Well, that would imply a rally in the market soon. While I've been expecting one to happen, finding the temporary bottom isn't easy to do. I thought we would bounce to 1040 last Friday, but that failed?
So this week should produce a relief rally, but the charts aren't showing it yet. Maybe they will turn on Tuesday or Wednesday, it's hard to say. But we are certain overdue for a rally now.
That is the situation we face right now. The SP500 is down 16% from its April 23 top, but the Bond CEF A-D Line is at a new all-time high. As the chart illustration points out, instances of a decline in the SP500 that is not matched by a decline in the Bond CEF A-D Line tend to be temporary stumbles for stocks caused by worry and not caused by illiquidity, and so the stock market is able to quickly recover.
The Eur/Usd disconnect was also seen last week. We have to wait and watch how this spans out. But the eur/usd and the equity market disconnect may not be there for too long. The eur/usd break out was not followed by equity markets and the break out in the pair too is stalling for too long. If it does not move up quickly this one will also end up in the failed break out category And will take down Markets like Dow and SPX with it
That looks like a descending triangle, and it could break down into the cloud. However, it could break upward as I can also see slightly downward sloping wedge… although it's not close to the end of it yet.
Hard too say as that moving average could also support it, and let it bounce upward in another leg higher. I see both bullish and bearish patterns in it.
There's one part of the economy I can't get a true number on. Gulf states. $20 Billion isn't nearly enough to cover the losses. Here's what I think I'm seeing on the TV news. Florida alone, could lose a 1/3 of a trillion in tourism, this summer. That's nearly 500 dow down points.
Well, that would imply a rally in the market soon. While I've been expecting one to happen, finding the temporary bottom isn't easy to do. I thought we would bounce to 1040 last Friday, but that failed?
So this week should produce a relief rally, but the charts aren't showing it yet. Maybe they will turn on Tuesday or Wednesday, it's hard to say. But we are certain overdue for a rally now.
That is the situation we face right now. The SP500 is down 16% from its April 23 top, but the Bond CEF A-D Line is at a new all-time high. As the chart illustration points out, instances of a decline in the SP500 that is not matched by a decline in the Bond CEF A-D Line tend to be temporary stumbles for stocks caused by worry and not caused by illiquidity, and so the stock market is able to quickly recover.
http://www.decisionpoint.com/TAC/MCCLELLAN.html
The Eur/Usd disconnect was also seen last week. We have to wait and watch how this spans out. But the eur/usd and the equity market disconnect may not be there for too long.
The eur/usd break out was not followed by equity markets and the break out in the pair too is stalling for too long. If it does not move up quickly this one will also end up in the failed break out category And will take down Markets like Dow and SPX with it
How do think it will relate to the overall market, like the Dow and the SPX? The dollar seems to be disconnecting from the market right now.
I am expecting the moving average to support the pair for an upmove.
That looks like a descending triangle, and it could break down into the cloud. However, it could break upward as I can also see slightly downward sloping wedge… although it's not close to the end of it yet.
Hard too say as that moving average could also support it, and let it bounce upward in another leg higher. I see both bullish and bearish patterns in it.
EUR/USD Hourly chart technical analysis
http://niftychartsandpatterns.blogspot.com/2010…
BAC, worst case, it trades at 11 p/e or 10.78. or RSI 15, CL 13.84
There's one part of the economy I can't get a true number on. Gulf states. $20 Billion isn't nearly enough to cover the losses.
Here's what I think I'm seeing on the TV news.
Florida alone, could lose a 1/3 of a trillion in tourism, this summer. That's nearly 500 dow down points.
Hi Red!
Nice Video,
QQQQ's have the same readings, only worse.