Analysis Topic: Stock & Financial Markets
The analysis published under this topic are as follows.Thursday, April 17, 2008
Stock Markets Headed Higher Into Summer / Stock-Markets / Elliott Wave Theory
So far the HUI turn date of Monday April 13thish was a few days late, but appears to be on course. The XOI and USD index also are playing out according to their respective Elliott Wave patterns. Analysis below discusses what to expect in the S&P over the course of the next few months. One side note, we have implemented all charts on our site going forward to be HTML coded so that a much larger version is available at the click of a mouse.Read full article... Read full article...
Wednesday, April 16, 2008
Commodities Reversing US Dollar Bottoming- Yorba TV Show / Stock-Markets / Financial Markets
Here are the topics for tomorrow's television show on www.yorba.tv Thursday at 4:00 pm EDT.
1) It's almost time for the US Dollar to stop its plunge!
As everyone is
aware, the US Dollar has been in a severe decline since 2001. Over that
time it has declined over 41%. The declining dollar helped to pull the
economy out of the 2001 recession by lowering the prices of exports to
foreign countries. But it also caused a lot of pain to consumers by being
the primary cause of the rising cost of fuel. Depressed investor confidence
in the Dollar is causing foreign investors to start selling dollar
denominated assets, which in turn depresses investor confidence even more.
Wednesday, April 16, 2008
Global Investing Roundups- China Buys 1% of Oil Giant BP / Stock-Markets / Global Stock Markets
Wholesale Prices Soar; U.S. Bancorp Sees Earnings Slide; Johnson & Johnson Enjoys 40% Jump in Profit; China Buys 1% of BP for $1.7 Billion; Brazil's Retail Sales Hit Four-Year Record; Crocs Stock Drops; Intel Profit Down; Big Loss for WaMuRead full article... Read full article...
Wednesday, April 16, 2008
Protect Your Wealth from Wall Street Liars / Stock-Markets / Market Manipulation
Few seem to remember that Wall Street is not a non-profit community driven by altruism or any sense of service. They would gladly cheat you out of your entire life savings if their actions were legal, or at least not prosecuted. In the last two to three years, the lies, deception, misdirection, false reporting, corruption, and grand fraud will be the topic of historical accounts for decades. When returning on my flights from another successful Cambridge House gold conference, this in Calgary Alberta , many thoughts came to mind, jotted down while gazing at the natural beauty made up from cloud blankets with a sun guarding its lot. The sun and clouds care not at all about economic landscapes underneath, even if in turmoil. Whenever travels take me across national borders, nationalism, idealism, culture, and dreams come to mind. It seems pursuit of truth, clarity, and integrity has become negotiable, one and all in the United States . Its people are being stripped of so much. Perhaps this layout will be helpful. Routinely such matters are covered in the Hat Trick Letter reports. Gold & silver continue to do well to protect individuals and their wealth. Banks are no longer safe, an astonishing conclusion. Bonds are not safe, and neither are money market funds!!!Read full article... Read full article...
Tuesday, April 15, 2008
New Upleg in Brazil Stock Market ETF / Stock-Markets / Brazil
In general, the EWZ exhibits a VERY constructive intermediate term chart pattern. All of the price action off of the Jan. low at 64.00 represents the start of a new upleg within the existing longer term bull trend that started in 2002 near 5.00. Furthermore, the decline off of the Feb. 28th high at 88.77 to the March 20 low at 72.11 appears to me to be a completed pullback, and the start of a new upleg that projects to retest 88.00-81.00 on the way to 91.00-93.00. Let's notice how much respect the price structure (investors) have exhibited during tests of the sharply rising 200 DMA.Read full article... Read full article...
Tuesday, April 15, 2008
The S&P 500: Offering Investors Attractive Valuations Or a Bull Trap? / Stock-Markets / Stock Market Valuations
As the S&P 500 gradually drifts lower in 2008, many analysts and portfolio managers are now saying the index has attractive valuations and are offering investors excellent profit opportunities. But is the S&P 500 really cheap at present levels? And are these recent short-term rallies just a bull trap?Read full article... Read full article...
