Category: Stock Markets 2018
The analysis published under this category are as follows.Wednesday, February 21, 2018
Stock Market Waiting for the Fed / Stock-Markets / Stock Markets 2018
Good Morning!
SPX futures are flat with little overnight activity as I write. The theme seems to be “Waiting for the Fed.”
Bill Blain comments in Blain’s Morning Porridge, “Back on Planet Sensible, I was asking round the trading desks this morning for any particular themes or issues they’ve been picking up from clients. Nobody seems to be enjoying February.
You must understand my colleagues and crew are a hard-bitten crowd of former investment bankers, traders and other financial desperados who’ve spent careers up to their eyeballs in financial mayhem and gore… “Last chance to sell,” was the answer from one particular cynic.”
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Tuesday, February 20, 2018
Stock Market End Is Near / Stock-Markets / Stock Markets 2018
The doomsayers have been calling for recession for years. Mainstream economists laughed at them, painting a rosy picture. However, the recent plunge in the stock market strengthened the pessimists’ hand. They interpret the dive as a signal of a coming recession. Is the end of the stock market boom really near?
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Tuesday, February 20, 2018
Stock Market Breakout Rally will Squeeze Shorts In March / Stock-Markets / Stock Markets 2018
Our proprietary price modeling systems are showing us that our expected price basing, which we have been warning our members of for near 3 months, has altered in range and scope. What we did expect to happen near February 21 is now expected to START sometime between February 21 and February 26. In other words, we are warning our clients that a moderate downside move is expected in the US majors through most of this current week ending near the end of February before a strong rally in prices is likely to begin.
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Monday, February 19, 2018
Stock Market Decision Point! / Stock-Markets / Stock Markets 2018
Current Position of the Market
SPX: Long-term trend – The bull market is continuing with a top expected in the low 3000s.
Intermediate trend – An intermediate correction from 2872 is currently underway.
Analysis of the short-term trend is done on a daily basis with the help of hourly charts. It is an important adjunct to the analysis of daily and weekly charts which discusses the course of longer market trends.
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Sunday, February 18, 2018
Will the Stock Market Make a Double Bottom? / Stock-Markets / Stock Markets 2018
Troy Bombardia writes:The S&P 500 has already fallen more than -10% (-11.8% to be precise). A brief study using VIX suggested that the stock market would retest its lows in the next few weeks. Let’s expand that study.
Read full article... Read full article...What happens when the S&P falls at least -10% and then retraces 50% of the decline? Is the bottom in? Or does the S&P at least retest its lows?
Friday, February 16, 2018
How to Trade as We Near March Stock Market Top / Stock-Markets / Stock Markets 2018
Our focus is to provide you with updated and accurate market price predictions for all of 2018, we believe we are entering a period that will be fantastic for traders and active investors. We believe this recent volatility has shaken out the low volatility expectations and will allow the markets to start moving in a more normal rotational mode going forward. This means we’ll have lots of trading opportunities to profit from.
For those of you who have not been following our research over the past 2 to 3 months, we urge you to visit our Technical Traders Ltd. website to read our published research and to learn how we’ve been calling these moves in the markets for our members. We called the early 2018 market rally weeks before it started. We called the lower price rotation over a month before it happened. We called the bottom in this price correction almost to the day and told our members that we believed a very quick Pennant price formation was set up that will drive prices higher which we have seen this week.
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Friday, February 16, 2018
IS Today Thee Stock Market Turn Day? / Stock-Markets / Stock Markets 2018
SPX futures were higher overnight, but appear to be coming back down as the cash open approaches. The total retracement was 58.5%, an overshoot that was carried by the all-pervading enthusiasm to buy the dip coupled with a stop hunt to remove any timid short sellers who thought they could protect themselves with stop-losses.
.ZeroHedge reports, “Global stocks were set to post their best week of gains in six years on Friday after two consecutive weeks spent in the red, shrugging off a rise in global borrowing costs while the dollar hit its lowest level since 2014. The MSCI world index rose 0.4% after European bourses opened. .After suffering its biggest weekly drop since August 2015 last week, this week’s recovery puts the index on track for its best weekly showing since early December 2011.”
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Friday, February 16, 2018
Have You Been Getting Run Over By This Stock Market Action? / Stock-Markets / Stock Markets 2018
"Stocks are going down because the economy is too good?"
