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Strategies & Market Trends : John Pitera's Market Laboratory -- Ignore unavailable to you. Want to Upgrade?


To: The Ox who wrote (17651)1/14/2016 5:08:16 PM
From: John Pitera6 Recommendations

Recommended By
3bar
Brumar89
Fiscally Conservative
Hawkmoon
LJM

and 1 more member

  Read Replies (2) | Respond to of 33421
 
This chart was shown today by the Greywolf executions technical guy.... he shows how when the SPX gets showed a 20 year monthly chart of the SPX and the 10 month moving average and when the market gets below... it keep you out of the 2000-2002 bear market and the 2009 bear... the SPX as have all averages have been rolling over and we broke the SPX MA once rallied above it and now we are down below it and has rolled over.

Looking at the RSI when we get to monthly oversold reading up in the 70 we are in multiyear bull market.

after that when the RSI gets down to 50 we are in a meaningful bear market. Tom McClelland who has been bearish and correct on the bear market thesis has an interesting outline for the year.... with a bottom in Oct.



Here is the Russell 2000 on a 200 year monthly... Value and smaller stocks famous wildly underperformed in the 1996 to 2000 timeframe relative to the super bull NASD.



the NASD looking at a 20 year chart has an amazing double top with 2000

short term we have hit very oversold levels. and Yet have not had a Trin reading over 2 this year ... not extreme volume on the selling.

The 5 Major Headwinds for the Market

1 China
2 Oil
3 Earnings soft economy
4 Terrorism
5 Demographics Baby Boomers in drawdown year of equity markets
6 US Political Vacuum plus Global political Vacuum

on a positive note
AMZN and GOOGL are amazing companies for the long term ..... how do compete with AMZN

when you look at the past 100 years at the shiller Cape and Secular Bull and Bear cycles it was always said that on a secular basis a bear market was not over until the asset class that was a sure thing like Gold commodities were a sure thing in 1980 and NASD stocks and stocks were in the late 90s and 2000 .

that asset class must be loathed and be completely out of favor. the central bankers have really messed with the free market system.

JP