Tuesday, April 15, 2008
Stein's Law- Mean Reversion Results in US Wealth Contraction / Stock-Markets / Credit Crisis 2008
This week we look at a remarkable and important essay by my friend Dr. Woody Brock who is one of my favorite "Outside the Box thinking" economists. I seriously look forward to Woody's quarterly insights and devour them as soon as the come in.
I especially urge you to read and re-read the first few paragraphs, and then think about what mean reversion will mean to US wealth growth, and to the developed world in general. This is a very important concept, and basic to economics, but one that has not had enough attention drawn to it. Coupled with high valuations, the headwinds facing traditional investments are getting stronger.
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Sunday, April 13, 2008
Stock Market Update: Make or Break Time / Stock-Markets / US Stock Markets
Not only did Friday's inexorable drip lower invalidate several bullish charts that would have seen an extension of the April rally, it also crushed positive sentiment on the Street and reiterated the prevailing wisdom of a bear market. But as we now enter the mine field of earnings season next week, TTC members have covered their shorts as our indications suggest the market has reached a crucial potential support level that will prove to be make or break early next week. Besides, we can always get back on Sunday night when we actually start our week.Read full article... Read full article...
Saturday, April 12, 2008
Short-term Stock Market Trend Remains Up / Stock-Markets / US Stock Markets
The good news is: Last weeks sell off was not accompanied by increased volume of issues moving downward.
Short Term The chart below covers the past 9 months showing the NASDAQ composite (OTC) in blue and a 5% trend of NASDAQ downside volume (OTC DV) in black. OTC DV has been plotted on an inverted Y axis so increasing OTC DV moves the indicator downward (up is good). Dashed vertical lines have been drawn on the 1st trading day of each month; the line is red on the 1st trading day of the year.
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Saturday, April 12, 2008
Credit Crisis Spreads Beyond Banks Hitting Corporate Earnings / Stock-Markets / Credit Crisis 2008
Is the consumer “all done in?” - ( Bloomberg ) The Reuters/University of Michigan preliminary index of consumer sentiment decreased to 63.2 this month, the weakest level since 1982, when the jobless rate approached 11 percent, the worst since the Great Depression. In other figures released today, the Labor Department reported that the cost of imported goods climbed 14.8 percent in March from a year ago, led by oil.
``The consumer's feeling increasingly hemmed in,'' said Brian Bethune , director of financial economics at Global Insight Inc. in Lexington , Massachusetts . ``They've got higher energy bills, higher gasoline bills, higher food bills and obviously the employment markets are nowhere near as strong as they were.''
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Saturday, April 12, 2008
Stock Market Valuation and Reversion to the Mean / Stock-Markets / Stock Market Valuations
- Market Cycle Math
- Where Are We Today?
- Analyze and Strategize
Are we in a bull, a bear, or a cowardly lion market? As we will see, the answer can make a huge difference in your investment portfolio. This week I am at my Strategic Investment conference in La Jolla. About four times a year I take a break from writing the letter and bring in a guest writer. This week Thoughts from the Frontline will have the very distinguished analyst and author Vitaliy Katsenelson.
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Thursday, April 10, 2008
Buy Chinese Stocks Like Crazy! / Stock-Markets / Chinese Stock Market
Larry Edelson writes: If you're serious about making some money and you haven't already acted on my recent suggestions to buy the heck out of China, then I urge you not to waste another minute.
Look, five years ago the Shanghai stock market was flat on its back. The Shanghai Composite 300 Index was trading at the 1,300 level, and I dedicated one of my Asia trips to China. I wanted to be on the front lines to see what was going on ... and the economy I saw was on fire.
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Thursday, April 10, 2008
Bottom for the Banking and Financial Stocks? / Stock-Markets / Banking Stocks
Investors who regularly beat the market are always careful not to jump into a sector to early. In the last few weeks there has been unprecedented action in the financial markets as several banks have received infusions of capital to help them cover their significant credit losses. Last month the Fed lowered the Fed Funds and Discount rate, increasing the slope of the yield curve which should help banks. They also opened its lending window to investment banks giving them a new, stable source of funding. Then the regulators allowed Fannie Mae and Freddie Mac to boost their investments in U.S. mortgages by $200 billion, trying to give the mortgage market a boost.Read full article... Read full article...
