Oil surged today as Saudi Arabia bombed sites in Yemen as Yemen erupted in civil war. And of course countries are lined up to support various factions and needless to say Iran is in the mix. The stock market continued its downward move with the DJIA and SPX breaking key trendlines. I go into this analysis in tonight’s video.
The Nasdaq dropped very quickly over the last few days after closing an exhaustion gap that I mentioned on a previous video. It now rests at a rising trendline from the October low. Things can turn around very quickly.
I came across an interesting article on Bloomberg yesterday titled “U.S. Stocks Can’t Get Rally Going with Longest Drought Since ’94.” Now how’s that for a title? The market has been choppy lately.
Speaking of records, the Shanghai Composite Index (SSEC) is still on fire although the moves aren’t as strong as they were in late November-early December. Last Tuesday the Shanghai Composite broke its longest consecutive winning streak in 23 years, 10 up days in a row. Now the November-December was very good also, up 11 out of 12 days.
In tonight’s video I look at the market action of the last two days. I also check in on the German DAX, Russia, India and China’s Shanghai Composite Index.
Stocks in focus tonight are Best Buy (BBY), Caterpillar (CAT), Chicago Bridge& Iron (CBI), Celgene (CELG) and YY.
Right now the best pattern I see on both the DJIA and the SPX is that of a rising wedge. I talk about this on tonight’s video. A rising wedge like this is typically bearish and would be the end of 5 waves up from March 2009. Now that’s what it looks like at the moment, we’ll see if it plays out.
In tonight’s video I look at the market action of the last 2 days and then check in on Apple (AAPL), Adobe (ADBE), Apache (APA), Alibaba (BABA) and Twitter (TWTR). Twitter was up 6.2% today as on of the biggest movers of the stocks I follow.
Also, check out the special training video I’ve got for you on my Training Webpage.
Well the sun is shining and it is 66° F here in the Dallas area. After many cloudy and rainy days I think Spring is finally on the way. And if it is Sunday, that means trade idea review.
So today’s video starts with 5 trade ideas closed last week: GPRO, DAL, ADBE, VIPS and FEYE. I then move to review 2 trade ideas open: IBM and FEYE (in the opposite direction). And lastly I review 2 new trade ideas on AAPL and SNDK.
“One reason golf is such an exasperating game is that a thing we learned is so easily forgotten, and we find ourselves struggling year after year with faults we had discovered and corrected time and again.”
This post is a reprint of a post I wrote on April 5, 2014, almost one year ago, about Black Swan events that might occur and other dangers. It is interesting that most, if not all, of these dangers are still lurking. And now the market has extended even further. Continue reading →
The market continues the stair stepping action that I mentioned in my last post. After a big up day yesterday, the DJIA was down 117 points today and SPX was off 10 points. The market continues its push higher but there is a distinct loss of power in the moves off of key lows. Continue reading →