Analysis Topic: Stock & Financial Markets
The analysis published under this topic are as follows.Thursday, June 11, 2015
This is How the Real Crisis Will Play Out / Stock-Markets / Credit Crisis 2015
For six years, the world has operated under a complete delusion that Central Banks somehow fixed the 2008 Crisis.
All of the arguments claiming this defied common sense. A 5th grader would tell you that you cannot solve a debt problem by issuing more debt. If the below chart was a problem BEFORE 2008… there is no way that things are better now. After all, we’ve just added another $10 trillion in debt to the US system.
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Thursday, June 11, 2015
The Two Things Every Investor Needs to Know About The War on Cash / Stock-Markets / Financial Markets 2015
For six years straight, the Fed has been trying to “trash” cash.
First it cut interest rates to zero… making it so that savings deposits produced almost nothing in the way of interest income. Consider that at current rates, a retiree with $1 million in savings earns a measly $2,500 per year in interest income.
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Thursday, June 11, 2015
Japanese Stocks Up 12 Days in a Row... What Happens Next? / Stock-Markets / Japanese Stock Market
Dr. Steve Sjuggerud writes: The last 19 trading days in Japan have been CRAZY...
First, the Japanese stock market was up 12 days in a row. (I'm talking about Japan's Nikkei 225 stock market index.)
It was the longest stretch of consecutive days of gains in 27 years in Japan.
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Thursday, June 11, 2015
Stock Market Major Market Stress Remains / Stock-Markets / Stock Markets 2015
As we commented yesterday, the market pressure is intense.
Below, is the current updated P&F Chart of the Institutional "core holdings".
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Thursday, June 11, 2015
Stock Market Oversold Bounce...Big Picture Still Nowhere... / Stock-Markets / Stock Markets 2015
Yes, today was great for the market. A nice healthy move higher after we double tapped at oversold on the short-term, sixty-minute index charts. A rally was due, and we certainly got one today, but you have to ask yourself if the bounce is truly relevant or not. It may be over time, but, for now, all it did was put us back a little over the middle of the range that we've traded in most recently, which has been 2070 and 2134, although big-picture the level is 2040 to 2134. So we're mostly in the middle now of the most recent range. We saved ourselves from dropping down and testing the dreaded 2040 level, which the bulls want no part of having to deal with. A loss of 2040 would be bearish, so now they can relax a bit, but still there is nothing to celebrate other than the save.
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Wednesday, June 10, 2015
Is Simple Incompetence The Real Source Of Crises? / Stock-Markets / Credit Crisis 2008
There are two quite different narratives for explaining the financial crisis of 2008, the resulting Great Recession and the chances for a new crisis. The first narrative revolves around theory and jargon. It's Keynesian versus Austrian economics, it is societal debt levels, it is fractional reserve lending and the velocity of money, and so forth.
There is a much simpler perspective, which is that no matter how exalted the credentials or how elevated the position, at the end of the day we're all human. Which means we're all vulnerable to getting in over our heads and just plain screwing up. And if these mistakes – which effectively result from our not being as good as we think we are – occur at a high enough level, then that has the potential to change economies and investment returns for entire nations, as well as the global financial order, and sometimes for decades to come.
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Wednesday, June 10, 2015
Stock Market Shakeout Day / Stock-Markets / Stock Markets 2015
I was partially right this morning. It appears that short sellers did come in under the 50-day Moving Average. This type of retracement is an attempt to hunt out all the stops to find liquidity to keep the rally going. It appears to be over, or nearly so.
In the meantime, the old Head & Shoulders neckline was invalidated. A new one took its place, however, with a lower Minimum Target. Should the next decline follow through to its target, the longer three-year trendline at 2020.00 may be taken out. Head & Shoulder necklines do not tolerate throw-backs, although the Megaphone formations do.
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Wednesday, June 10, 2015
Literally, Your ATM Won’t Work… / Stock-Markets / Credit Crisis 2015
While we were thinking about what was really going on with today’s strange new money system, a startling thought occurred to us.
Our financial system could take a surprising and catastrophic twist that almost nobody imagines, let alone anticipates.
Do you remember when a lethal tsunami hit the beaches of Southeast Asia, killing thousands of people and causing billions of dollars of damage?
Well, just before the 80-foot wall of water slammed into the coast an odd thing happened: The water disappeared.
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Tuesday, June 09, 2015
Housing and Stocks Bubble - The Punch Bowl Stays / Stock-Markets / Liquidity Bubble
It is well known that I don’t think much of the ability of government officials to correctly forecast much of anything. Alan Greenspan and Ben Bernanke have made famously clueless predictions with respect to stock and housing bubbles, and rank and file Fed economists have consistently overestimated the strength of the economy ever since their forecasts became public in 2008 (see my previous article on the subject). But there is one former Fed and White House economist who has a slightly better track record...which is really not saying much. Over his public and private career, former Fed Governor and Bush-era White House Chief Economist Larry Lindsey actually got a few things right.
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Tuesday, June 09, 2015
Stock Market Three Peaks and a Domed House Revisited / Stock-Markets / Stock Markets 2015
Taking a fresh look at the Three Peaks/Domed House chart recently I had a “funny” thought. In the current pattern, the May 19 high reached 127.2% of the Jan decline (the final high of this pattern has always been a Fibonacci relationship to the extent of the decline during the First Floor Roof). There’s no reason the Dow can’t rally to a higher Fib ratio but the May high is an almost perfect 107 day interval from the Feb low. What if the top of the bull market is already behind us?!!! Lindsay’s template calls for a final head-and-shoulders topping pattern and a potential pattern can be seen on the daily chart below.
