Best of the Week
Most Popular
1.Crude Oil Price Trend Forecast 2016 Implications for Stock Market - Nadeem_Walayat
2.Odds of Winning Walkers Crisps Spell & Go olidays K, C and D Letters - Sami_Walayat
3.Massive Silver Price Rally During The Coming US Dollar Collapse - Hubert_Moolman
4.Pope Francis Calls For Worldwide Communist Government - Jeff_Berwick
5.EU Referendum Opinion Polls Neck and Neck Despite Operation Fear, Support BrExit Campaign - Nadeem_Walayat
6.David Morgan: There Will Soon Be a Run to Gold Like You've Never Seen Before - Mike Gleason
7.British Pound Soars on BrExit Hopes Despite Remain Establishment Fear Mongering - Nadeem_Walayat
8.Gold Price Possible $200 Rally - Bob_Loukas
9.The Federal Reserve is Not Going To Raise Interest Rates and Destroy Gold - Michael_Swanson
10.Silver Miners’ Q1’ 2016 Fundamentals - Zeal_LLC
Free Silver
Last 7 days
Will the Fed be Blind Sided by Stagflation? - 31st May 16
Gold Price Not Ready for a Final Intermediate Cycle Low - 31st May 16
EU Referendum - British People vs Establishment Elite, Vote LEAVE an Act of Defiance! - 31st May 16
Gold - Mr. Cool Cucumber is starting to Sweat - 31st May 16
AMAT Chirps, b2b Ramps, Yellen Hawks and Gold’s Fundamentals Erode - 31st May 16
Stock Market Re-Testing Overhead Resistance - 30th May 16
David Cameron Questioned on Out of Control Immigration at TEN TIMES Conservative Election Pledges - 30th May 16
Bitcoin Price Skyrockets And Is Now Up More Than 100% This Jubilee Year - 30th May 16
This Is Not The America My Parents Immigrated To In 1957 - 30th May 16
“Debt, Not The Economy, Reaches Escape Velocity” With Graham Mehl - 29th May 16
EU Referendum, Black Vote LEAVE or REMAIN? Which is Worse for Racism for Britain's Ethnic Minorities? - 29th May 16
Billionaire Gross: Jubilee Debt Relief as Prelude to New Global Economic Order - 29th May 16
Wargaming North Korea - Assessing the Threat - 29th May 16
EU REMAIN Population Forecasts - England 4.1 million Explosion, London Migration Crisis - 28th May 16
A Guide to the Trump-Sanders Debate - 28th May 16
Gold And Silver – At Significant Support. New “Story” Developing - 28th May 16
The Next Systemic Lehman Event - New Scheiss Dollar & Gold Trade Standard - 27th May 16
Energy and Debt Crisis Point to Much Higher Silver, Metals Prices - 27th May 16
Gold Junior Stocks Q1 2016 Fundamentals - 27th May 16
These Crisis Markets Are Primed to Deliver Big Gains, Platinum Never Cheaper! - 27th May 16
Operation Black Vote BrExit Warning for the Wrong EU Referendum - 27th May 16
UK Immigration Crisis Hits New Extreme, Catastrophic ONS Migration Stats Ahead of EU Referendum - 27th May 16
Many of the World’s Best Investors Made Their Fortunes This Way…And You Can Too - 27th May 16
The Ugly Truth About Stock Market Manipulation and Gold Prices - 27th May 16
Gold Price Looking Vulnerable While Gold Stocks Correct - 27th May 16
The 5 Fatal Flaws of Trading - 27th May 16
The Next Big Crash Of The U.S. Economy Is Coming, Here’s Why - 27th May 16
A New Golden Bull or Has the Market Gone Too Far Too Fast? - 27th May 16
It Feels Like Inflation - 26th May 16
Negative Interest Rates Set to Propel the Dow Jones to the Stratosphere? - 26th May 16
S&P Significant Low has Occurred – Not Likely! - 26th May 16
Statistics for Funeral Planning in UK Grave - 26th May 16
Think Beyond Oil And Gold: Interview With Mike 'Mish' Shedlock - 26th May 16
Hard Times and False Mainstream Media Narratives - 26th May 16
Will The Swiss Guarantee 75,000 CHF For Every Family? - 26th May 16
Is There A Stocks Bear Market in Progress? - 26th May 16
Billionaires Are Wrong on Gold - 26th May 16
How NOT to Invest in the Gold Market - 26th May 16
The Black Swan Spotter...Which Saw the Oil-Crash coming; now says the “Invisible Hand” will push Brent to $85 by Christmas - 26th May 16
U.S. Household Debt Still Below 2008 Peak - 25th May 16
Brexit: Wrong Discussion, Wrong People, Wrong Arguments - 25th May 16
SPX is at Strong Resistance - 25th May 16
US Dollar, Back From the Grave? - 25th May 16
Gold : Just the Facts Ma’am - 25th May 16
The Worst Urban Crisis in History Could be Upon Us - 24th May 16
Death Crosses Across The Board Are IRREFUTABLE Stock Market Sell Signals - 24th May 16
Bitcoin Trading Alert: Bitcoin Price Stays below $450 - 24th May 16
Stock Market Crash Death Cross Doom Prevails - 23rd May 16
Did AMAT Chirp? Implications for the Economy and Gold - 23rd May 16
Stocks Extended Their Rebound On Friday - Will They Continue Higher? - 23rd May 16
UK Treasury Propaganda Warns of 3.6% Brexit Recession, the £64 Billion Question? - 23rd May 16
Stock Market Support Breached, But Not Broken! - 23rd May 16
George Osborne Warns of 18% Cheaper House Prices - BrExit for First Time Buyers - 22nd May 16
Gold Bull-Phase I Continues to Confound (The Trek to “Known Values”) - 22nd May 16 r
Avoiding a War in Space - 22nd May 16

