Market Talk / May 21 - 27 II

[mlk_man]

Hold your breath, and swim?

Stand up?

 

[Birchtree]

No, just do the dog paddle - saves energy until rescue arrives with more cash.

 

[Rod]

I hope today's action is boosting eveyone's morale.

It's been a rough couple weeks.

 

[FUTURESTRADER]

I hope today's action is boosting eveyone's morale.

It's been a rough couple weeks.

looking a little overdone today tho, maybe a 50% pullback tomorrow to go 'all in'?

 

[Rod]

looking a little overdone today tho, maybe a 50% pullback tomorrow to go 'all in'?

Trading should be light tomorrow due to the holiday weekend... BUT the (I) will be open for business on Monday so COME ON DOWN!

 

[Rod]

We are rising fast these last few minutes...

Always fun to watch!

 

[robo]

Nice to see some green for a change!


“One day you eat the bear, the next the bear eats you.” (And repeat.) It’s been that kind of two week experience.

MARKET COMMENT

May 25, 2006

If the Fed’s now favorite indicator “the core PCE” is tame, why didn’t bonds do better today? And, while economic activity was strong, the revised GDP data was lower than expected—that should’ve helped bonds as well. Finally, sales of existing homes fell 2%. Bonds should’ve rallied. The bond police still are troubled and unconvinced evidently. In my mind, they have taken center stage to guide overall market direction.





http://www.etfdigest.com/daveDaily.php

 

[robo]

Market Mood Lightens Just a Bit
The bears tried to take the market lower on Wednesday, but it was not to be. Late buying sent the market back up, indicating that there's just so far the bulls are going to allow prices to be pushed down before they get serious about buying again. And, that tendency was evident in our internal measures of the strength of the market, too. Unlike the runup to the last high when these measures were sounding strong warnings about the weakness underneath the market, they are now sending an opposite message: there is strength underneath the market now which will be released in a rally soon.

Option sentiment, although still fairly biased toward the put side of the ledger, lightened up. Since the market made a slightly lower low on Wednesday, this is a case of interday bullish divergence caused by the smarter traders recognizing the bottom and turning bullish while the slower crowd was still being bearish. In fact, there have been so many June puts purchased that it's a pretty good bet that the market will rally into June options expiration (3rd Friday of the month) just to maximize the pain of the bears.

The selloff in Gold has stayed within the normal and expected correction parameters we've had on our charts for some time, making this dip a great long term buying opportunity. With Gold now available as stocks -- IAU and GLD -- as well as an ETF of gold mining stocks: GDX, the next leg up could be quite spectacular as Gold is projected to continue this bull market for at least the next 13 years, based upon its 21-year bear market in the last two decades of the 20th Century. The market has been very kindly to the latecomers by providing them an excellent dip to get aboard the train for the long term bull market. That's what happens in a bull market -- the weak hands lose their position to the strong hands.


http://marketclues.blogspot.com/

 

[Spaf]

Daily Yak

The Kingdom of TSP
Daily Edition
May 25, 2006 Closing​

Yak, Doodles, Tea Leaves & The Tin Box

Kingdom Yak:
Market Yak..............................Socks run a rally.
Other Yak................................Lube climbs 2%, over 71.
Jester Yak...............................Nice white candle there, Mr. Market!

Doodles:
Socks [$SPX] Closed at..............1272.88, up +14.31
Volume (CMF) (money flow).........-0.033, increasing.
Averages (MACD) (trend)............-11.219, increasing.
Momentum (S-STO) (signal).........18.33, increasing.
Strength (RSI) Overbought/sold....[70] 41.22 [30]

Lube (NYM) Closed at..................71.32, up +1.46
Oil Markers................................<70= ok, 70-75= worry, >75= panic.

Tea Leaves:
Charts & Stuff............................Green / Yellow [2 up days / Lube>70]

Tin Box:
Position.....................................100% socks
Stops [$SPX].............................Alert: NA. Trail: 1258.

 

[Birchtree]

The market apparently had a Lowry's 90% downside day that was last Wednesday. Per Lowry's, a 90% downside day has occured within 5 to 15 days after a bull market top in four of the last six bull markets since 1980. Now that is something to keep a wary eye lookout. Geeee! I'm always on the search for the top - not convinced yet.