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Tuesday, June 09, 2015
Time to Move Capital into Next Bull Market – Part I / Stock-Markets / Financial Markets 2015
If you remember the dot com bubble as clearly as I do and are a technical analyst then you will recall the month which the NASDAQ broke down and confirmed a new bear market has started. The date was November of 2000.
You may be wondering why I bring this up. What do tech stocks have to do with commodities?
Good question because they have nothing in common. But the key here is that when a bull market ends in one asset class that money is shifted into another. That money moved into commodities and resource stocks and in a big way.
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Tuesday, June 09, 2015
Stock Market Panic Before Everyone Else Does / Stock-Markets / Stock Markets 2015
For the lazy people who don’t like to slog through Hussman’s entire data laden weekly tome, I’ve picked out the most pertinent sections. For the really lazy, I’ve bolded the most important sentences. When everyone on Wall Street is using the same algorithms in their HFT supercomputers, and John Q. Public isn’t even in the market, who will these supercomputers sell to when they all get the sell signal at the same time? When that time comes, and it won’t be long, I’ll be munching popcorn and watching the festivities unfold. The talking heads, government apparatchiks, and Ivy League educated big swinging dicks on Wall Street will declare a national emergency and demand another bailout. Will we be stupid enough to fall for it again, or will we start hanging bankers?
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Tuesday, June 09, 2015
Stock Market Acting Tired...Still Nothing Bearish... / Stock-Markets / Stock Markets 2015
The market had hung around the top of the range over 2110 for quite some time. Breakout number one was a move over 2119, and after some time 2134 became there new level. We have a double, consecutive-day top at that level and after several tries that failed decently below, the market gave it up some. Nothing terrible, but we're now headed south for the most part as the market unwinds further its oscillators, which were not overbought, so they're getting down to some nice levels, if you're a bull. The lower the better.
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Monday, June 08, 2015
Why We're Selling Half of China Stocks Today / Stock-Markets / Chinese Stock Market
Dr. Steve Sjuggerud writes: A huge announcement about Chinese stocks is coming tomorrow night...
On June 9, shortly after 5 p.m. ET, MSCI – the world's leading provider of global stock market indexes – will announce whether or not China will start to be included in its indexes.
Even if MSCI doesn't approve China tomorrow, it will sometime soon. And this will ultimately cause hundreds of billions of dollars to flow into Chinese stocks over the next couple years.
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Monday, June 08, 2015
TNX Declining. Another Confirmation of the SPX Sell Signal / Stock-Markets / Stock Markets 2015
Good Morning!
The SPX Premarket is down enough to suggest that the descending trendline of the Orthodox Broadening Top is being triggered this morning.
Remember, both the VIX and Hi-Lo gave us a confirmed sell signal last Friday. This signal suggests the SPX may decline beneath 1600, as suggested by the Megaphone formation, by the end of the month. However, the ride will be bumpy on the way.
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Monday, June 08, 2015
Is Deutsche Bank World’s Largest Holder of Derivatives in Trouble? / Stock-Markets / Credit Crisis 2015
- Deutsche co-CEOs announce “resignation” nine months before their contracts expire
- Only two weeks ago, CEO Anshu Jain was given more power to reorganise the bank
- Deutsche have been engaged in money laundering, tax evasion, derivative and manipulation scandals
- Deutsche is world’s largest holder of financial weapons of mass destruction (FWMD)
- Deutsche Bank’s derivatives position almost 15 times as large as Germany’s GDP
- Announcement follows Greek failure to pay IMF on Friday and growing financial risk
Monday, June 08, 2015
Stock Market Unconfirmed Downtrend / Stock-Markets / Stock Markets 2015
Current Position of the Market
SPX: Long-term trend - Bull Market
Intermediate trend - Waiting for confirmation that the ending triangle is complete.
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, June 07, 2015
FTSE 100 Ready For Reversal / Stock-Markets / UK Stock Market
Stock investors have been very kind to the FTSE 100 stock index for most of this year. This outlook has been supported by forecasts for low interest rates into the second half of this year and by stronger than expected corporate earnings in most industrial sectors. According to one options think-tank this has led to increased buy flow activity for a number of different trading strategies -- and these reports can be largely confirmed by the price activity that has been seen in stocks for both the options and futures markets.
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Sunday, June 07, 2015
EXPOSED: The Biggest Threat to Your Retirement / Stock-Markets / Inflation
Rachel Gearhart writes: This week, we are doing something different.
We are analyzing two charts - one that exposes a huge threat to your retirement and another that shows how you can protect yourself.
First, the bad news...
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Sunday, June 07, 2015
Stock Market Downtrend Continues / Stock-Markets / Stock Markets 2015
Last weekend, I was looking for a low on Monday, a rally into Wednesday and then down into June 8, followed by a rally into June 10 and then down hard into June 12. The low came on Tuesday, and we did rally into a Wednesday top, but the amplitude of the waves forecast was wrong. One never knows exactly how the waves will play out until one is right on top of the occurrence (later as it unfolds it becomes a little clearer).
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