The Pandemic is Still With Us

ES is now off 9.3% from its recent top (-7.8% from our Correction Warning), nailing our 3253 target overnight.  The decline has broadened from the overpriced tech stocks to include banks, energy and cyclicals. The factors we’ve been watching for the past three weeks are all bearish now, and bulls are starting to acknowledge the … continue reading →

Having Fun Yet?

Stocks nailed our second downside target from last Friday [see: Correction Warning.] Judging from the financial press, it was a shock to the average investor.  It’s sad that a 4.5% correction would warrant such concern. But, as I often say, that’s the world in which we’re living. Bulls need February’s highs to hold, while bears … continue reading →

Just Another Thursday…

Another Thursday, another million filing for unemployment. Hopefully news of Jeff Bezos’ net worth topping $200 billion will take some of the sting out of being unemployed. As usual, the futures couldn’t care less, preferring to focus instead on whether or not the Fed will keep refilling the punch bowl following its virtual Jackson Hole … continue reading →

Crossing the Rubicon?

ES has reached the top of the falling white channel we added a couple of months ago.  At 76 points below all-time highs, a 2.2% move higher would make quite a statement about the integrity of the S&P 500 – essentially that a connection between equity prices and macroeconomic conditions is no longer a reality, … continue reading →