Most Popular
1. Banking Crisis is Stocks Bull Market Buying Opportunity - Nadeem_Walayat
2.The Crypto Signal for the Precious Metals Market - P_Radomski_CFA
3. One Possible Outcome to a New World Order - Raymond_Matison
4.Nvidia Blow Off Top - Flying High like the Phoenix too Close to the Sun - Nadeem_Walayat
5. Apple AAPL Stock Trend and Earnings Analysis - Nadeem_Walayat
6.AI, Stocks, and Gold Stocks – Connected After All - P_Radomski_CFA
7.Stock Market CHEAT SHEET - - Nadeem_Walayat
8.US Debt Ceiling Crisis Smoke and Mirrors Circus - Nadeem_Walayat
9.Silver Price May Explode - Avi_Gilburt
10.More US Banks Could Collapse -- A Lot More- EWI
Last 7 days
Bitcoin Crypto Bubble Mania! - 4th Mar 2024
US Interest Rates - When WIll the Fed Pivot - 1st Mar 2024
S&P Stock Market Real Earnings Yield - 29th Feb 2024
US Unemployment is a Fake Statistic - 29th Feb 2024
U.S. financial market’s “Weimar phase” impact to your fiat and digital assets - 29th Feb 2024
What a Breakdown in Silver Mining Stocks! What an Opportunity! - 29th Feb 2024
Why AI will Soon become SA - Synthetic Intelligence - The Machine Learning Megatrend - 29th Feb 2024
Keep Calm and Carry on Buying Quantum AI Tech Stocks - 19th Feb 24
How to Profit from the Global Warming ClImate Change Mega Death Trend - Part1 - 17th Feb 24
Why Rising Shipping Costs Won't Cause Inflation - 17th Feb 24
Intensive 6 Week Stock Market Elliott Wave Training Course - 17th Feb 24
INFLATION and the Stock Market Trend - 17th Feb 24
GameStop (GME): 88% Shellacking Yet No Lesson Learned - 17th Feb 24
Nick Millican Explains Real Estate Investment in a Changing World - 17th Feb 24
US Stock Market Addicted to Deficit Spending - 7th Feb 24
Stocks Bull Market Commands It All For Now - 7th Feb 24
Financial Markets Narrative Nonsense - 7th Feb 24
Gold Price Long-Term Outlook Could Not Look Better - 7th Feb 24
Stock Market QE4EVER - 7th Feb 24
Learn How to Accumulate and Distribute (Trim) Stock Positions to Maximise Profits - Investing 101 - 5th Feb 24
US Exponential Budget Deficit - 5th Feb 24
Gold Tipping Points That Investors Shouldn’t Miss - 5th Feb 24
Banking Crisis Quietly Brewing - 5th Feb 24
Stock Market Major Market lows by Calendar Month - 4th Feb 24
Gold Price’s Rally is Normal, but Is It Really Bullish? - 4th Feb 24
More Problems in US Regional Banking System: Where There's Fire There's Smoke - 4th Feb 24
New Hints of US Election Year Market Interventions & Turmoil - 4th Feb 24
Watch Consumer Spending to Know When the Fed Will Cut Interest Rates - 4th Feb 24
Blue Skies Ahead As Stock Market Is Expected To Continue Much Higher - 31st Jan 24
What the Stock Market "Fear Index" VIX May Be Signaling - 31st Jan 24
Stock Market Trend Forecast Review - 31st Jan 24

Market Oracle FREE Newsletter

How to Protect your Wealth by Investing in AI Tech Stocks

INTC/JPM On Deck...

Companies / Corporate Earnings Jan 14, 2010 - 06:53 PM GMT

By: Jack_Steiman


The market has continued to move higher day after day in a slow grinding manner that is never on the nerves. As we move higher the moves up get smaller and smaller but they're still up moves. the question now becomes, can the market continue this grind higher or will it get stopped cold! The answer is likely in the earnings season that is truly upon us now. Intel (INTC) is huge as it is a major economic indicator as its chips are in everything. The news just came out and they blew away the numbers and it is somewhat higher after hours. Up 2-3% on top of nice gains during the day. It's on breakout if this holds and that can only be good for the markets.

One down and one to go as we get JP Morgan Chase (JPM) before the opening tomorrow morning. This too is an important report as it's considered one of the very best financials and thus a good report only helps the situation in that arena. If it is good, the bears are going to have a very difficult time taking things lower in the near term although understand a correction can take place at any moment. It's all about earnings folks and thus far, if INTC is any indication, things will be better than expected for this quarter and that means the market is likely to maintain its overall up trend for some time.

The market began the day mostly flat and then spent the rest of the day grinding its teeth higher in anticipation of INTC and JPM. You could see the bulls and bears lying low as neither side wanted to get too aggressive in front of such important reports. Lots of fear and who could blame either side. Good reports and the bears know things won't be easy. Bad reports and the bulls know they could get torched short term. The Nasdaq led a bit all day but that's understandable as INC had a very nice chart starting the day and thus the bears weren't going to attack that area of the market if they were going to try and attack at all. We closed a bit off the highs and overall the gains were small but gains nonetheless. The up trend remains firmly entrenched. Again, always pullbacks but for now we can only stick with the trend in place but clearly we don't want to overdo it as earnings on any given night can turn things sour for a day or so.

The PowerShares DB US Dollar Index or the ETF for the dollar continues to break down negating the original pattern in place that had breakout potential above 23.20. It has lost the 50-day exponential moving average and the inverse bullish pattern. No appetite it seems for United States currency. Makes you wonder about our future but sticking with the market theme, it can't be bad news for the market that the dollar sadly is falling almost on a daily basis.

It is very interesting these past few weeks as we are seeing the old "dead" guard finally come back to life. The old group that led in the 90's, Oracle (ORCL), EMC Corp, (EMC), Intel (INTC), Microsoft (MSFT), Cisco (CSCO), and are all seeing some very nice gains these days. Many will argue that when this group gets going, it must mean that the bull market is nearing its conclusion. I don't agree with that at all. In fact, seeing an appetite for the old guard gets me to thinking that this market may have more legs than anyone thinks possible. These stocks are just breaking out of long term bases. Some of them multi year bases. That's more bullish than bearish for sure. INTC and ORCL and add in MSFT are in that category right now with CSCO close at hand. Good action for sure.

Look folks, it's sexy to say the party has to be over here. The move is long in the tooth and you can make a good argument that we're just grinding along and that's not the best action. There's truth to that but the reality is we keep grinding higher on good earnings and if that continues on the earnings front, sustainable downside action won't be easy for the bears. I still can't recommend taking on short plays at this point in time. Staying with the trend.



Jack Steiman is author of ( ). Former columnist for, Jack is renowned for calling major shifts in the market, including the market bottom in mid-2002 and the market top in October 2007.

Sign up for a Free 30-Day Trial to!

© 2010

Mr. Steiman's commentaries and index analysis represent his own opinions and should not be relied upon for purposes of effecting securities transactions or other investing strategies, nor should they be construed as an offer or solicitation of an offer to sell or buy any security. You should not interpret Mr. Steiman's opinions as constituting investment advice. Trades mentioned on the site are hypothetical, not actual, positions.

© 2005-2022 - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.

Post Comment

Only logged in users are allowed to post comments. Register/ Log in