Category: Stock Markets 2013
The analysis published under this category are as follows.Thursday, October 10, 2013
Stock Markets Point of No Return / Stock-Markets / Stock Markets 2013
Keith Fitz-Gerald writes: If you're like most folks, there's a nagging fear at the edge of your brain that's trying desperately to make sense of what's happening each day the market drops further.
It's tough to control under normal circumstances, but even tougher to dismiss against the backdrop of Washington's infantile behavior.
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Thursday, October 10, 2013
The Yellen Stock Market Doji / Stock-Markets / Stock Markets 2013
Courtesy of Doug Short: With no change in the congressional deadlock, the S&P 500 traded in a narrow range during the first 30 minutes and then sold off to its -0.54% intraday low in the late morning. The index then reversed gears and rose to its 0.42% intraday high, hitting it twice shortly before the 2 PM release of the September FOMC minutes, in which the word “fiscal” appears 16 times, most conspicuously in reference to the considerable risks surrounding fiscal policy. As expected, about an hour later President Obama nominated Janet Yellen to replace Bernanke. Curiously, market sold the Yellen news, and the index slid back into the red, briefly, before recovering to its 0.06% gain for the day.
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Wednesday, October 09, 2013
Stock Market Selloff Accelerates / Stock-Markets / Stock Markets 2013
Today the S&P 500 logged its 11th decline in the 14 sessions since the index hit its all-time high on September 18th, and today’s was the biggest decline — a loss of 1.23%. The index opened fractionally lower and bounced to its 0.04% intraday high in the first 30 minutes of trading. Selling then dropped the 500 to the vicinity of -1.0% as the President began his live address shortly after 2 PM (full text here). Despite his rigid stance and stern warnings about a potential default, the index traded sideways until the final hour, when a head fake to the upside was followed by a slide to its -1.23% close.Stock Market Selloff Accelerates
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Tuesday, October 08, 2013
Stealth Bail-ins and a Weak Market Confirmed by Dow Theory / Stock-Markets / Stock Markets 2013
You might think now following Angela Merkel’s electoral success last month all was now stable in Euroland but nothing could be further from the truth. I have it from reliable sources that Euros continue to flood out of Europe, so much so the Mario Draghi the president of the European Central Bank stated publically immediately after the German Elections that “unlimited” amounts of “money” will be available to support the Euro.
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Tuesday, October 08, 2013
U.S. Government Shutdown Day Seven, Stock Market Selling Remains Controlled / Stock-Markets / Stock Markets 2013
Courtesy of Doug Short: The political deadlock on Capitol Hill showed no progress today, and a CNN/ORC poll shows that both parties are taking a hit in public opinion, with Republicans faring slightly worse. The S&P 500 opened at its -0.20% intraday high and plunged to its 0.93% intraday low two minutes later. The index quickly recovered about half its loss and then traded in a narrow range until the final hour, when it sold off to its -0.85% close.
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Tuesday, October 08, 2013
Stock Market's Edgy But On Light Volumes / Stock-Markets / Stock Markets 2013
Stocks trended lower today but on light volumes. So I would call it an 'edgy' trade but no panic.
The consensus of traders seems to be that the House Republicans will draw out the Continuing Resolution issue as far as they can, and then the deadlock will be averted ahead of the October 17th estimate of a problem with the debt ceiling that would stop payments.
Tuesday, October 08, 2013
U.S. Stock Market Indices Since Their 2000 Highs / Stock-Markets / Stock Markets 2013
Courtesy of Doug Short: Here is a update in response to a standing request from David England, a retired professor now actively educating investors through his Trader’s Eye website. In his presentations, he likes to disprove the standard message of Wall Street, “Don’t worry! The market will always come back.” I furnished David with some charts, and I now share them with regular visitors to my Advisor Perspectives pages.
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Monday, October 07, 2013
Stock Market Correction Still Underway, Next Uptrend Bull Market Top? / Stock-Markets / Stock Markets 2013
Current Position of the Market
SPX: Very Long-term trend - The very-long-term cycles are in their down phases, and if they make their lows when expected (after this bull market is over), there will be another steep decline into late 2014. However, the severe correction of 2007-2009 may have curtailed the full downward pressure potential of the 40-yr and 120-yr cycles.
Intermediate trend - SPX made an intermediate high at 1730 and is now in a corrective mode.
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Sunday, October 06, 2013
Stock Markets Negative Skew and Nikkei Plunge / Stock-Markets / Stock Markets 2013
Courtesy of Doug Short: Six of the eight indexes on my world watch list posted declines for the week, with Japan’s Nikkei 225 plunging 4.98%. India’s SENSEX was the top performer, up 0.98%, with the China’s Shanghai Composite up 0.68% based on a single day of trading because of the National Day market holidays, which extend through October 7th. Despite the US government shutdown, the S&P 500 suffered the least decline, a fractional 0.7%, with the other world four markets slipping between 0.30% and 0.90%.
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Sunday, October 06, 2013
Stock Market Set Up of a Lifetime? / Stock-Markets / Stock Markets 2013
Since my last article things have changed a little and I have had to adjust ideas.
Making the new all time high at 1730SPX things have started to clear up, although I was initially looking for a move back to 1530-1500SPX before a resumption higher towards 1750SPX. It seems this market wants to get to its intended target quicker than I figured.
