Analysis Topic: Stock & Financial Markets
The analysis published under this topic are as follows.Tuesday, August 26, 2014
Even Mainstream Academia Worried about Massive Bubbles in Markets / Stock-Markets / Financial Markets 2014
Academia Finally Sounding Alarm
As stocks set new records each month even other academic economists are starting to realize that not only is the Federal Reserve behind the curve, but that they are part of the rising risk concerns that are building in the financial system, and their failure to take responsibility for valuations that are 10% over-valued even on the most optimistic valuations, is alarming given the past bubbles and the damage that has occurred through excessively low interest rates providing far too much liquidity in the system.
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Tuesday, August 26, 2014
Dow Stock Index On The Cusp / Stock-Markets / Stock Markets 2014
The Dow is really testing the mettle of the bears. That includes me. As of today the rally has reached a height of 17124. Just shy of the all time high of 17151. So, is that the end of the rally? I wish I could say it was but there is still no sign of reversal. Let’s refresh ourselves of the big picture at this critical juncture.Read full article... Read full article...
Monday, August 25, 2014
Stock Market Uncertainty Resolved With New High / Stock-Markets / Stock Markets 2014
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, there will be another steep decline into late 2014. However, the Fed policy of keeping interest rates low has severely curtailed the full downward pressure potential of the 40-yr and 120-yr cycles.
Intermediate trend - The correction is over and what is most likely the final phase of the uptrend (before a more serious correction) is underway.
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Monday, August 25, 2014
Dollar Dumping: When Actions Speak Loudest / Stock-Markets / Financial Markets 2014
The hypocrisy is endless. Counter-intuition is the norm. Observing financial markets requires a mirror image interpretation in an economic fun house.Take Warren Buffet, for example. The darling of modern finance in a ten thousand dollar crumpled suit, he exemplifies every traders dream of beating the markets - buying low, selling high, and at the same time all that is frugal.
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Monday, August 25, 2014
Stock Market Fear Is Good / Stock-Markets / Stock Market Sentiment
Steve McDonald writes: Chesapeake Energy (NYSE: CHK), the brainchild of Aubrey McClendon, has been though the ringer for the past few years. Its problems included McClendon using it as his personal piggy bank, or some such accusation; buying far too many assets in the shale areas in the U.S. and ending up in a cash crunch; gas prices dropping to ridiculous levels; and the stock price getting crushed from around $60 to the low teens.
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Monday, August 25, 2014
A Plethora of Currency, Stocks and Precious Metals Chartology / Stock-Markets / Financial Markets 2014
In this report there are so many charts I want to show you it’s hard to know where to start. It seems like we have entered a critical inflection point in both the stock markets and the precious metals complex. These inflection points can last for awhile before they show their hand but it’s important to know one exists so we can take advantage of the situation. I’m fully aware that the stock markets are entering the most dangerous time of the year as they move into September. As I mentioned to you before, The Only Rule in the Stock Markets are There are no Rules, so anything can happen at anytime. It just goes with the game we choose to play. With that said lets start by looking at several long term charts for the SPX.
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Sunday, August 24, 2014
Another Interesting Stock Market Juncture / Stock-Markets / Stock Markets 2014
US markets rise for third week in a row. The week started off with a gap up on monday, and then continued to rise every day until thursday. When it hit a new all time high at SPX 1995. A pullback on friday ended the week at SPX 1988. For the week the SPX/DOW were +1.85%, the NDX/NAZ were +1.65%, and the DJ World indix rose 1.2%. Economic reports for the week were all positive until the WLEI downticked on friday. The upticks: the NAHB, the CPI, housing starts, building permits, existing home sales, the Philly FED, leading indicators, the monetary base, and weekly jobless claims declined. Next week we get an update on Q2 GDP (est. +4.0%), PCE prices and the Chicago PMI.
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Friday, August 22, 2014
Are Stocks Bear Markets the New Bull Markets? / Stock-Markets / Stocks Bear Market
Lately, when I appear on CNBC and Fox Business, I seem to face an increasing number of bulls who claim we’re not in a bubble and that we could see the markets explode upwards in the weeks and months ahead. And they can list countless reasons for their view.
What I’m seeing less and less of are those pundits willing to be bearish… and those who have amended their point of view. “If we get a correction,” they say, “it will be minor… 10% or so.”
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Friday, August 22, 2014
US Stock Indices 10-Year Consolidation Patterns ... Upside Breakouts? / Stock-Markets / Stock Markets 2014
I was originally going to do the Weekend Report on the very long term charts for the markets but after last Friday's trading I decided to mix it up a bit with some shorter term charts. It seems like everyone is either looking for that 10% to 15% correction right here before the stock markets can go higher or many looking for the top that will lead to a bear market. That is possible but I would like to show you some charts that maybe saying this correction is over and the next impulse leg up is now getting underway. You never know 100% for sure if you are right until you can look back in hindsight. With that said lets look at some charts starting with the INDU.
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Friday, August 22, 2014
SPX Fibonacci Study / Stock-Markets / Stock Markets 2014
I have done a Fibonacci study of the SPX and wish to share it with you.
· Minor Wave 1, which began at the June 24. 2013 low is 149.34 points in length.
