Holy Cow: My sense listening to Bloomberg this AM is that the warriors cometh and armegeddon is upon us. With all the muted hysteria on Bloomberg, perhaps that will provide enough gasoline on Thurs/Fri fire to fuel another down day for the DOW.
Seems to me that equally likely is a sharp DOW reversal before the day has run its course as earnings, for the most part, are much more acceptable than the DOW indice is currently projecting, BofA being just one example.
Me, I'll be watching my key indicator, AMD, for a bottom today or tomorrow, signaling a revesal of trend. AMD peaked in Nov, while the DOW and S&P market indices peaked in February.
The next AMD upleg, now that decisive action on flash has been taken, is about to begin. It is this next upleg by AMD that will signal, like the dove, that all is OK. It may be some time for the market indices to regain their highs, probably much more than for AMD, but when AMD does, that'll signal that market indices will too within 3 to 5 months assuming AMD continues its role as a 3to 5 month lead market barometer on general market movement.
With the foregoing in mind, look for the Dow to build some serious momentum in Q3 and Q4, lagging that serious momentum of AMD which will begin in Q2, perhaps as early as this week. |
