First off understand that I'm still learning and I hope my bottom figures are wrong... looking at 2400, where latest downward channel ends and drawn back to early June'99, hope it doesn't need to hit that point and will reverse around 2630. Sold a few of my gainers and the balance of cash position won't be entering the market until there's strong evidence of an upturn, only problem here is if this is the thinking of many others, which I suspect, the markets will flounder around for some time.
IMHO Conclusion of Presidential elections will provide some false relief and a second round of selling into the strengths will occur with further tax loss selling happening in December. This will bring us into the new year and Q4 results that will be closely watched with more than the average pre-warning. We'll also have further money pouring into the market for 401K and RRSP contributions so that could uplift things come February/March timeframe. I wonder how many financial institutions have been successful in convincing their clients that it would be in their best interest to have them take back control of their portfolios since they've experienced how volatile the markets can be and how a professional should be taking charge?
Nasdaq Bloodied Anew by Tech Fears:
The Nasdaq market stumbled further in late morning trading on Wednesday, reaching a new low for the year amid fresh concerns about dwindling high-tech corporate growth and the ongoing battle for the White House....
I want more headlines like this and prefer to see a greater percentage of bulls changing over to the bear side before things can turn.
Jobless Claims Rise in Latest Week:
The number of first-time jobless benefits applied for in the latest week rose an unexpected 7,000, a government report showed on Thursday, with a more reliable gauge reaching its highest level in nearly two years.
Initial claims for state unemployment insurance benefits increased to 336,000 for the week ended Nov. 18 from a revised 329,000, the Labor Department said....
They were expecting a drop to 320,000.... and we still have that last rate increase to affect the economy for they can take up to 6-9 months before their effects are absorbed. Concerned about strength of US dollar at this point, money seeking safe haven in the bonds. Rates and opinions couldn't be changed in last FOMC meeting because of the 'cause and effect' with the election, could possibly see a change in opinion and hope for drop in interest rate come from December 19 FOMC meeting.
There's allot of fund managers swallowing hard now after getting what they asked for plus more, things have fallen further than what they wanted and it's creating havoc within their own portfolios. Even their blues are getting bluer with the lack of buying action, they're being choked off as well.
Who else is seeing the glowing smile upon Gayle Dudack's face, she finally called it right after being wrong for over 3 years! Dang it I hate it when a stopped clock hits this moment in time.
See you later on the upside.... or when another one of my indicators, BRK.a, breaks below 57,000.00 LOL
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