How many times did you hear something like that quote over the last two weeks on television? And, it was accompanied by the barrage of reports proclaiming the demise of the bull market which began in 2009. But, if you are a thinking person, clearly you had to have been scratching your head.
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Thursday, February 15, 2018
Stock Market Final Word... / Stock-Markets / Stock Markets 2018
A final word this afternoon…
It appears that this rally will last between 3:00 and 4:00 today. The reason I say that is because sometime after 3:00 the rally will have taken 30.1 hours or 4.3 days. So, as well as reaching its Fibonacci levels, the 50-day MA and Wave relationships, SPX will have made a half-Cycle of 4.3 days from bottom to top.
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Thursday, February 15, 2018
Stocks Extend Rally Off Friday's Low, But Short-Term Exhaustion Near / Stock-Markets / Stock Markets 2018
S&P 500 index gained 1.3% on Wednesday, following lower opening of the trading session. The market has extended its rally from Friday's low. But will it continue higher today? We can see some short-term overbought conditions. Was this two-week-long sell-off the beginning of a new medium-term downtrend or just downward correction before another leg up? It's hard to say, but this move down set the negative tone for weeks or months to come.
The U.S. stock market extended its short-term uptrend on Wednesday. The main indexes gained 1.0-1.9% following lower opening of the trading session. The S&P 500 index broke above its Monday-Tuesday trading range. The broad stock market gauge retraced most of its last week's Wednesday-Friday's sell-off, as it got close to 2,700 mark again. The Dow Jones Industrial Average gained 1.0%, and the technology Nasdaq Composite gained 1.9% yesterday.
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Thursday, February 15, 2018
Stock Market Out on a Limb... / Stock-Markets / Stock Markets 2018
The time expended on the decline to 2638.17 at the close on February 5 was exactly 43 hours. That was the evidence that I had led me to believe that it was the end of Wave (1). The opening gap at 2593.07 on Tuesday February 6 appeared to be a Wave B. That allowed me to believe that Wave (1) had finished. What appeared to be an extra Wave now turns out to be the finish of Wave 3. There are multiple factors going into this re-write of the Elliott Waves. The main one is that the 50% retracement of the entire decline to February 9 is at 2704.99. Today’s high is 2701.86. It appears that an A-B-C rally from the low is complete, as well.
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Wednesday, February 14, 2018
Stocks, Bonds on the Edge... / Stock-Markets / Stock Markets 2018
Good Morning!
The last couple of days have been testing our patience. The 61.8% retracement of Wave 1 has been surpassed and the SPX futures are making marginally new retracement highs. I feel compelled to say that the cautionary levels for SPX is the 78.6% retracement at 2685.00.
ZeroHedge observes, “As we previewed earlier this week, only one number matters for the markets - both stocks and bonds - this week, and it will be released at 8:30am this morning, when the BLS unveils the January CPI print, dubbed by various trading desks as "the most important CPI print ever", with every trader, both carbon and semiconductor based, focusing only on whether core CPI comes at 0.2% as expected, or higher. If it's the latter, TSY yields will spike - conventional wisdom goes - while the second leg of the equity rout could be unleashed. Inversely, if the core CPI disappoints, we may see a sharp move lower in 10Y yields and the dollar, while stocks prepare to retest all time highs.”
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Wednesday, February 14, 2018
Stock Market Dead Cat Bounce is Over / Stock-Markets / Stock Markets 2018
The Fed is “letting the stock market go.”
As I’ve outlined multiple times, if the Fed has to choose between supporting the bond bubble or supporting stocks, it will choose bonds Every. Single. Time.
The fact is that in a debt-saturated world such as the one we live in today, if stocks collapse, investors and Wall Street get angry. If bonds collapse, entire countries go bust.
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Wednesday, February 14, 2018
Stock Market is Getting Scary... / Stock-Markets / Stock Markets 2018
Today was a bit of frustration. The SPX wouldn’t go down, but it didn’t go higher, either. Tomorrow appears to be gearing up for a big down day. Wave relationships suggest that possibly both the Head & Shoulders and Broadening Wedge targets may be reached in the next two days. Do the math. That’s approximately a 20% decline from here.
