Best of the Week
Most Popular
1. Will Gold Price Breakout? 3 Things to Watch… - Jordan_Roy_Byrne
2.China Invades Saudi Oil Realm: PetroDollar Kill - Jim_Willie_CB
3.Bitcoin Price Trend Forecast, Paypal FUD Fake Cryptocurrency Warning - Nadeem_Walayat
4.The Stock Market Trend is Your Friend ’til the Very End - Rambus_Chartology
5.This Isn’t Your Grandfather’s (1960s) Inflation Scare - F_F_Wiley
6.GDX Gold Mining Stocks Fundamentals - Zeal_LLC
7.US Housing Real Estate Market and Banking Pressures Are Building - Chris_Vermeulen
8.Return of Stock Market Volatility Amidst Political Chaos and Uncertain Economy - Buildadv
9.Can Bitcoin Price Rally Continue After Paypal Fake FUD Attack? - Nadeem_Walayat
10.Warning Economic Implosion on the Horizon - Chris_Vermeulen
Last 7 days
What to Expect at a Critical Stock Market Point: End of a Wave 2 Rally - 26th Apr 18
A New Lithium War Is About To Begin, Modern Gold Rush! - 26th Apr 18
Silver, silver, and silver! There’s More Than Silver, People! - 26th Apr 18
How to be Financially Prepared When Purchasing Your First Home - 26th Apr 18
Is a Stock Market Crash Imminent or Does this Stock Market Bull Still Have Legs - 25th Apr 18
Gold Price Focusing on May Cycle Bottom - 25th Apr 18
Cash “Vanishes” From Bank Accounts In Ireland - 25th Apr 18
Is the Malaysian Economy a Potemkin Village - 25th Apr 18
Land Rover Discovery Sport Rattling / Knocking Sounds From Car Pillars - 25th Apr 18
China Takes the Long View on Gold-Silver... and So Should You - 25th Apr 18
Russia Buys 300,000 Ounces Of Gold In March – Nears 2,000 Tons In Gold Reserves - 24th Apr 18
Stock Market Study Shows Why You Shouldn’t “Sell in May and Go Away” - 24th Apr 18
CRYPTOCURRENCY MASTERCLASS #CRY90 - 24th Apr 18
UK Gambling Statistics - What the Numbers Say - 24th Apr 18
Chaos Capitalists Short Countries - How Chanos Got China Wrong - 24th Apr
Artificial Intelligence Defines the Political News Narrative - 24th Apr 18
Stock Market "Oops, They Did It Again" - 24th Apr 18
Fox in the Henhouse: Why Interest Rates Are Rising - 23rd Apr 18
Stocks and Bonds, This is Not a Market - 23rd Apr 18
Happy Anniversary Silver Investors! - 23rd Apr 18
The Hottest Commodity Play In 2018 - 23rd Apr 18
Stock Market Correction Turns Consolidation - 23rd Apr 18
Silver Squeeze, Gold Fails & GDX Breadth - 23rd Apr 18
US Economy Is Cooked, the Growth Cycle has Peaked - 23rd Apr 18
Inflation, With a Shelf Life - 23rd Apr 18 - Gary_Tanashian
Stock Market Predictive Modeling Is Calling For A Continued Rally - 22nd Apr 18
SWEATCOIN - Get PAID to WALK! Incentive to Burn Fat and Lose Weight - Review - 22nd Apr 18
Sheffield Local Elections 2018 Forecast Results - 22nd Apr 18
How Long Does it take for a 10%+ Stock Market Correction to Make New Highs - 21st Apr 18
Sheffield Ruling Labour Party Could Lose 10 Council Seats at May Local Elections - 21st Apr 18
Crude Oil Price Trend Forecast - Saudi Arabia $80 ARAMCO Stock IPO Target - 21st Apr 18
Gold Price Nearing Bull Market Breakout, Stocks to Follow - 20th Apr 18
What’s Bitcoin Really Worth? - 20th Apr 18
Stock Market May "Let Go" - 20th Apr 18
Overwhelming Evidence Against Near Stock Market Grand Supercycle Top - 20th Apr 18
Crude Oil Price Trend Forecast - Saudi's Want $100 for ARAMCO Stock IPO - 20th Apr 18
The Incredible Silver Trade – What You Need to Know - 20th Apr 18
Is War "Hell" for the Stock Market? - 19th Apr 18
Palladium Bullion Surges 17% In 9 Days On Russian Supply Concerns - 19th Apr 18
Breadth Study Suggests that Stock Market Bottom is Already In - 19th Apr 18
Allegory Regarding Investment Decisions Made On Basis Of Government’s Income Statement, Balance Sheet - 19th Apr 18
Gold – A Unique Repeat of the 2007 and How to Profit - 19th Apr 18
Abbeydale Park Rise Cherry Tree's in Blossom - Sheffield Street Tree Protests - 19th Apr 18
The Stock Market “Turn of the Month Effect” Exists in 11 of 11 Countries - 18th Apr 18
Winter is Coming - Coming Storms Will Bring Out the Best and Worst in Humanity - 18th Apr 18
What Does it Take to Create Living Wage Jobs? - 18th Apr 18
Gold and Silver Buy Signals - 18th Apr 18
WINTER IS COMING - The Ongoing Fourth Turning Crisis Part2 - 18th Apr 18
A Stock Market Rally on Low Volume is NOT Bearish - 17th Apr 18
Three Gold Charts, One Big Gold Stocks Opportunity - 17th Apr 18
Crude Oil Price As Bullish as it Seems? - 17th Apr 18
A Good Time to Buy Facebook? - 17th Apr 18
THE Financial Crisis Acronym of 2008 is Sounding Another Alarm - 16th Apr 18
Bombs, Missiles and War – What to Expect Next from the Stock Market - 16th Apr 18
Global Debt Bubble Hits New All Time High – One Quadrillion Reasons To Buy Gold - 16th Apr 18
Will Bitcoin Ever Recover? - 16th Apr 18
Stock Market Futures Bounce, But Stopped at Trendline - 16th Apr 18
How To Profit As Oil Prices Explode - 16th Apr 18
Junior Mining Stocks are Close to Breaking Downtrend - 16th Apr 18
Look Inside a Caravan at UK Holiday Park for Summer 2018 - Hoseasons Cayton Bay Sea Side - 16th Apr 18
Stock Market More Weakness? How Much? - 15th Apr 18
Time for the Gold Bulls to Show their Mettle - 15th Apr 18
Trading Markets Amid Sound of Wars - 15th Apr 18
Sugar Commodity Buying Levels Analysis - 14th Apr 18
The Oil Trade May Be Coming Alive - 14th Apr 18

