Is today simply a retest of the trend line or is the worrying about the this weeks economic data intensifying?
From a technical analysis perspective the markets must hold this trend line:
Markets Bounce – Now What?
August 27, 2010 By 1 Comment
A lot of questions are at hand now that the market has put in the bounce from the sharp dip in early trading today.
In the weekend market video I will go over the charts once again and discuss today’s bounce as well as what to expect in the short term going forward.
S&P 500 Chart Analysis
August 19, 2010 By Leave a Comment
After very disappointing economic data early this morning the markets continued to sell just about anything not nailed down.
A perfect technical bounce, albeit slight, occurred exactly at the 50% Fibonacci price level (measured from the July 1st low to the August 9th high). At this time 1070 on the S&P 500 (SPX) index is the new ‘line in the sand’.
A failure of 1070 to hold will put the S&P 500 on a path to the next support region at 1055 – 1060
Even if the market were to hold these levels in the short term my outlook for the overall market remains bearish.
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S&P 500 Futures Goes Red in Final Minutes of Trading
August 18, 2010 By 1 Comment
S&P 500 Futures end the day in the red after very aggressive selling in the final 15 minutes of futures trading (before the 4:15 pm lock).
In what is now the third time in a row; the markets have been unable to hold any rally attempts from the morning sessions. Today the S&P 500 E-Mini futures put in a short term double top which gave extra fuel to the bears headed into the close.
With options expiration this Friday and an increased nervousness over what tomorrows initial jobless claims number will be the market is currently unstable, at best. Some market analysts are expecting the weekly jobless claims number to exceed 500K, which if that is the case it would signal additional weakening in the employment situation.
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Wrong-Way S&P 500 Traders Now Excessively Bullish
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33 Dividend Champions to Consider
(Dividend Growth Investor, 8/11/10)
S&P 500 Signals Danger!
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S&P 500 (SPX) Bounces at 50% Fibonacci Level and Economists See Relapse of Recession
August 16, 2010 By Leave a Comment
As discussed in the previous market video; the 1,070 level (50% Fibonacci) would provide a likely bounce point for the market. This is exactly what happened early today with the markets putting in an oversold bounce.
While the S&P 500 held above the 1070 level this should not be taken as an ‘all is well’ , on the contrary I view all market advances (retracement rallies) as opportunities to sell longs and/or establish new short positions at good risk/reward entry points.
In other news, 40% of economists who were smart enough to know the economy was going to enter a recession way before it did now think the nation will go into another recession or go deeper into the current one. (HufPo)
Economists who predicted the economy was (and still is) just fine have announced that their organization ‘Eyes Wide Shut’ was seeking another meeting location due to their office building having been foreclosed upon. The Eyes Wide Shut group hopes to secure their new meeting location before their guest speaker, Timmy Geithner, is scheduled to deliver their yearly pep rally later this year.
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33 Dividend Champions to Consider
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S&P 500 Signals Danger!
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Stock Market Tanks – Wedge Pattern Confirms
August 11, 2010 By Leave a Comment
Today the stock market began catching up to the real world as the economy continues to show signs of slowing. Some would say the recent economic data proves we are entering a double dip recession. I still maintain my view that we never left the Great Recession.
The market (as measured by the S&P 500) has moved below the rising bearish wedge pattern that I have spoken about for nearly two weeks. The confirmation drop was on heavy volume and many other internal market breadth indicators all confirm the ferocity of today’s drop.
There will be much to discuss in tonight market video which will be posted later this evening.
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SPX (S&P 500 Cash Index) Chart Update
August 6, 2010 By 3 Comments
The S&P 500 (cash index) is at this time sitting on the lower wedge line. Today’s market action is a classic nail biter…
S&P 500 Chart
August 5, 2010 By Leave a Comment
The current S&P 500 chart showing the various support and resistance levels that I have discussed in the nightly market videos.
