The key issue to be solved before we can see a new bull market in stocks (ie. take out the 2000 and 2007 highs) is to get employment and direction of the middle class resolved. There is no question that there…Continue Reading →
Archive for August 2011
The direction described over the past few posts should generally continue. Stocks are working towards the 1235 S&P swingpoint and gold continues its knee jerk rally action.
Little things lead to big consequences over time. What Bernanke didn’t say at Jackson Hole fall into that category. The gold market has had a big run since April based on fear of many things. The run started in the…Continue Reading →
With the markets wrapped up in-between opposing forces we believe that our trading and investing actions have to reflect that reality. That is why we are long stocks a little as we let the markets wander through the coming election period. …Continue Reading →
Today we are moving our long stock position from 5 percent to 50 percent. Probably all on the opening. First update at 9:00 AM CDT: Ok we got the buying done. Now we are in the “Pincher” trade, long stocks,…Continue Reading →
Here is the best thing that I have read this morning. http://blogs.reuters.com/great-debate/2011/08/17/breaking-the-government-stock-market-feedback-loop/ From a longterm trend signal standpoint three signals are getting very mature: long gold, long t-bonds, and short dollar. Update: The extreme downward pressure on stock prices has…Continue Reading →
Todays Reuters headline is “World Markets Dip as euro zone plans disappoint”. And why did they disappoint, mainly because they are trying to solve their problems without resorting to the funny money Rick Perry is upset about. The pundits say…Continue Reading →
After all the activity of the past 10 days, it would make sense to see the market go relatively dormant until after Labor Day.
In the last six days we have seen daily volatility on the S&P 500 equal 23 percent of the yearly range. All of this is occurring in what we feel is a price distribution environment, a year when annual volatility…Continue Reading →
This has been a busy week for us. We covered a 200 percent short stock position ( leveraged short ETF’s) , built our short gold position to 30 percent, added to our long dollar position which now is around 10 percent,…Continue Reading →