February 25, 2018

A week full of soft closes, where the market started up in the morning and stalled to close down or well off its highs, ended on a more bullish note on Friday as all the major indexes achieved higher closing highs. The NASDAQ Composite Index led the charge with a 1.77% gain on slightly lighter volume.   ... [more]

February 21, 2018

The release of the Fed meeting minutes today set the market on fire, sending the Dow Jones Industrials Index up over 300 points on the day. But it didn’t take too long for the fire hoses to come out, and the fire was quickly put out. By the close, The Dow had pulled a big outside reversal to the downside on higher volume as it failed at its 50-dma. This would appear to be the end of the line for... [more]

February 18, 2018

After six straight up days coming right up from the lows of two Fridays ago, the NASDAQ Composite Index finally backed down on light volume Friday. At this stage we now want to see if and how it consolidates the prior reaction rally. This could occur on a pullback to and test of the 50-dma, or the index could simply hold tight sideways as the 50-dma catches up. Other alternatives,... [more]

February 14, 2018

Stronger than expected inflation numbers this morning sent the indexes trading down hard at the open. But the selling quickly subsided and the indexes began moving back to the upside. The NASDAQ Composite Index led the rally as it pushed past its 50-dma to post a surprising fourth-day follow-through coming straight up from the lows.   ... [more]

February 11, 2018

I don’t think I need to point out what everyone already knows, which is that this past week was one of wild and wooly volatility with plenty of mystery and intrigue on the side. The implosion of the short-VIX funds to more threats of a government shutdown to the wild 1,000 Dow point intraday swings made for one of the more interesting weeks we’ve seen in a while. We might even consider that... [more]

February 7, 2018

All hell broke loose on Monday as the Dow slid to nearly -1,600 points lower on an intraday basis before closing down over 1,000 in the worst point decline in its history. The sell-off had the feel of panic, at least in the short-term, but at that point the indexes were only down about 7-8% below their recent peaks. That qualifies as an intermediate correction, and on Friday the indexes undercut... [more]

February 4, 2018

Investors were finally provided a reminder of what a decent sell-off is like as leaders across the board were raked with heavy selling volume on Friday. NYSE breadth was about as ugly as it gets with decliners leading advancers by a whopping 2747 to 304. The volatile intraday action we saw earlier in the week looked cautionary, as I noted in Wednesday’s report, and we saw that funky action come... [more]

January 31, 2018

The market finally took a good punch in the form of a -1.09% sell-off in the S&P 500 Index yesterday, but like a resilient prize-fighter it immediately punched back. The indexes gapped up sharply this morning after President Trump’s State of the Union speech and a strong ADP jobs number that showed 234,000 new jobs vs. expectations of 190,000. As expected, the Fed held... [more]

January 28, 2018

As the Dow Jones Industrials Index pushes to within 1.5% of the 27,000 price level, the NASDAQ Composite Index passed another Century Mark on Friday, closing above 7,500 for the first time in history on higher volume. The steepening uptrend that began on January 2nd has continued unabated, and while the market looks like it has gone the proverbial “too... [more]

January 24, 2018

The government re-opened on Monday after lawmakers came up with a compromise measure, sending the indexes rocketing higher. But it wasn’t like the market was all that concerned with the two-day government shutdown when it opened up on Monday morning. The indexes came off a little bit, but then stabilized, moving higher once it was apparent that a deal to re-open the government was going to happen.... [more]