Analysis Topic: Stock & Financial Markets
The analysis published under this topic are as follows.Monday, December 03, 2012
Stock Market On the Verge of Entering Euphoria Stage / Stock-Markets / Stock Markets 2012
I think we are on the verge of entering the euphoria stage of this cyclical bull market.
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Monday, December 03, 2012
Stock Market S&P 1424 Inflection Point / Stock-Markets / Stock Markets 2012
Current position of the market
SPX: Very Long-term trend – The very-long-term cycles are down and, if they make their lows when expected (after this bull market is over) there will be another steep and prolonged decline into late 2014. It is probable, however, that the steep correction of 2007-2009 will have curtailed the full downward pressure potential of the 120-yr cycle.
SPX: Intermediate trend – SPX has made a top at 1474. A mid-correction rally is underway.
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Sunday, December 02, 2012
Global Financial System Big Turning Point Has Finally Hit / Stock-Markets / Financial Markets 2012
I believe we are at a major turning point for the financial system.
For nearly four years, the entire financial system has been held together (just barely) by extraordinary interventions on the part of the world’s Central Banks.
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Sunday, December 02, 2012
US Stock Market Nearing Bull/bear Inflection Point / Stock-Markets / Stock Markets 2012
The rally from the SPX 1343 low, two weeks ago friday, continued this week as the SPX hit 1420 on thursday. Thus far the advance looks impulsive and is riding a WROC buy signal. Which usually precedes an uptrend confirmation. Which, btw, is not all that far away. For the week the SPX/DOW gained 0.3%, and the NDX/NAZ rose 1.5%. Asian markets gained 1.0% European markets gained 0.3%, and the DJ World index gained 0.9%. On the economic front positive reports marginally outpaced negative reports eight to seven. On the uptick: Q3 GDP, Case-Shiller, consumer confidence, FHFA housing prices, pending home sales, PCE prices, the Chicago PMI and weekly jobless claimed improved. On the downtick: durable goods orders, new homes sales/prices, personal income/spending, the WLEI, and the Monetary base. Next week we will get the Payrolls report, ISM and monthly Auto sales.
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Saturday, December 01, 2012
Popular Delusions, The Bull Case for Safe Havens / Stock-Markets / Financial Markets 2012
A month ago in Outside the Box, Dylan Grice made the case for the need for safe havens, due to expansive monetary policy. But what is a safe haven anymore?
In today’s piece, a follow-up to last month’s, Dylan gives us a very good rundown on the historical relationship between equities and government bonds, in order to point out the very atypical current negative correlation between them. He then observes that
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Saturday, December 01, 2012
Political Banter...... Stock Market Whipped...... / Stock-Markets / Stock Markets 2012
The market was whipped around all week as each and every word out of the mouth of a political leader was used to move the markets up or down in a big way in a matter of moments. We saw the S&P 500 move up and down a 10 handle in literally minutes when the right or wrong thing was ushered out to the public. Sometimes the boys from both sides were arm in arm saying all the right things one day only to have them shoot negative statements against the other side the very next day, the market reacting each time without it making much sense as the technicals are being whipped around. They can look bullish one day and then not so the next. They're not as reliable as we'd like them to be as they're hostage to our political leaders like the rest of us are. Makes trading tougher for you can't trust what you see as much as you normally would.
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Thursday, November 29, 2012
Back to Basics: A Planned Financial Crisis? / Stock-Markets / Credit Crisis 2012
Franklin D. Roosevelt, the 32nd president of the United States said, “In politics, nothing happens by accident. If it happens, you can bet it was planned that way.”
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Thursday, November 29, 2012
Stock Elliott DAX Index Elliott Wave Analysis / Stock-Markets / Stock Markets 2012
From the March 2009 lows we can clearly see that the market resembles a 3 wave advance, this is a key component to Elliotticians as it suggests the advance is a corrective move against the decline from 2007-2009.If you look closer you can clearly see what looks like a wedge shape. I am currently working an idea on the SPX to see a new yearly high around 1480-1500SPX either into the yearend or the start of next year.
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Thursday, November 29, 2012
The Boehner Obama One-Two Stock Market Bounce / Stock-Markets / Stock Markets 2012
Courtesy of Doug Short : The S&P 500 opened lower and fell to its intraday low, off 0.97%, shortly after 10 AM. That was when Speaker of the House John Boehner triggered a rally with another of his vague expressions of optimism about bulldozing the Fiscal Cliff. In separate remarks President Obama spoke of a deal within the next four weeks. The market responded with a pair of bounces. The index closed the day near its intraday high with a gain of 0.79%.
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Thursday, November 29, 2012
Fed Bernanke...Boehner...Obama.... Stock Market Reversal Up.... / Stock-Markets / Stock Markets 2012
, and talk up how they would find a solution to the fiscal cliff. That both sides would make concessions and that a good solution was in the cards. The market rallied hard. The market topped and started falling again with the Dow down over 100 points today. Out of the blue, and my guess from Mr. Bernanke, who always watches the market, Boehner came out again today and said he and Obama were working closely together, and that a solution would be found between the two sides. Again, in days of market distress they come out.