Wednesday, April 09, 2008
Who Will Bail Out the US FED? / Stock-Markets / Central Banks
Whoever believes that the most recent Fed/JP Morgan heist to acquire Bear Stearns, along with other simultaneous and preceding Fed actions, were ”successful” had better check again.
The current crisis is so severe, and it has already forced the Fed to reach into its own balance sheet grab-bag so deeply, that a very legitimate question arises, and the question is this: when the Fed ploughs all the way through its own balance sheet and gets to the bottom of the barrel, who will bail it out?
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Wednesday, April 09, 2008
Relatively Subdued Pullback for Russell 2000 ETF / Stock-Markets / US Stock Markets
So far despite what feels like a broad-based sell-off, in the lager scheme of things the Russell 2000 Small-Cap ETF (AMEX: IWM) actually has experienced a relatively subdued pullback off of last Friday's high at 71.90 (2.3%), which my work argues is a high-level congestion area atop the March-Aril advance prior to another thrust to the upside. At this juncture, only a sustained breach of key near-term support at 70.30/00 will begin to compromise the developing pattern.Read full article... Read full article...
Wednesday, April 09, 2008
Bernanke Joins G7 to Stem Global Financial Meltdown / Stock-Markets / Credit Crisis 2008
In a recent interview with the New York Times, former Secretary of the Treasury Paul O' Neill, was asked how the problems with subprime mortgages could lead to a financial crisis of global proportions. O' Neill said, “If you have 10 bottles of water, and one bottle has poison in it, and you don't know which one, you probably won't drink out of any of the 10 bottles; that's basically what we've got here.”Read full article... Read full article...
Tuesday, April 08, 2008
US Fed Prepares for More Bank Failures In Wake of Housing Market Collapse / Stock-Markets / Credit Crisis 2008
It seems that the Federal Deposit Insurance Corporation is getting ready for more financial institutions to fail as world credit markets convulse in the wake of the US housing collapse and a flight from SIVs... structured investment vehicles which are highly leveraged, complicated, based on assumptions now proven to be plain wrong, and now considered “toxic”.
“The FDIC is looking to bring back 25 retirees from its division of resolutions and receiverships.
Many of these agency veterans likely worked for the FDIC during the late 1980's and early 1990's, when more than 1,000 financial institutions failed amid the savings-and-loan crisis.‘Regulators are bracing for well over 100 bank failures in the next 12 to 24 months'...” Damian Paletta, Feb.27, 2008 Wall Street Journal .
Tuesday, April 08, 2008
Looking to be Long the Russell 2000 Stock Market ETF / Stock-Markets / US Stock Markets
During the past three months, the Russell 2000 Small-Cap ETF (AMEX: IWM) has carved out an impressive base-like pattern in the aftermath of its 25% correction (bear phase?) off of the July 2007 high at 85.74. Although the 72.00 area represents serious resistance, the size of the base pattern is just about as large as the size of the Aug-Nov top pattern that triggered the powerful decline.Read full article... Read full article...
Tuesday, April 08, 2008
Watch the Stock/bond Ratio– Poll Results / Stock-Markets / Stock Market Valuations
I posted an article on the stock/bond ratio a few days ago, discussing the likelihood of the period of safe-haven buying of bonds coming to a close and the underperformance of stocks since the middle of last year being in the process of reversing. In essence, the post asked whether we were seeing a turning point of any importance in the stock/bond ratio.Read full article... Read full article...
Tuesday, April 08, 2008
Commodity-based Emerging Markets Continue to Strut over S&P 500 / Stock-Markets / Emerging Markets
With the declining U.S. dollar and the steady growth of natural resource prices, many commodity-based world markets are feeling considerable buoyancy during this current bear market.
As the secular commodities bull market continues, its affects can be felt even during the global bear market. Many natural resource world economies are not feeling the same downdraft that has gripped the more blue chip and financial-based indexes.