Category: Stock Markets 2011
The analysis published under this category are as follows.Thursday, July 14, 2011
How the Stock Market Market Prices In Recession / Stock-Markets / Stock Markets 2011
Recently I compared the 2007 equity topping pattern to that of the current market. The premise being today as in 2007 the US economy is quite possibly entering economic recession. Long gone are the days of equity markets being forward looking as proven in 2007 when they peaked just two months before contraction began. A similar pattern is also playing out in the 10 year treasury.
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Thursday, July 14, 2011
Stock Markets Trapped in a Contracting Fibonacci Spiral Towards Point of Singularity 2019 / Stock-Markets / Stock Markets 2011
Today's article focuses on an “Aha moment”, while drinking a bottle of home made Port with a visiting friend . Fibonacci sequences were discovered by Fibonacci around 1200 AD...it is only recently that Fibonacci ratios, such as the golden ratio (1.618) were found to exist within the framework of the Universe and evolution of life. Robert Prechter has written volumes of extraordinary articles and books dealing with Fibonacci numbers etc. So I will assume that most readers are familiar with concepts. The Fibonacci sequence is 1, 1, 2, 3, 5, 8, 13, 21, 33, 55, 89 etc. Which is based upon no, ni+no.... nj..Read full article... Read full article...
Wednesday, July 13, 2011
Stock Market Trend Expectations, Anticipate, Monitor and Adjust / Stock-Markets / Stock Markets 2011
During the 2002-2007 bull market, equity markets around the world were in impulsive five wave long term uptrends. The fifteen world markets we track had some periods of concern, from time to time, but they all recovered and continued higher. Check the charts using this link, and scroll through pages 7 – 9: http://stockcharts.com/def/...
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Tuesday, July 12, 2011
Stock Market Reversal Time From Overbought... Italy/Jobs... / Stock-Markets / Stock Markets 2011
When a market needs to sell it will sell. You had the combination of overbought stochastics, overbought RSI's, and overbought MACD's on all the daily charts. In addition, you also had overbought 60-minute charts across the board repeatedly. Never good to stay that overbought for so long. The market needed to sell off those 99 stochastic readings on the daily index charts along with 70 RSI's. News needed to come along to expedite that process. First, we had the poor Jobs Report on Friday, which started the ball rolling down the hill. The selling was far from bad. Then we had Italy debt problems over the weekend, and that was the final ingredient necessary to get things rolling down the hill quite a bit faster.
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Tuesday, July 12, 2011
Don’t Miss Your Chance to Catch the Stocks Bull Market / Stock-Markets / Stock Markets 2011
Many people missed the market’s enormous appreciation during the latest equity bull market because they were late to the game or chose to sit on the sidelines. The sideline is a crowded place these days as investors have been reluctant to fully embrace equities.
Household savings for the past 12 months totaled $711 billion, the highest level ever recorded in dollar terms. You can see from the chart that’s roughly double the amount of savings recorded following the Tech Bubble. In fact, household debt-to-savings ratios are currently at levels so low, they’ve not been seen since the mid-1990s.
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Monday, July 11, 2011
Stocks Cyclical Bull Market Topping Process / Stock-Markets / Stock Markets 2011
As many of you know I believe that we have begun the topping process of this cyclical bull market. In a healthy market an intermediate decline is a profit-taking event after a significant leg up. It should hold well above the prior intermediate bottom. The decline into the June low was not a profit-taking event. The market had not rallied long enough or far enough to warrant an intermediate correction and certainly not one that would test the March lows. The decline in May and June was the first shot over the bow that something is wrong with the fundamentals driving this market.
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Monday, July 11, 2011
Stock Market Quiet Week / Stock-Markets / Stock Markets 2011
DOW
It was a quiet week that never really got going till right at the end, and it needed a “hot” print from the NFP figures to get the markets energized and awake from their slumber.
I think the rally over the past 2 weeks has surprised many with its speed and strength, and yet I still read many trying to top tick the rally, to the extend they still don’t believe in the rally.
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Monday, July 11, 2011
U.S. Dollar Could Send Stocks and Commodities Higher / Stock-Markets / Stock Markets 2011
It’s been an exciting couple months as stocks and commodities have moved like they are a roller coaster at a theme park. We all know every good roller coaster has a few monster hills which make their clients scream in fear/excitement that’s what it’s all about!
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Monday, July 11, 2011
Stock Market Near Term Consolidation Has Begun / Stock-Markets / Stock Markets 2011
Very Long-term trend - The continuing strength in the indices is causing me to question whether we are in a secular bear market or two consecutive, cyclical bull/bear cycles. In any case, the very-long-term cycles are down and, if they make their lows when expected, there will be another steep and prolonged decline into 2014-16.
Long-term trend - In March 2009, the SPX began a move which evolved into a bull market. Cycles point to a continuation of this trend for several more months.
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Sunday, July 10, 2011
Stock Market Winning Week...Losing Economy... / Stock-Markets / Stock Markets 2011
The stock market enjoyed a winning week to be sure, although the economy suffered a knockout on the losing side. The Jobs Report, which came out today, was supposed to show job growth of 125,000 jobs. The number came in at only 18,000. To make matters worse, and to show you how tough it is to keep a job at a good salary, wages fell. They were supposed to rise 0.2%, but actually fell. This is not the sign of a healthy economy, and many are suffering. I'm sure all of you out there know of someone, or many, who are in dire trouble these days. It is really sad and it doesn't seem to be getting any better. Bad times in our economy for sure. However, Wall Street and Main Street often live in two separate worlds. One can be acting very poorly, while the other is doing very well.
