that’s what I’ve been writing for the past few months.
Now, it appears as though I’m not the only one who’s worried about asset classes beginning to form bubbles from the excess money printing. 2013 Nobel Prize-winner Robert Shiller also recently stated that he is concerned that prices have risen far too quickly across many asset classes, from real estate to stocks.
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Monday, December 09, 2013
Stock Market Rally Expanding the Distribution Phase / Stock-Markets / Stock Markets 2013
Current Position of the Market
SPX: Very Long-term trend - The very-long-term cycles are in their down phases, and if they make their lows when expected (after this bull market is over), there will be another steep decline into late 2014. However, the severe correction of 2007-2009 may have curtailed the full downward pressure potential of the 40-yr and 120-yr cycles.
Intermediate trend - An important top formation is in the making.
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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Monday, December 09, 2013
Stocks Bear Market Bottoms, Gold Smart Money Buying Opportunity / Stock-Markets / Financial Markets 2014
In this business there is no greater buying opportunity than at a bear market bottom. For those few investors able to control emotions, delay gratification, and go against the crowd, a bear market bottom is where millionaires and billionaires are made.
Unfortunately for the vast majority of traders, emotions are much stronger than logic. Most people when they see a market that has gone up for five years automatically assume that it's going to continue to go up. And because everyone else is getting rich and they don't want to be left out, they jump on board too.
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Monday, December 09, 2013
Relentless Stocks Bull Market Continues / Stock-Markets / Stocks Bull Market
After making a new all time high last Friday the market traded lower all week. Then Friday’s Payrolls report was released and the market nearly managed to get back the entire loss in just one day. For the week the SPX/DOW were -0.2%, the NDX/NAZ were +0.3%, and the DJ World index lost 0.9%. Economic reports for the week were overwhelmingly positive. On the uptick: ISM manufacturing, construction spending, auto sales, the ADP, new home sales, Q3 GDP, monthly Payrolls, personal spending, the PCE, consumer sentiment, consumer credit, the M1-multiplier, the monetary base, the WLEI; plus weekly jobless claims, the unemployment rate and the trade deficit all improved. On the downtick: ISM services, factory orders, personal income and investor sentiment. Next week we get a look at retail sales, inventories and the PPI. Best to your week.
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Sunday, December 08, 2013
Stock Market Christmas Rally Starts Monday! - ETF Trading Strategies / Stock-Markets / Stock Markets 2013
Tis the Season for the most powerful seasonality trade of the year!
Seasonal ETF Trading StrategiesWith the stock market up big in 2013 and most participants are speculating on a pullback in the next week or two, I have to say I am on the other side of that bet. Being a technical trader I focus on patterns, statistics and probabilities to power my ETF trading strategies. So with 37 years of stats the seasonality chart of the S&P 500 index paints a clear picture of what is likely to happen in December.
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Sunday, December 08, 2013
World Stocks Markets Rally Takes a Pause / Stock-Markets / Stock Markets 2013
Courtesy of Doug Short writes: Six of the eight indexes in my international focus group posted losses over the past week, and for the three European indexes and the Japan’s Nikkei, the declines were relatively step. The two winners were India’s SENSEX, topping our list for the second week after four weeks at the bottom of the heap, and China’s Shanghai Composite. The S&P 500 logged a fractional loss, ending an eight-week streak of gains. France’s CAC 40 fared the worst with its 3.86% selloff.
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Sunday, December 08, 2013
Stock Market Big Friday Rally But Down Fractionally for the Week / Stock-Markets / Stock Markets 2013
Courtesy of Doug Short writes: The big November Job Report posted headline numbers that beat the expectations of even the most optimistic analysts, especially the plunge in the unemployment rate. And then the Michigan Consumer Sentiment followed suit surprising surge. The S&P 500 opened at its intraday low, up 0.18%, and rallied to the 1800 level, where it struggled for a couple of hours. It then rose to its 1.18% intraday high around 2 PM. Some afternoon selling reversed in the final minutes, and the index posted a 1.12% gain for the day, thus snapping a 5-day losing streak. But today’s rally was a tad shy of logging a gain for the week, which thus ended an eight-week winning streak — the longest string of weekly gains in 2013.
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