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Wednesday, November 28, 2012
US Dollar and Stock Market Relationships Near Term / Stock-Markets / Stock Markets 2012
The SP 500 is likely to pullback from a 66 point rally off the 1343 pivots. Those pivots were right at a Fibonacci fractal retracement of 61.8% of the Summer rally. That rally ran from 1267-1474 as we all know in hindsight, and the correction was a normal correction within a bull cycle.
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Tuesday, November 27, 2012
Nas/AAPL Won't Fall.... Dow/S&P 500 Small Pullback... / Stock-Markets / Stock Markets 2012
The bid is back in for this market after the weekly charts printed outside sticks last week when compared to the action from the previous week. That normally tells the worst of the selling is over, but that does not preclude one more move lower over time to double bottom. That's unclear for now. The market tried selling today, but, sadly, it's now all about Apple Inc. (AAPL), which had a strong day to the up side, meaning the Nasdaq out performed, closing in the green while the S&P 500 and Dow were down a little bit. In reality a nothing-from-nothing day. However, with the Nasdaq hanging tough, it allowed its short-term chart RSI to remain in the upper 70's. Not a good reading for buying new plays.
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Monday, November 26, 2012
The "Fiscal Cliff" Story You're Not Hearing from the Mainstream Press / Stock-Markets / Financial Markets 2012
Dan Ferris writes: Investors are scared...
In fact, they're even more scared today than they were in late 2008.
That's hard to believe... In 2008, the market was down close to 50% from its late-2007 highs. The housing market was crushed. Bear Stearns, Merrill Lynch, Lehman Brothers, and AIG had all gone out of business in one way or another. Officials from the Federal Reserve and U.S. Treasury were running around like chickens with their heads cut off... bailing out losers in the financial industry.
Monday, November 26, 2012
Stock Market New Uptrend Probably Underway / Stock-Markets / Stock Markets 2012
Last friday’s optimism for a quick resolution to the potential fiscal cliff, continued this week as US equity markets rallied. In fact, US stock market indices had their best week since June. For the week the SPX/DOW were +3.5%, and the NDX/NAZ were +4.1%. Asian markets gained 1.7%, European market gained 4.9%, and the DJ World index rose 3.8%. On the economic front, reports swung back to positive after one week with a negative bias. For the week positive reports outnumbered negative ones five to three. On the downtick: building permits, consumer sentiment and the WLEI. On the uptick: existing homes sales, housing starts, the NAHB index, leading indicators, and weekly jobless claims improved. Next week we get to review the FED’s Beige book, Q3 GDP, PCE prices and additional housing reports. Best to your week!
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Monday, November 26, 2012
Shadow Banking: The Next Financial Crisis Landmine / Stock-Markets / Credit Crisis 2012
The Federal Reserve Board originally led us to believe that it was necessary to expand money supply through quantitative easing to offset the contraction of bank credit. Bank credit is no longer contracting, and indeed was already expanding when QE3 was introduced. This objective is now being satisfied as illustrated in the chart below:
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Monday, November 26, 2012
Stock Market Cup Pattern Similarities to the 1987 Crash / Stock-Markets / Financial Crash
Dear Friends,
I have been struck with the similarities between today and the period in 1987 leading up to the crash. The oversized rally into the Friday high evoked even more correlations. We had a Cup with Handle formation in the SPX going into October, 1987. As of Friday, I believe that the current SPX also has a Cup with Handle formation.
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Monday, November 26, 2012
World Stock Markets Best Week of 2012 / Stock-Markets / Stock Markets 2012
Doug Short. writes: All eight of the indexes on our world market watch list closed the week with a gain. In fact, the average gain o the eight at 3.41% is the biggest weekly increase of 2012. The three EU indexes were the top performers, with France’s CAC 40 and Germany’s DAXK rising more than five percent (5.60% and 5.16% respectively). The next four indexes, lead by the FTSE 100, finished the week with gains in the top half of the three percent range. Even China’s last-place Shanghai was up a respectable 0.63%.
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Monday, November 26, 2012
Stock Market Pullback Expected into End of November / Stock-Markets / Stock Markets 2012
Current Position of the Market
SPX: Very Long-term trend - The very-long-term cycles are down and, if they make their lows when expected (after this bull market is over) there will be another steep and prolonged decline into late 2014. It is probable, however, that the steep correction of 2007-2009 will have curtailed the full downward pressure potential of the 120-yr cycle.
SPX: Intermediate trend - SPX has made a top at 1474. A mid-correction rally is underway.
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Sunday, November 25, 2012
Stocks, Dollar and Commodity Markets Trend Forecasts into February 2013 / Stock-Markets / Financial Markets 2013
Well how was that for the start of a new intermediate cycle? While many analysts were calling for continued losses or even a market crash I repeatedly warned traders that an intermediate degree bottom was coming and that markets routinely rally violently out of those bottoms, often generating 5-8% gains in the first 12 to 15 days. This particular intermediate bottom has already gained 5% in just the first five days.
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Sunday, November 25, 2012
U.S. Dollar tell us Stocks are Likely to Fall / Stock-Markets / Stock Markets 2012
The stock market is at a very critical pivot point which I feel will generate opportunities in December and for the first quarter of 2013.
Trading with the trend is not always an easy task. It is human nature to predict and jump to conclusions and usually it’s better to trade with the trend no matter what your emotions are telling you. The current trend is down and I stick with that until we are proven wrong.
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