November 21, 2017

Two days into the shortened Thanksgiving Holiday trading week and the market just steamrolls higher. The NASDAQ Composite Index enthusiastically gobbled up all sellers and flew to a new high on higher volume. If this breakout holds tomorrow, then investors will certainly have something to be thankful for come Thursday.   ... [more]

November 19, 2017

Three gap-down opens on Monday helped to summon the Ugly Duckling, who came to visit with a vengeance on Thursday as the indexes gapped up and just kept rolling higher right into the close. Interestingly, the stage was set on Wednesday for an Ugly Duckling visit when the NASDAQ Composite Index undercut a prior low in the pattern from early November. Within that context, Thursday’s... [more]

November 15, 2017

Two gap-down opens on Monday and Tuesday that looked potentially gruesome at the start fizzled out with the indexes closing well up and off their lows. But this only served to condition investors that every such gap-down was just another opportunity to “buy the freakin’ dip.” I believe this is more commonly known by the acronym “BTFD,” although the choice of F-word might vary among those... [more]

November 12, 2017

The market pulled another one of its “pull the rug out” type of moves on Thursday, something that is not uncommon in this market. A big futures-led gap-down open took the Dow Jones Industrials Index down around 250 points, or a little over 1%. In a market that seldom pulls back 1%, this counts as a bear market of sorts. In the process, leading stocks start to look ugly... [more]

November 8, 2017

The market has a bit of a bifurcated flavor here as we see short-sale opportunities crop up in certain individual stocks. But, the primary index trend remains to the upside, and the long side of this market is still driven by the theme of “stocks are the new bonds.” The other strong theme here is the idea of buying stocks after earnings if an opportunistic set-up arises, and there have been... [more]

November 5, 2017

A strong earnings report from Apple (AAPL) provided the fuel for another new all-time high for the NASDAQ Composite Index, its 63rd of the year and the most since 1980. But the broader action still had some of the sloppiness that I alluded to in my last report, as declining stocks on the NASDAQ... [more]

November 1, 2017

A heavy news docket heralded the start of a new month, starting with today’s Fed policy announcement. Included in the mix is, of course, the big-stock earnings reports from the likes Facebook (FB), while tomorrow the Republican-led government is expected to divulge the details of its “massive, wonderful, beautiful” tax plan. We will also find out who the next Fed chairman... [more]

October 29, 2017

The narrow leadership provided by the Dow Jones Industrials Index did what narrow leadership often does in this market, which is to simply pass the baton off to another group of narrow leadership. With Friday’s post-earnings gap-up moves in four of the biggest of the big-stock NASDAQ names on Friday, (AMZN),... [more]

October 25, 2017

The Dow Jones Industrials Index has now outpaced the S&P 500 by 10% over the past 12 months, with the near-term parabolic move continuing through yesterday. Where we had previously seen big-stock NASDAQ names provide narrow leadership in this market, the burden of lighting up the nation’s quote screens has fallen on the thirty stocks that make up the Dow. International... [more]

October 22, 2017

In Wednesday’s report, I mentioned the seemingly humorous notion of using a “Down on Big Volume” screen as a long idea generator. While my comment may have come off as a joke, it was, to be frank, at least half-honest. Not only that, but it was also prophetic, because the very next day, Thursday, the market gapped down hard at the open and leaders across the board were getting hit with heavy... [more]