TA on major indexes: huge reversals (nobrainer)
Naz opened up 75, went down to minus 130, closed up 135
that is a loud bombastic technical reversal
volume was 2 billion shares
Naz corrected on intraday basis about 11%
seems like market waited for the 10% level
have seen three 10% corrections to Naz in y2000
now ready for assault on Naz 5500
who gives a shit about Dusty Dows, but got some comments
up 800 pts in two days, sure, sustainable, sure (jerk me)
occurrence prior to triple witch is highly suspicious
next week we resolve this overbought situation
biggest observation in my mind is the behavior of NYSE banks
they are now rallying nicely, which has some big meaning
financials rally hard & fast as signal that interest rate concerns are ending
the Fed and FedWatchers might be leading us to expect several rate hikes
I dont buy it
expecting hikes is healthier than actually seeing rate hikes
I still expect slightly slower economic data in coming months
after a few Fed rate hikes, we are soon to see their delayed effects
today's econ data showed PPI up 1.0%
but break it down to see the story
core PPI was up 0.3% (excludes oil)
but tobacco was up 6%, and is strangely in core
dont ask me why tobacco is in core, only 25% of public smokes
remove tobacco, and core PPI was up 0%
yeah, Greenshit, plenty of inflation there
in 2-3 months, expect negative PPI in face of more rate hikes
THAT IS THE MINDLESS MISMANAGEMENT IN FEDERAL RESERVE
THAT LEADS TO 20% STOCK CORRECTIONS LATER THIS YEAR
the bond market focuses upon core tobacco-free PPI
30yr TBond is now down in yield to 6.04%
10yr TNote is now down to 6.24%
I dont need to remind anyone that I stated several times in past:
expect interest rates to come down, and for oil to peak
didnt expect crude oil to go above $30 per barrell though
we are a LONG WAY from yields of 6.75%
gotta love these CNBC blonde babes
Martha MacCallum -- a wet dream
Bonnie Behrent -- a classy hottie
I couldnt handle Bonnie, but Martha noproblem
I would love to make Marty coo
/ JW |