 

[James48843]

Ir is going to be a HUGE gain for stocks everywhere tomorrow

Why?

http://news.yahoo.com/s/ap/20060526/ap_on_bi_ge/enron_trial
----------------------------------------------
Lay, Skilling convicted in Enron collapse
---------------------------------------------


People will feel better now.

 

[robo]

James,

I hope your correct, but tomorrow's personal Income / Spending and Michigan Consumer Sentiment, coupled with the long holiday weekend could cause problems for the extention of the rally tomorrow.

It would be nice to at least hold the gains we made today.

 

[nnuut]

Opps!! Here we go again!!
Maybe they will just disregard that measly.1%?, right?
AP
Inflation Rises Above Fed Comfort Zone
Friday May 26, 8:45 am ET
By Martin Crutsinger, AP Economics Writer Incomes and Spending Up, but Inflation Rises Above Fed Comfort Zone
WASHINGTON (AP) -- Consumer spending grew in April at the fastest pace in three months, supported by solid income growth. But in a worrisome development, a key gauge of inflation watched by the Federal Reserve posted the biggest increase in 13 months.
http://biz.yahoo.com/ap/060526/economy.html?.v=6

 

[nnuut]

Looks like we may have a good day today. It's about time!

Inflation report doesn't scare stocks
Traders feared key price gauge could jump sharply, cheer in-line reading instead.
May 26, 2006: 9:07 AM EDT


NEW YORK (CNNMoney.com) - Stocks were poised to open higher Friday morning after an inflation report didn't raise any alarms.
U.S. stock futures turned higher in early trading and a comparison to fair value indicated a higher opening for U.S. markets.

http://money.cnn.com/2006/05/26/markets/stockswatch/index.htm

 

[Pilgrim]

Marketwatch: Treasurys tread water ahead of early close

"The bond-futures market will close at 1 p.m. Eastern and the cash market will close at 2 p.m. Eastern."

Is the stock market keeping normal hours today??

 

[tsptalk]

From a blog entry this morning...

In Wednesday’s comments I mentioned 1285 and 1300 as possible S&P 500 upside targets based on moving averages and trendlines. A quick calculation of fibonacci retracements also comes up with 1285 as a 50% retracement, and 1295 as a 61.8% retracement - Two common retracement levels.

As I write this the S&P 500 is 1276 which is a 38% retracement (38.2% is another retracement level). So if we can move above 1276, I like 1285 as the next target and may be a spot that I will start to lighten up. Hopefully we will know before the deadline.

Tom

 

[nnuut]

Looks like we have a difference of opinion? She may react badly? Just have to wait and see.


AP
Inflation Rises Above Fed Comfort Zone
Friday May 26, 10:38 am ET
By Martin Crutsinger, AP Economics Writer Incomes and Spending Up, but Inflation Rises Above Fed Comfort Zone
WASHINGTON (AP) -- Consumer spending grew in April at the fastest pace in three months but much of that spending went to pay for higher gasoline prices. Rising price pressures pushed a key gauge of inflation favored by the Federal Reserve up by the largest amount in 13 months.
http://biz.yahoo.com/ap/060526/economy.html?.v=7

 

[tsptalk]

Is the stock market keeping normal hours today??

I haven't heard otherwise.

 

[Pilgrim]

You're right, normal closing time.

Yahoo:
Friday, May 26, 2006, 11:17AM ET - U.S. Markets close in 4 hours and 43 minutes.

 

[Birchtree]

We got a fast moving market again - could end up a big V bottom move. The odd lot short sellers are at new all-time highs. What we need is a 300 point day to try and pressure the bleeding - the more investors waiting on the retest the less likely we get one. I keep going back to 2003 and then looking at the 2004 and 2005 years of basing over base - this is in my opinion a secular bull market - not a tired cyclical bull inside a secular bear market. We got many years in front of us and we will have more corrections. I'm buying this afternoon even at somewhat higher prices - can't or don't dare to wait any longer - the greed factor is kicking in since I've endured the latest pain deliverence.

Dennis -permabull#1