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Sunday, October 06, 2013
Stock Market Trifurcation / Stock-Markets / Stock Markets 2013
While the stock market acted like business as usual: the SPX opened the week at 1692 and ended at 1691. The US government shut down on Tuesday due to lack of a budget, and a potential default looms as the debt limit is less than two weeks away. The political circus – democrats v republicans – continue to push for next year’s election talking points, while holding the American public and the economy hostage. For the week the SPX/DOW were -0.65%, the NDX/NAZ were +0.55%, and the DJ World index was -0.4%. On the economic front negative reports outpaced positive ones for the first time in quite a while. On the uptick: the Chicago PMI, ISM manufacturing and Investors turned more positive. On the downtick: the ADP index, ISM services, the Monetary base, the WLEI and weekly Jobless claims rose. Next week we may, or may not, get reports on Retail sales, Consumer sentiment and the FOMC minutes. Best to your week.
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Saturday, October 05, 2013
Stock Market Ready to Breakdown - Ready for Fireworks? / Stock-Markets / Stock Markets 2013
After an 82.4% retracement, SPX appears ready to break down. Part of the motivation for the big ramp today appears to be the fear of a negative week in equities going into the weekend. We’ll see if the subsequent decline puts a dent in this goal or not.
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Friday, October 04, 2013
The Big Reason Why 2013 Stock Prices Are in the Stratosphere / Stock-Markets / Stock Markets 2013
Margin debt is up 100 times in the last 39 years
A famous quote attributed to Archimedes, the ancient Greek mathematician, is: "Give me a place to stand and with a lever I will move the whole world." And, as you probably know, leverage can also move the stock market.
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Friday, October 04, 2013
Stock Market 2013 an Exact Repeat of 1954? / Stock-Markets / Stock Markets 2013
Michael Lombardi writes:
Wow!
In the first nine months of this year, the S&P 500 has run up 18%—that’s about two percent per month. Other key stock indices have provided similar returns. At this pace, by the end of 2013, the S&P 500 will be up 24% for the year.
As my doubts about the performance of key stock indices continue to mount, some in the mainstream are saying the market will only go higher.
Friday, October 04, 2013
Stock Market Support Lost at 50 Day Moving Average / Stock-Markets / Stock Markets 2013
The 50-day moving average has lost its ability to support the SPX and it may be possible that the Intermediate-term support is also ineffective. The cash equivalent in the overnight futures is already at 1674.60. We may see a gap down beneath that level in the morning.
A larger Broadening Wedge trendline show up at 1670.00, but it is too large to show on the already busy hourly chart. I may be switching to a daily chart to follow the goings-on in the SPX.
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Friday, October 04, 2013
Stock Market Ninth Decline in Eleven Sessions / Stock-Markets / Stock Markets 2013
Courtesy of Doug Short: Today the S&P 500 marked the third day of government shutdown with its most volatile session since its all-time closing high on September 18th. My volatility metric is the percent change from intraday low to intraday high. That September 18 record close had an intraday range of 1.71%, largely reflecting the market’s reaction to the FOMC no-taper decision. The index then declined for nine of the following eleven sessions. Today’s intraday range of 1.32% ranks at the 88th percentile of the 191 market days of 2013. The 500 opened at its -0.09% intraday high and sold off to its -1.39% noon-hour low. During the afternoon the index cut its loss approximately in half and traded in a narrow range, save for brief dip around 2:20 PM when shots were fired at the capitol. A slight fade in the final minutes logged a 0.90% loss for the day.
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Thursday, October 03, 2013
Bad News and the October Stock Market Outlook / Stock-Markets / Stock Markets 2013
In recent commentaries we’ve discussed the likelihood of a broad market correction due to a series of divergences among the major averages. The divergence between the Dow and the NASDAQ, for instance, suggests insider distribution. Not surprisingly, insider transactions show that corporate insiders have done more selling of their company’s stock than at any time in several months.Read full article... Read full article...
Thursday, October 03, 2013
Stock Physics: How Newton’s Third Law of Motion Applies to the Market / Stock-Markets / Stock Markets 2013
From a ball bouncing up off the floor to an earthquake triggering a tsunami, Newton's third law of motion tells us a lot about how the world works. Most of us can recite the abridged version of the law by heart: Every action has an equal and opposite reaction.
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Thursday, October 03, 2013
Washington Awful... Stock Market Sending Bigger Message?... / Stock-Markets / Stock Markets 2013
I'm personally wondering if the market is sending a bigger message than just Washington these days. Why? Because the weekly S&P 500 chart has a triple-negative divergence, and the deeper message may be that it's time for a prolonged nasty period here. My thinking is this. If you study a stock like American Express Company (AXP) you get some insight. This stock found itself with a hollow candle three days back right on the 50-day exponential moving average. It followed the way it should with an up day yesterday. MACD was turning up, which is appropriate. Today, no follow through. In fact, a hard nasty fall with a full candle below the 50's. Not bull-market behavior. It doesn't mean a bear market either.
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Thursday, October 03, 2013
Stock Market Easy Money Addiction Exit Plan / Stock-Markets / Stock Markets 2013
On September 13, 2012, the Federal Reserve announced its latest "QE", or "Quick and Easy" money plan for Wall Street banks. If we look at the price of US stocks since that time, we can see why investors were so optimistic about the PAST 5 years of "Quick and Easy" money that they poured their own money into equity mutual funds at record levels right before the latest Sept 18th announcement from "the addiction dealers".
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