· Minor Wave 3 is 223.37 points in length and 1.4957 times the size of Wave 1. Let’s call it a Fibonacci 1.50 times.
· So far, Minor Wave 5 is 256.84 points in length, or 1.72 times the size of Wave 1 (truly a blow-off top). In Fibonacci terms,
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Friday, August 22, 2014
Stock Market - This is Not Going to End Well / Stock-Markets / Stock Markets 2014
ZeroHedge reports, “We are sure this will end well... As CDS-based credit ETFs are launched, so the number of ways to 'sell' volatility (buy complacency) for retail equity investors have exploded in recent years as The Fed's stranglehold on uncertainty has continued. However, as Bloomberg reports, as VIX has tumbled in the last few weeks, investors are wagering on further declines - in the five weeks through Aug. 15, they put almost $320 million into the VelocityShares Daily Inverse VIX Short Term ETN (XIV): the longest stretch of weekly investments since the note began trading in 2010.
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Thursday, August 21, 2014
Dow Stocks Index Searching For Secondary Top / Stock-Markets / Stock Markets 2014
The Dow continues its tremendous rally from recent lows. I have stated before that it is my opinion that this is a bear market rally. Has anything happened to change that opinion? Nup, but I’ve sure got a good case of the heebie jeebies! Let’s revise the charts to see why.
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Thursday, August 21, 2014
Mafia Boss Claims Stocks A Bubble, Buy Physical Gold and Silver / Stock-Markets / Financial Markets 2014
Michael Franzese, the former powerful mafia boss turned motivational speaker and author, warned on CNBC that stocks are a bubble, Wall Street is crooked and advised people to own physical gold and silver bars.
Asked for his “top investment tips,” Franzese told CNBC:
“I did a lot of things at times with people on Wall Street and I don’t trust them … that is the bottom line … a lot of [Wall Street] guys are shady and they did shady things with me and I don’t trust them. And I don’t like other people that I don’t know really well taking care of my money. I think that I can do it better.”
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Thursday, August 21, 2014
Stocks Fluctuate Along Record Highs As Investors Await Fed’s Conference / Stock-Markets / Stock Markets 2014
Briefly: In our opinion, no speculative positions are justified.
Our intraday outlook is neutral, and our short-term outlook is neutral:
Intraday (next 24 hours) outlook: neutral
Short-term (next 1-2 weeks) outlook: neutral
Medium-term (next 1-3 months) outlook: neutral
Long-term outlook (next year): bullish
Thursday, August 21, 2014
Stock Market Crash a Historical Pattern? / Stock-Markets / Financial Crash
Every production phase or civilization or other human invention goes through a so called transformation process. Transitions are social transformation processes that cover at least one generation. In this article I will use one such transition to demonstrate the position of our present civilization and its possible effect on stock exchange rates.
When we consider the characteristics of the phases of a social transformation we may find ourselves at the end of what might be called the third industrial revolution. Transitions are social transformation processes that cover at least one generation (= 25 years). A transition has the following characteristics:
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Thursday, August 21, 2014
Fed Minutes Not Hurting Stock Bulls.... / Stock-Markets / Stock Markets 2014
Even though there was the usual language of maybe we should raise rates sooner than later. The market is smart enough to understand that raising rates isn't in the cards for a long time to come, and even it was raised, it would be done very slowly over a very long period of time, meaning there's still nowhere to go with your dollars other than the stock market. The bears, and anyone looking for something other than the status quo, seem to be wasting their mental energy. Even Fed Yellen said last month that when housing and employment is where they want them to be, they will still keep rates at historically low levels.
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Thursday, August 21, 2014
Meet Your Investment Manager / Stock-Markets / Financial Markets 2014
There is little else left in the asset-pricing world than central bankers. The redoubtable Ben Hunt, chief risk officer at Salient investment managers ($20 billion under management), wrote on David Stockman's Contra Corner: "I've spent the past few weeks meeting Salient clients and partners across the country.... When I had conversations [with clients and partners] six months ago, I would get a fair amount of resistance to the notion that narratives dominate markets and that we're in an Emperor's New Clothes world. Today, everyone believes that market price levels are largely driven by monetary policy and that we are being played by politicians and central bankers using their words for effect rather than direct communication. No one requires convincing that markets are unsupported by real world economic activity. Everyone believes that this will all end badly, and the only real question is when."
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Wednesday, August 20, 2014
Is the U.S. Dollar and Stock Market Ready to Crash? / Stock-Markets / Stock Markets 2014
Wednesday, August 20, 2014
How Today's Stock Market Valuations Compare to 2000 and What to Do About It / Stock-Markets / Stock Markets 2014
Michael E. Lewitt writes: Opinions on stock market valuations flow easily around Wall Street, too often without backing.
Looking at the typical measurement used to determine stock valuations, I'm increasingly cautious.
Indeed, some of the numbers are downright scary just now, both in nominal value and in terms of red-light factors blinking on the horizon.
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Wednesday, August 20, 2014
Stock Market Investors What's Your Exit? / Stock-Markets / Stock Markets 2014
Are you prepared for an “exit”? If the Fed pursues an “exit” from ultra low interest rate policy, are you prepared for an exit from the stock market should things turn South? We discuss how investors prepare, noting the most common mistakes investors make along the way.
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