A week ago, I stumbled across an anomaly that puzzled me. Looking at the SPX weekly, it appeared that we had a significant correction every 90 days or so. I posted a quick chart on May 2 that, when eyeballed, looked pretty convincing. Now that I’ve had the opportunity to go back and study it … continue reading →
From the good folks at Marketwatch, a quick fix to an inadvertent negative headline. HEADLINES AT 11:15 AM: HEADLINES AT 11:43 AM: See the difference? Second line from the bottom… If you look closely, you’ll see the link to “Payrolls a Matter of Trust” article replaced the “Workplace Suicides Hit Record High” article. I’m … continue reading →
I suspect this morning’s bounce is all about (1) jumping on stocks’ coattails, and (2) this support line: What hasn’t changed is: (1) there’s another margin hike coming Monday, (2) plenty of folks are still figuring out how to meet yesterday’s margin calls, and (3) JPM probably hasn’t zeroed out their short position yet, and … continue reading →
As I suspected, incredibly impressive employment numbers reported this morning! We can all go back to buying stocks, knowing that the economy is back on track….except for the 22% of Americans who are unemployed or underemployed (the way the BLS reported statistics up until 1994 when we decided that those unemployed longer than a year … continue reading →
Interesting that the trendline responsible for this morning’s bounce continued to play an important role all day long. We mentioned this morning that it currently stands at around 1335. While SPX was all over the map today, it respected this support and closed at 1335.10. Also, we’ve had 4 red candles in a row on … continue reading →
The market bounced off truly abysmal employment figures today. I suspect there’s one more push up to 1375-1390 before P[3] commences in earnest, probably around the middle of the month if the every 90 day pattern repeats (see 5/2 post.) Showing up again to provide the bounce? The trendline deriving from the Oct ’07 highs … continue reading →
Could be shaping up as a double-top. … continue reading →
The XLF has so far failed to retake a long-term trendline from August 2010. It broke through support on 4/14 and has failed to rise above it four times in a row. And, the latest push up has been on declining volume. More importantly, a downward sloping trendline dating back to 2/18 lies just ahead. … continue reading →
The Deutsche Bank suit could have a huge impact on the financials — a new front in the mortgage wars. Deutsche surely isn’t the only bank guilty of “reckless lending” and hoisting bad loans on the government. I’m looking to play the downside on BAC, C and WFC, especially after this morning’s run up. http://www.marketwatch.com/story/deutsche-bank-hit-with-us-mortgage-fraud-suit-2011-05-03 … continue reading →
Yesterday’s OBL rally was impressively thwarted, leaving us with a bearish candle and a possible top — albeit several points short of the overhead resistance mentioned in the last post. As expected, we broke down from the smaller of our two rising wedges. The larger wedge remains. One more push higher would make for a … continue reading →