Market Oracle FREE Newsletter

Trading Lessons

End of Schengen, Stock Market’s Technical Strength Grows

Stock-Markets / Stock Markets 2015 Nov 20, 2015 - 05:40 PM GMT

By: Christopher_Quigley

Stock-Markets

EU Seeking End to Passport-Free Travel.
In an unprecedented move following the horrific attacks in Paris last Friday the 13th the European commission is reviewing its founding treaty with a view to strengthening border controls. This development goes to show the change in European conscious brought about by the sheer scale of the Parisian death and injury. The vision of the founding fathers of the EU saw the end-game being a Federal “one nation” Europe and progressive treaties over the last 70 years or so sought to bring this “binding” about. I believe that recent events have put a stop to this goal once and for all. If the European Union cannot protect its citizens (and it is obvious it cannot) then the only fallback is the individual state, ergo this state cannot be abolished in this new world of hyper-terror. It would thus now appear that David Cameron’s desire to see the EU revert back to being a common market of independent Nation States is going to come about after all. What negotiation was not achieving it would appear radical terrorism has. Who would have thought?  Here is how the Associated Press reported this story:


AP. 20th. November 2015:
 Between the French Interior Minister Cazeneuve: "we're face with a new kind of terrorism", and Hungary’s PM Orban: "allowing people into our own back yard who may then commit acts of terrorism was irresponsible”, AP reports that the EU's founding treaty with regard to passport-free travel - the so-called Schengen Agreement - is to be reformed. "We want Europe, which has lost too much time on a certain number of questions, to note the urgency and take decisions today," exclaimed Cazeneuve, with Orban adding "the founding treaty is currently an obstacle to this and I believe it needs to be reconsidered." According to Cazeneuve, the reforms will happen by year-end.

