Analysis Topic: Stock & Financial Markets
The analysis published under this topic are as follows.
Monday, June 20, 2011
Stock Market Negative Divergence Carrying a Dangerous Message? / Stock-Markets / Stock Markets 2011
By: Marty_Chenard
Last week we discussed how the Leadership stocks were in retreat. That was a good discussion why the market couldn't hold up since the beginning of June, but today's message is about a longer term Negative Divergence that is potentially very dangerous.
Many investors and technicians are familiar with positive or negative divergences that come from various technical indicators. The problem they have is, that they don't always kick in because the indicator is measuring stock or index movements and it is like trying to take a picture of yourself.
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Monday, June 20, 2011
Stock Market Valuations Can’t Offset Current Concerns / Stock-Markets / Stock Markets 2011
By: Chris_Ciovacco
With QE2 winding down, China raising interest rates, and debt problems in Europe, investors have not responded to strong earnings growth. According to Bloomberg:
Read full article... Read full article...Standard & Poor’s 500 Index companies will earn 18 percent more this year than in 2010, according to the average estimate of more than 9,000 analysts compiled by Bloomberg. Higher profits haven’t stopped the gauge from falling 6.8 percent since April 29, pushing valuations to the cheapest levels in 26 years. Even if companies posted no growth, price-earnings ratios would be lower than on 96 percent of days in the past two decades.
Monday, June 20, 2011
Stock Market Investor Sentiment Growing Overly Negative / Stock-Markets / Stock Markets 2011
By: Michael_Swanson
Right now just about everything that has to do with the financial markets except for bonds has been in a corrective mode since the end of April. That means gold, oil, and most commodity related stocks are down too. It is true that the price of gold itself has held up well during this drop in the broad market, but the HUI gold stock index is down over 19% from its April high.
Monday, June 20, 2011
What to Watch as the Fed Abandons U.S. Stocks / Stock-Markets / Stock Markets 2011
By: Money_Morning
Jon D. Markman writes:
Without any more help from the U.S. Federal Reserve, U.S. stocks are on their own - and they're in for a rocky ride.
Markets have slumped as the Fed has not indicated it will initiate another round of quantitative easing, and last week was a sign that there's more volatility ahead.
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Monday, June 20, 2011
Stock Market Flashing A Buy Signal? / Stock-Markets / Stock Markets 2011
By: Chris_Vermeulen
Since the first trading session in May we have seen the stock market sell off. The old saying “sell in May and go away” was dead on again this year. Here we are 7 weeks later with the stock market continuing to lose ground. This extended sell off has everyone all worked up that this is the beginning of another market collapse.Let’s take a quick look at the SP500 hourly chart covering the month of June.
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Monday, June 20, 2011
The Greek Debt Market Theater / Stock-Markets / Financial Markets 2011
By: PhilStockWorld
In spite of all the turmoil in the Eurozone this week, no matter how bad the situation in Greece seemed to be, or how badly the Euro was battered, none of this was enough to catapult the Dollar above its current upper resistance level of 76. Unless or until patterns change (when the Dollar pops, stocks drop), if the Dollar cannot move above this level, we don’t expect to see stocks to fall significantly.
Monday, June 20, 2011
Stock Market May be Ready for Short-term Uptrend / Stock-Markets / Stock Markets 2011
By: Andre_Gratian
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.
Sunday, June 19, 2011
U.S. Seeks to Curtail OTC Highly Leveraged Trading in Paper Commodities and Currencies / Stock-Markets / Market Regulation
By: Jesse
As part of the reform of derivatives, Dodd-Frank is seeking to prohibit Over the Counter (meaning non-exchange) trading of commodities at leverage of greater than 10:1.
The off exchange traders, particularly those trading in currencies, had expanded their markets into various commodities, offering non-product backed paper trading at very high rates of leverage.
Sunday, June 19, 2011
Stock Market Dow Theory Update / Stock-Markets / Dow Theory
By: Tim_Wood
According to Dow theory, once the primary trend is established, that trend must be considered intact until it is "authoritatively" reversed, which requires a joint move by the Industrials and the Transports back above/below their previous secondary high/low points. On March 9, 2009 the bear market phase I low was made. From that low point, the rally separating phase I from phase II began and on July 23, 2009 the bullish primary trend, in accordance to classical Dow theory and in association with the rally separating phase I from phase II, was confirmed. But, based on the longer-term work, this is expected to change and when it does, provided that the normal bull and bear market relationships still mean anything, the phase II decline will begin.
Sunday, June 19, 2011
European Stock Market Long-term Analysis / Stock-Markets / European Stock Markets
By: WavePatternTraders
I originally wanted to wait till we had a potential low in place, but I feel that this is important enough to now put down in writing so readers may have some ideas going forward.
I want to stress I am not a big fan of these large macro wave counts, at WPT we specialize on shorter term time frames from days to weeks, using wave counts of many year magnitude is in the authors opion not really that beneficial, as being wrong for 2-3 years is not really going to help your account balance.
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Sunday, June 19, 2011
Stock and Commodity Market Opportunities Galore / Stock-Markets / Financial Markets 2011
By: WavePatternTraders
Last week I left readers with this chart, and whilst we have witnessed some choppy price action, we still have yet to confirm a potential low in place, although over the past 2 weeks, we did see 2 attempts for a low to be in place, and we were looking at buying the pullback, there is no need to catch a falling knife or chainsaw, we waited for the market to show us some evidence 1st and confirm a potential low and look to buy a pullback, as its low risk, but on both occasions it slipped through our key support areas, so we once again flipped and got short. We don't have any issues with flipping our bias if price action suggests it.