Free Instant Analysis

Free Instant Technical Analysis


Market Oracle FREE Newsletter

Why 95% of Traders Fail

Good Jobs...Bad Jobs.... Stock Market Still Lateral.....

Stock-Markets / Stock Markets 2012 Dec 08, 2012 - 07:21 AM GMT

By: Jack_Steiman

Stock-Markets

The Government came out with their bag of tricks this morning pre-market, telling us that jobs increased by 146,000, which was much better than expected. What they failed to tell you was that the jobs market lost 122,000 people when their claims ran out with the Government--the new math, apparently. So in the end the report was actually worse than expected, but they want you to believe that things are actually improving.


I guess they think we're all dopes. It's the same way they choose to look at inflation. They count everything except food and energy. Seriously? Outside of health care costs going through the roof, what else is there really, other than the inflation caused by our most used daily products of food and energy. We seem to accept all this garbage, but in the end, the number today was not nearly as good as that which was reported, and for once the market didn't buy it at all.

The market rose early on with those futures blasting up initially. The S&P 500 was up over a ten handle. Nice action. It opened with a four handle and ultimately went red as the day wore on. It went back and forth from red to green, but in the end, the report wasn't accepted as many thought it might be. Fool me once...! The market simply went back to its usual behavior we've been seeing for far too long now. Whipsaw is the name of the game, which is what I've been warning you about for some time now. There's nothing out there to change this behavior as we tinker on the edge of recession, until we get a resolution from the fiscal cliff. It's really that simple. Today was the same old. You start one way and end another with many head fakes in between. The new normal for now.

Playing this type of market is what has everyone so baffled and unhappy. There really isn't a strong strategy to be honest. The market is whipped about due to the uncertainty it's facing, and due to the words spoken from both political sides on an almost daily basis. It's almost impossible to play this way. Unless you choose to wait for oversold to very oversold conditions, or on the other hand, overbought to very overbought conditions, there really isn't much there.

The problem is waiting and getting those oversold and overbought conditions to take place. They don't that frequently on the daily charts. Far more often on the short-term sixty-minute charts, but unless you're a day trader, it's imperative you wait for the daily set-ups. It ultimately means you're likely doing a lot less trading than you'd like. It's frustrating and disappointing. I get it but, if you don't obey the rules laid out in front of you here, you're likely to have a lot of bad experiences. Less is sadly more for now with there being no sign of that changing the rest of this month as the two political sides play hard ball with each other, and thus, with all of us. Adjust accordingly.

Apple Inc. (AAPL) is in a longer-term down trend that's been completely confirmed technically when it failed on its back test of the 50-day exponential moving average with a black candle. It has been down hard ever since. It has set up shop with clear support and resistance levels. 555.00 is now the first area of tough resistance followed by the wall at 569.00, or the recent gap down. Support is at 518.00 followed by 505.00. Below 505.00 is 460.00. AAPL is the leader and needs the right type of news to break this continuing down trend it has been in for a long time now. If AAPL can find a bottom then the market is likely to find it as well. Remember that AAPL is very heavily weighted and if it's struggling so will the necessary market leader, the Nasdaq markets are healthiest when froth or the Nasdaq leads.

Look folks, in the end it's about the resolution or lack of one regarding the fiscal cliff. The market is anxious, and that's why you get the whipsaw. The reason it doesn't tank to this point is because there's really nowhere else to put your dollars. Interest rates are too low. With this in mind, the market players are looking for safety in lower beta, lower P/E stocks found in the Dow and S&P 500. Always exceptions to that rule, but the overall behavior of the indexes shows this to be the case. The Nasdaq is not that desirable to the masses for now. It will become desirable once again when the fiscal cliff has been resolved. This tells you that cash is basically best with only very tiny exposure from time to time. Nothing wrong with being completely cash if need be.

Be peaceful and wait for resolution. The market should become more directional at that time.

Peace,

Jack

Jack Steiman is author of SwingTradeOnline.com ( www.swingtradeonline.com ). Former columnist for TheStreet.com, 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 15-Day Trial to SwingTradeOnline.com!

© 2012 SwingTradeOnline.com

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.


© 2005-2016 http://www.MarketOracle.co.uk - 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

Catching a Falling Financial Knife