Mike (Mish) Shedlock comments, “Interbank lending took a historic dive. Readers ask "What's happening?" Let's investigate.
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Tuesday, February 13, 2018
Stock Market - This Time is Different. Really?! / Stock-Markets / Stock Markets 2018
“Don’t panic, buy the dip, who cares?” or “These are rumblings of an earthquake, people will be hurt like in 1929” - which one is it? I would call it a wake-up call. Let me explain:
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Tuesday, February 13, 2018
SPX Futures Are Sliding... / Stock-Markets / Stock Markets 2018
SPX futures are sliding as the decline begins to take hold again. SPX retraced 71.7% of Wave 1, mainly due to the stop hunt that was done to wipe out the shorts. This constitutes a near 50% retracement of the entire decline. Most Elliotticians are still looking for a 61.8% retracement, as they believe that Wave (1) had concluded on Friday.
The reason w only got a 53.5% retracement on Wave (1) is because virtually no one was short until the 50-day Moving Average was crossed. Thus we see this rebound making the 61.8% retrace, as more traders were willing to go short, but with stops.
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Tuesday, February 13, 2018
Stock Market Topping Process Begins. The Bubble Finds its Pin. / Stock-Markets / Stock Markets 2018
Volatility has now returned to the stock market after a hibernation of several years. An explosion of volatility normally is indicative of a change of trend. The recent signals transmitted by this market have been classic and has been telling us that we have entered the final topping process of this extended and stretched economic cycle. The trading over the past 7 market sessions fit a classic pattern of market panic which corrects the excesses of a market which just completed an upside climax and had been without correction for close to two years. I believe this panic is now over and the muscle memory of buy the dip will now reassert itself. That however does not mean good times will continue as the froth has now been blown off of the bubble.
Anecdotal signs of a market top have been flashing loud and clear now for the past 6 months. Since last summer the public has finally embraced this market and over the last 3 months have been recklessly plunging head long into it. Complacency reigns supreme so that after last Friday’s 666 point drop even the superstitious remained complacent.
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Monday, February 12, 2018
Friday's S&P 500 Stock Market Bounce To Continue, But Selling May Resume / Stock-Markets / Stock Markets 2018
S&P 500 index gained 1.5% on Thursday, as it retraced some of its recent sell-off, following Wednesday's downward reversal. The broad stock market traded the lowest since early October, before bouncing off from around 2,530. Is this two-week-long sell-off the beginning of a new medium-term downtrend or just downward correction? It's hard to say, but this move down set the negative tone for weeks or months to come.
The U.S. stock market indexes gained 1.4-1.5% on Friday following bouncing off new short-term lows, as investors' sentiment improved in the second half of the trading session. The S&P 500 index fell the lowest since the early October. It traded 11.8% below its January 26 record high of 2,872.87 (-340.2 points). Both Dow Jones Industrial Average and the technology Nasdaq Composite gained 1.4% on Friday.
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Monday, February 12, 2018
February 2018 Stock Market Crisis – What Next? / Stock-Markets / Stock Markets 2018
We’ve received many comments and questions from our members over the past few days regarding the recent US market crisis asking what to expect next. Is this the start of something bigger? Deeper? What should I do with my open long positions? What should I do to prepare for anything in the future? All of these are valid questions. So, we wanted to help our members and all of our followers by showing what we believe will be the most likely price action going forward a few weeks out.
The recent downside moves in the US majors did freak a lot of people out. It was something that startled people and pushed a panic button for many. Certainly, the rotation in the VIX and volatility related ETN’s pushed many people over the edge. In fact, recent news is that these volatility related ETN’s exasperated the selloff as the VIX shorts were pushed out of positions and into a protectionist mode with the massive spike in volatility. As the old floor trader saying goes “want to know what causes the markets to crash? Buyers that turn into sellers to protect from unwanted losses”.
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Monday, February 12, 2018
Is the Stock Market Correction Over? / Stock-Markets / Stock Markets 2018
Current Position of the Market
SPX: Long-term trend – The bull market is continuing with a top expected in the low 3000s.
Intermediate trend – An intermediate correction from 2872 is currently underway.
Analysis of the short-term trend is done on a daily basis with the help of hourly charts. It is an important adjunct to the analysis of daily and weekly charts which discusses the course of longer market trends.
Read full article... Read full article...