Analysis Topic: Stock & Financial Markets
The analysis published under this topic are as follows.Monday, March 23, 2009
Stock Market Indices Witness Strong Selling / Stock-Markets / Stock Index Trading
And this is because the Sp and Dow failed at their 50's and the bulls couldn't stop the same old which has been to fall from those 50 day tests. The Nas and Ndx cleared it but now the Nas is slightly below. Nothing terrible but a few points below and it's not great to see similar behavior as we have seen for this entire bear market. Get to the 50's with some indexes clearing the 50's and then things just fall apart. The bulls need to take a stronger stand than this. The rally so far has been on excellent internals and this has kept the rally going but it's time for the bulls to step up here or we're headed right back down.Read full article... Read full article...
Monday, March 23, 2009
Stock Market Potential for Continuing Counter Trend Rally / Stock-Markets / Stock Index Trading
Current Position of the Market
SPX: Long-term trend - Down! The very-long-term cycles have taken over and if they make their lows when expected, the bear market which started in October 2007 should continue until 2012-2014. This would imply that much lower prices lie ahead.
SPX: Intermediate trend - The index may have started a counter-trend rally which has the potential of extending itself in a bumpy ride for several more weeks if it can overcome the resistance which lies directly overhead.
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Sunday, March 22, 2009
Stock Market Final Bottom When Price Earnings Revert to Below the Mean / Stock-Markets / Financial Markets 2009
CEP News: Fed expands collateral for TALF
“The Fed expanded the securities it will accept for its short-term lending program just hours before the revamped plan was set to begin.
“The program is designed to free up capital for lending by purchasing securities backed by high-quality assets from financial institutions. The Fed plans to spend about $1 trillion through the program.
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Sunday, March 22, 2009
Global Stock Markets Enter Extended Bear Markets, Reflation Ain't Going to Work / Stock-Markets / Stocks Bear Market
Back in October when that stimulus package was being discussed I wrote a couple of articles, which were posted here, stating that it “Ain't Gonna Work.” This past Wednesday the Fed announced their latest intentions with a plan to buy $300 billion in long-term Treasuries and $750 billion of mortgage-backed securities. I'm now beginning to wonder if the powers that be are really in their minds trying to “fix” things or if they are actually trying to destroy the dollar, the free markets and perhaps even the nation.Read full article... Read full article...
Sunday, March 22, 2009
Stocks Consolidate in advance of Continuation of Short-term Rally / Stock-Markets / US Stock Markets
The good news is: After 2 consecutive down days there has been no build up of new lows.Read full article... Read full article...
Saturday, March 21, 2009
Financial Markets Analysis - Fed Adopts Quantitative Inflation / Stock-Markets / Financial Markets 2009
The big story of the week was the U.S. Fed's head long fling over the cliff into Quantitative Easing by printing more than $1 trillion (electronically) , this is on top of the $800 billion already printed on the sly as the Fed buys toxic junk such as the weeks announcement of buying $1.25 trillion of Fannie Mae and Freddie Mac mortgage backed securities, as well as other junk bonds, on top of $300 billion of US Government bonds to help finance the ever growing budget deficit. The implications of this extra supply of dollars is inflationary that devalues the value of all dollars. I have already warned indepth of the consequences of Quantitative Inflation so won't repeat it here.Read full article... Read full article...
Saturday, March 21, 2009
More Weakness Likely for Stock Market S&P 500 Index / Stock-Markets / Stocks Bear Market
The S&P 500 had an interesting week. In the aftermath of the FOMC announcement on Wednesday, the SPX climbed to 803.24 to make new recovery highs off of the March low. However, let¹s notice that the high for the week failed to penetrate significant resistance represented by the declining 10-week moving average and the Jan-Mar down trendline, and, in fact, reversed to the downside to close the week at 768.54.Read full article... Read full article...
Saturday, March 21, 2009
Stock Market Indices Extend Losses / Stock-Markets / Stock Index Trading
The market suffered another decline today, as we expected, although the day started out differently. The indices went higher at the opening, and reached the session highs within the first 15 minutes on the NDX. But the SPX did not keep pace and barely made it higher, and then they both turned lower. They went down steadily and sharply for the next few hours until about an hour to go when they staged a snapback rally that reached right back up test resistance at the earlier breakdown points, getting up to 1195 NDX and 776 SPX. But they pulled back in the last 20 minutes to add to the losses.Read full article... Read full article...
Saturday, March 21, 2009
U.S. Treasury Bonds and Gold Soars Whilst Stocks Correct Following Quantitive Easing / Stock-Markets / Financial Markets 2009
It's a circus in Washington. - Denouncing a "squandering of the people's money," lawmakers voted decisively Thursday to impose a 90 percent tax on millions of dollars in employee bonuses paid by troubled insurance giant AIG and other bailed-out companies. In some cases the bonuses might be taxed 100 percent leaving the recipients with nothing.Read full article... Read full article...
Friday, March 20, 2009
Stock Market Dow 30 Components Collective Risk of Ruin Analysis / Stock-Markets / Stocks Bear Market
So goes the EMPIRE… With each small victory, we get a little bit closer to winning our country back - Until the last man stands, status central bankers alongside their political and corporate cohorts will defend their collective monopolies until fiat currencies reach one pip north of ZERO if need be. The sad fact remains that the majority of institutions and citizenry are eager to drink from the hyper-spiked cool-aid jug just so that they can “feel better” and have a better psychological outlook relative to the harsh reality of the collective insolvency dilemma imposed by their masters.Read full article... Read full article...