“EU ministers have agreed to carry out more stringent controls at the bloc's external borders, in response to the attacks in Paris last week”, says Luxembourg Deputy Prime Minister Etienne Schneider.

“Member states must fully apply the rules of the border-free Schengen zone to carry out systematic controls on EU citizens at the bloc's external borders, he says, adding, "It's not an option, it's an obligation."

“The bloc's internal and justice ministers have also requested a strengthening of the existing Schengen border controls. On one hand, “we cannot close Europe,” Schneider continued, “But on the other hand, we cannot open Europe totally for millions and millions of poor people in the world or even for all of those coming from conflict zones. Impossible,” he stated, calling for a change to the European refugee system.

Even Berlin intends to slash cash benefits to refugees, providing them with food instead.

“The European Union's founding treaty should be reconsidered”, Prime Minister Viktor Orban said after meeting Macedonian counterpart Nikola Gruevski on Friday.

The prime minister continued: “European should face up to the fact that migrants come from areas involved in military conflict with EU members. We are considered enemies in those countries, and the acts of terror committed in our areas are considered war successes over there, allowing people into our own back yard who may then commit acts of terrorism was irresponsible”.

"The founding treaty is currently an obstacle to this and I believe it needs to be reconsidered, In order to make Europe effective, basic questions need to be reevaluated”, he added. “It is increasingly obvious that the EU is capable only of responding to crises rather than taking preventive measures. It appears only now that European politicians are starting to assigning security its proper role”, Orban concluded.

Market’s Technical Strength Grows.
With each passing week the stock market is giving indications that it is rebuilding itself for a breakout to new all-time highs.

Given the scale of breakdown on August 20th. this is quite amazing. While from a Dow theory perspective the Dow Industrials are far stronger than the Transports, if the 8437 level on the Trannies is breached to the upside I believe by all accounts we will get a decent “Santa Rally”.

However there is one area of the market that is causing me some worry and that is the area of consumer retail. Many of the big players have the technical configuration of a looming recession. For example I attach the charts for Macy’s, Ross Stores, Best Buy and Sears. How their sales figures fare over “Black Friday” will play a major part in my rosy year end prediction. Let’s all keep our fingers crossed.

Chart: Dow Industrials: Daily.


Chart: Dow Transports: Daily.



Chart: Macy’s Inc: Daily.


Chart: Ross Stores: Daily.



Chart: Best Buy Co:Daily.


Chart: Sears Holding Co: Daily.


Charts courtesy of Worden Bros.

By Christopher M. Quigley

B.Sc., M.M.I.I. Grad., M.A.
http://www.wealthbuilder.ie

Mr. Quigley was born in 1958 in Dublin, Ireland. He holds a Bachelor Degree in Accounting and Management from Trinity College Dublin and is a graduate of the Marketing Institute of Ireland. He commenced investing in the stock market in 1989 in Belmont, California where he lived for 6 years. He has developed the Wealthbuilder investment and trading course over the last two decades as a result of research, study and experience. This system marries fundamental analysis with technical analysis and focuses on momentum, value and pension strategies.

Since 2007 Mr. Quigley has written over 80 articles which have been published on popular web   sites based in California, New York, London and Dublin.

Mr. Quigley is now lives in Dublin, Ireland and Tampa Bay, Florida.

© 2015 Copyright Christopher M. Quigley - All Rights Reserved

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any trading losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors before engaging in any trading activities.

Christopher M. Quigley Archive

© 2005-2018 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

6 Critical Money Making Rules