Saturday, June 18, 2011
Stock Market Has Possibly Bottomed / Stock-Markets / Stock Markets 2011
By: Tony_Caldaro
A volatile week in the US which ended about where it started: SPX/DOW +0.2%. On the economic front positive reports edged out negative ones 9:8. On the positive side: the PPI/CPI remained positive, along with business inventories and industrial production. Improving were housing starts, building permits, weekly jobless claims, leading indicators and the monetary base. On the negative side: capacity utilization, the NAHB housing index, consumer sentiment and the WLEI all turned lower.
Saturday, June 18, 2011
Still Just A Stock Market Correction / Stock-Markets / Stock Markets 2011
By: Jack_Steiman
The best thing to do is not be emotional. To write this update from a perspective that has no interference from what seems to be a bear market in the making. It may not be a bear at all, but let's explore what's going on here and what seems to be trying to set up. Let's start with facts. Simple facts. We are seeing unemployment increase. We are seeing unemployment claims rise. We are seeing wages fall because no one has power as a worker to demand more. Employers can fire anyone and find someone in the snap of a finger to replace that worker who wants more. Employees are working out of fear, and thus, accepting whatever comes, even if it means taking on more work for less wages. Just the reality of the world these days. Again, simple truths about what's taking place.
Saturday, June 18, 2011
Stock Market Investors Suffering From the Chihuahua Syndrome / Stock-Markets / Stock Markets 2011
By: Barry_M_Ferguson
You may not have heard of this particular syndrome before but it comes from my pet Chihuahua dog, Chico. Whenever he gets scared during a thunderstorm, he slinks off to sit under my bed. I suppose the mattresses and bed covering overhead comfort him. He is actually a pretty good forecaster of nasty weather because he will anticipate the arrival of a storm by his habitual exhibition. When the first clap of thunder rattles the air, Chico can be found under the bed and shaking like a leaf.
Saturday, June 18, 2011
Why It’s Too Soon To Buy the Stock Market Dip! / Stock-Markets / Stock Markets 2011
By: Sy_Harding
After six straight down weeks the S&P 500 is down only 6% from its April peak.
That’s not near enough to factor all the negatives into stock prices. Those negatives include the rapidly slowing U.S. economy, sharply rising global inflation, plunging global markets as central banks raise interest rates to ward off inflation, the cuts in government spending yet to hit the U.S. economy as Washington and individual states tackle their record budget deficits, and the end of the Fed’s QE2 stimulus program.
Saturday, June 18, 2011
Stock Market Black Swan Event 40% Crash / Stock-Markets / Financial Crash
By: Sara_Nunnally
Yesterday on CNBC, Mark Spitznagel, chief investment officer for fund manager Universa Investments L.P., made a scary prediction. He warned that the S&P 500 could lose 40% of its value in the next couple of years.
He went on to point out several facts and figures that led to this prediction. He specifically said, "there is a 20% chance of a well-over 40% correction in the S&P 500 within the next few years."
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Saturday, June 18, 2011
Investor Profit and Protection, Major Market Moves During QE3 / Stock-Markets / Financial Markets 2011
By: DeepCaster_LLC
“In perhaps the best evidence of silver manipulation to date, the CFTC’s Bank Participation Report for June shows that from May 4th to June 7th, the silver short position held by 4 large US banks increased from 20,613 to 22,628 short contracts. This means that the 4 largest US banks increased their short silver position from 103,065,000 ounces when silver was trading near $50 in early May, to 113,140,000 on June 7th. Basically, The Morgue and HSBS ADDED 10 MILLION OUNCES OF SILVER TO THEIR SHORT POSITIONS WHILE SILVER DECLINED 36% IN PRICE! Lets look at this another way. COMEX silver inventories are down 28.7 million ounces. This means that in 1 months time, The Morgue and HSBS have added NEW short positions equal to 1/3 of the remaining physical silver supply on the COMEX. This means that these 4 US banks are currently short roughly 4x the amount of silver remaining on the COMEX.
Friday, June 17, 2011
Trading Stock Market Fear VXO / Stock-Markets / Volatility
By: Zeal_LLC
The stock markets’ sharp June selloff is waking traders from their complacent slumber. The risk of a significant selloff, long ignored, has surged back to the forefront of market psychology. These pullbacks and corrections are healthy and necessary within ongoing bull markets, but they don’t end until fear grows great enough to rebalance sentiment. And today, stock fear is still too low for a bottoming.
Friday, June 17, 2011
U.S. Dollar’s Close Friday Important for Stocks and Commodities / Stock-Markets / Financial Markets 2011
By: Chris_Ciovacco
Investors are faced with numerous concerns, including:
- Weakening economic data: The Federal Reserve Bank of Philadelphia’s general economic index fell to minus 7.7, the lowest since July 2009, from 3.9 the prior month.
- U.S. debt ceiling: On Tuesday Ben Bernanke said, “Failing to raise the debt ceiling in a timely way would be self-defeating if the objective is to chart a course toward a better fiscal situation for our nation.”
- Greece won’t go away: It is obvious, based on the market’s recent reaction, the problems in Greece are serious and they have not been addressed.
- QE2 ending: The Fed’s second quantitative easing program (QE2) is set to formally end this month. As we discussed in this audio interview on Seeking Alpha, the Fed does not yet have the necessary political cover to begin talking about QE3.
Friday, June 17, 2011
Give Economic Catastrophes a Chance to Wipe Out Bad Investments / Stock-Markets / Financial Markets 2011
By: Bill_Bonner
More Disasters, Please!
Whoa. Tuesday’s gains had disappeared before traders’ coffee had gone cold, yesterday morning. The Dow ended the day down 173 points…signaling what looks like a 7th straight week of losses. Stay tuned.
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