Friday, March 20, 2009
What Must Happens Before a New Stocks Bull Market Starts? / Stock-Markets / Stocks Bull Market
It has probably been a few months since we last shared our Institutional Index chart with you.Read full article... Read full article...
Friday, March 20, 2009
Some Signs of a Trend Reversal from Stocks Bear to Bull / Stock-Markets / Stocks Bull Market
We think these would be some important signs of a major, sustainable trend reversal:
1. Visual clues to trend reversal (price chart and multiple moving averages pointing up). That has not yet happened.
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Thursday, March 19, 2009
Stock Market Profit-Taking Sets In / Stock-Markets / Stock Index Trading
Profit-taking finally set in after 7 out of 8 days on the upside, as the indices were extremely overbought this morning, with the McClellen Oscillator +328. I wasn't surprised to see the market move lower, but they did start out with a pop to the upside, reaching the session highs right in the first few minutes. Then they stair-stepped down in a 3-wave decline from 1220 NDX to about 1196, about a 24-point drop in the first hour and a half or so, and the SPX dropped from 803 to 783, about 20 points.Read full article... Read full article...
Thursday, March 19, 2009
Stocks Bear Market Rally at Cross Roads / Stock-Markets / Stocks Bear Market
Even after the current "powerful rally", the S&P 500 is still down over 12% YTD , something to keep in mind if you feel we are missing something. All we have missed year-to-date is a 12% loss. Bear markets always give people a reason to stick around. Yesterday , we commented, ...rather than signaling the end of the bear market, the more probable outcome for the current rally in the S&P 500 is for it to fail somewhere between current levels and 806. This rally may have further to run, but Wednesday's high on the S&P 500 was 803.Read full article... Read full article...
Thursday, March 19, 2009
Are We Near a Low in the Stock Decline? / Stock-Markets / Stocks Bear Market
Two Unique Charts Reveal the Answer - Robert Prechter, New York Times best-selling author and renowned market analyst, was recently asked to present his thoughts on the real estate market and the financial crisis to the Georgia Legislature. The following article has been adapted from the transcript. Elliott Wave International has made the full presentation available free , including the full transcript and 30-minute online video.Read full article... Read full article...
Thursday, March 19, 2009
Stock Market Investing Buy and Hold vs. The Right Time to Buy / Stock-Markets / Stocks Bear Market
Many investors were taught that buy and hold is the best investing strategy. None other than Professor Jeremy Siegel author of Stocks for the Long Run, 4th Edition: The Definitive Guide to Financial Market Returns And Long Term Investment Strategies is a strong proponent of the buy and hold approach support this method. In a recent editorial in the Wall Street Journal, stating that stocks were cheap now and investors should buy. With the DJIA at lows not seen since 1997, it has been very tough for the buy and hold crowd. Could you have done better by timing your entries and exits?Read full article... Read full article...
Wednesday, March 18, 2009
Stock Market Indices Now Short-Term Overbought After Post-FOMC Rally / Stock-Markets / Stock Index Trading
It was a very interesting market today on FOMC announcement day. The indices backed and filled in the morning, were lower for most of the morning session, rallied by mid-day before the FOMC announcement, and then exploded after the FOMC announced the purchase of hundreds of billions dollars worth of treasuries. After a spike up that took the NDX up to 1225 and the SPX up to 803, at key overhead resistance on the SPX and above it on the NDX, the indices then had a sharp pullback that brought them back down by 30 NDX points and about 18 SPX points. In the last 15-20 minutes they bounced again and took back some of the late losses.Read full article... Read full article...
Wednesday, March 18, 2009
Stock Market Bottom and the Bookstore Indicator / Stock-Markets / Stock Market Sentiment
It’s hard to be positive about the stock market when all around us gloom prevails. Visiting a local Barnes & Noble recently made me conscious of just how gloomy everyone is feeling these days.
While there I made a list of some of the titles in the financial section. Finding a book these days with a bullish theme – or even a non-emotional, level-headed theme –is like trying to find a needle in a haystack. All I saw was one bearish tome after another. Here’s the list of titles I compiled:
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Wednesday, March 18, 2009
Stock Market Volume Gives Shorts The Upper Hand / Stock-Markets / Stocks Bear Market
Rather than signaling the end of the bear market, the more probable outcome for the current rally in the S&P 500 is for it to fail somewhere between current levels and 806. Trading volume can help us understand market participants' collective desire to buy or sell a particular security or index. To formulate probable outcomes for the current rally in stocks, we will compare the S&P 500 long ETF (SPY) with the S&P 500 short ETF (SH). As we walk through this analysis, notice we are focusing on observable facts rather than forecasting what the future may hold. We assume we will get more of the same (lower lows in SPY/S&P 500 Index) until we see evidence to the contrary (higher highs, better volume, etc).
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Wednesday, March 18, 2009
Main Street vs. Wall Street: And the Winner Is… / Stock-Markets / Investing 2009
Last Sunday, Fed Chairman Ben Bernanke jumped into the Public Relations Politics foray when he appeared on 60 Minutes .
The political marketers were out in full force on this one. They did everything from the visit of Bernanke's childhood home (which is now in foreclosure) to the close up of “Main Street” sign to the conversation on the street side bench in rural South Carolina. It was the perfect image of “I'm like you” kind of PR the government decision-makers are looking for right now.
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