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Sunday, July 10, 2011
Stock Market Uptrend Continues / Stock-Markets / Stock Markets 2011
After the July 4th holiday the market seemed to struggle this week. Tuesday and wednesday were about flat. Then thursday gapped up ending with a new uptrend high, and friday gapped down giving all of thursday’s gains back before a rally into the close. The economic news seemed to reflect the market action ending with 4 positive reports and 5 negative. On the positive side: factory orders swung back into the black, the ADP index was up nicely, wholesale inventories improved, as did the weekly jobless claims.
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Thursday, July 07, 2011
The Macroeconomic Picture And The Stock Market, Massive Rally Wipes Out Losses / Stock-Markets / Stock Markets 2011
A massive stock market rally has wiped out a month's losses in a week, and is nicely represented by the below straight up move in % stocks above their 50MA from oversold to approaching overbought.
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Wednesday, July 06, 2011
Stock Market Staying Overbought.....Making Sense Of It All..... / Stock-Markets / Stock Markets 2011
It's not often you stay this overbought in a market on the short-term charts. There have been many attempts to sell things off, but once the RSI's get under 70, the buying starts right back up. This is only a once in a long while occurrence. The reasons for it are simple really. You're in a primary bull market until we can lose 1249 on the S&P 500 with some force. The bulls were able to defend this level a few times, and they have now cleared back over the critical 50-day exponential moving averages. Once you clear back over this critical resistance level turned support, the bulls get more aggressive on the buying due to the feeling of insurance that the 50's will hold. Only if they got taken back again by the bears would the bulls get less aggressive. In fact, with the reality that the bears lost the battle thus far, the bulls are feeling pretty good about themselves, and thus, will get back in new plays any time there's some decent selling, or even if it's not that decent it seems these days.
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Wednesday, July 06, 2011
Greek Debt Crisis Stock-Market Survival Strategies / Stock-Markets / Stock Markets 2011
If you want some stock-market-survival advice, pull up a chair and spare us a couple of minutes.
From late April to mid-June, the Dow Jones Industrial Average plummeted more than 900 points. That 7% stock-market decline - which included a six-week losing streak - accelerated talks of a new bear market and a double-dip recession.
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Tuesday, July 05, 2011
Stock Market Remarkable Bounce From Oversold Levels / Stock-Markets / Stock Markets 2011
Obviously last week was one of those you will remember for a long time, as the scope and ferocity of the bounce - light volume or not - was quite remarkable. While the front end of the week was a predictable oversold bounce on light volume heading to the end of the quarter, the action at the end of the week was more surprising.
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Tuesday, July 05, 2011
Stock Market Rally Shows Bull Market Still Has Some Kick Left / Stock-Markets / Stock Markets 2011
Jon D. Markman writes: U.S. stocks ripped higher every day of the past week following positive news on U.S. manufacturing, Greek sovereign debt and an absolutely epic amount of short-covering.
The past week's rally has shown at least that the spirit of the bull market still lives. It rarely pays to be bearish for more than a few weeks at a time, and even then only very selectively. So long-term investors need to keep their eyes on the on the horizon until sellers can prove their moxie.
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Tuesday, July 05, 2011
Stock Market Rally Overbought, Correction Likely / Stock-Markets / Stock Markets 2011
Very Long-term trend - The continuing strength in the indices is causing me to question whether we are in a secular bear market or two consecutive, cyclical bull/bear cycles. In any case, the very-long-term cycles are down and, if they make their lows when expected, there will be another steep and prolonged decline into 2014-16.
Long-term trend - In March 2009, the SPX began a move which evolved into a bull market. Cycles point to a continuation of this trend for several more months.
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Monday, July 04, 2011
Stock Market Flashing A Buy Signal / Stock-Markets / Stock Markets 2011
I hope you fellow Canadians had a great Canada Day long weekend and Happy Independence Day to those south of the boarder!A couple weeks back on June 19th I posted my analysis on how the stock market was bottoming and that we needed a couple key sectors to participate before we would get a solid bounce. You can quickly review the charts here if you like: http://www.thegoldandoilguy.com/....
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Monday, July 04, 2011
Stock Market Elliott Wave Analysis, Bear Rally? / Stock-Markets / Stock Markets 2011
That is the question. Is this a Wave 2 or Wave B or a deeper or much deeper correction, or is this the beginning of a Wave 5 that will take us to new heights. My bottom line position is that this is the beginning of Wave 5 that will take us to a new high. I base this in part on looking at other indices, but will show you both sides of the argument.
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Saturday, July 02, 2011
Stock Market New Uptrend ... Higher Highs Ahead / Stock-Markets / Stock Markets 2011
An eventful week as the US market had its biggest upsurge since early July 2010. Economic reports ended the week with a positive bias too: positives outpacing negatives 9 to 6. On the negative side: the monetary base, WLEI, construction spending, consumer sentiment, and consumer confidence all declined.
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