The Fed has Made a Concentrated Effort to Control Volatility
A number of countries which are in bear markets bounced yesterday and now much of the world, especially the US is short-term overbought. Since the bottom in mid-October, the S&P has risen without any type of pullback. If you overlay the 5 period ma onto SPY you will this fact. It’s now gotten into rare […]
Janet Yellen has Done a Masterful Job of Assuring Investors
The market has now officially gone a month without any meaningful pullback or any signs of being oversold. This is obviously something that rarely occurs but it’s also tied into the fact the Fed (Janet Yellen) has done a masterful job of assuring investors that they would do their best at “managing volatility” through multiple […]
Use any Pullback in the major US Indexes
The US market remains overbought and due for a short-term pullback. Use any pullback in the major US indexes as an opportunity to buy.
IWM is Actually Slightly Oversold this Morning
With implied volatility quietly rising the past few days, along with the small pullback in the small-cap stocks, IWM is actually slightly oversold this morning. Because ranges are so tight, it’s only takes small movements to make markets short-term oversold and this occurs when shorter-term volatility gets very quiet as it has been the last […]
Long US/Short the World
Two very different markets remain out there; the US vs. the rest of the world. US index prices remain relentless. Most of the rest of the world remains in decline with over 35% of the Country Fund ETFs showing ConnorsRSI readings under 25 coming into the day. Until proven otherwise, you go where the money […]
“Never Short a Dull Market”
And on the 17th consecutive day of the S&P closing above its 5 period moving average the index again closed higher… There is a long standing phrase to “never short a dull market” and we are living through the why’s of this. Until something “exciting” occurs, the path of least resistance remains higher on a […]
Buying Pullbacks Remains the Best Course of Action
As I mentioned last week and again yesterday, with little to no major news on the horizon, we’ll likely to continue to see a slow climb higher until the market has something concrete to focus on. Buying any pullbacks in the US remains the best course of action until noted otherwise.
Buying any Pullbacks in the US Remains Best Course of Action
The US market remains slightly overbought while many of the world markets are oversold. With little to no major news on the horizon, we’ll likely to continue to see more days like last week with a slow climb higher until the market has something concrete to focus on. Buying any pullbacks in the US remains […]
If Global Deflation Continues, It Runs the Risk of Reaching US Markets
Looking at the world markets this morning tells two very different stories. The US is in another bull move and overbought. Much of the rest of the world is in a strong decline with 30% of the Country Fund ETFs quite oversold with ConnorsRSI readings under 20. In the past most times the world catches […]
The Short-Term Path of Least Resistance is Again Higher
With no reason for markets to go down, buying is flowing in and this may prove to be especially so in high beta stocks as hedge funds and many asset managers use these stocks as a way to catch up to the index returns (most funds are training the averages – those who have mandated […]
Money can be Positioned
The market is neutral but with last night’s elections results in, money can be positioned. Any pullback in SPY should be viewed as short-term buying opportunity.
We Can Expect to See a Large Move Tomorrow
Yesterday’s quiet movement was as expected heading into today’s election. Implied volatility rose as asset managers purchased insurance ahead of today’s results. We can expect to see a large move tomorrow based on tonight’s final results.