Equity Bulls Later Last Week Used Bad Data To Load Up On Stocks, More Gains Likely Ahead

posted in: Credit, Economy, Equities, Technicals | 0

Last Thursday, bulls used initial weakness in major equity indices owed to 4Q22 productivity report as an opportunity to buy. Friday, they bought more. More gains are likely ahead. Fed funds futures are very volatile. Traders are actively reacting real … Continued

XLF Bulls Defend Neckline, At Resistance – Risk Of Double-Top

posted in: Credit, Economy, Equities, Technicals | 0

The House pushed through a bill last Thursday aiming at getting rid of many of the Dodd-Frank reforms implemented post-Great Recession. The bill probably does not pass the Senate, but the very idea of less/lax regulations lit a fire under … Continued

Decent Odds Of Rally Near-Term So Long As S&P 500 Does Not Lose 2040

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Equity bulls are putting down their foot, and have near-term momentum on their side so long as 2040 on the S&P 500 is not lost. Off the April 20th high through last Thursday’s intra-day low, the S&P 500 lost four … Continued

IWM Breakout Or Fake-out? Futures Market Likely Decides

U.S. small-caps are rallying.  Rallying hard.  Harder than several of their peers. Since the intra-day low on February 11th, the Russell 2000 small cap index is up just north of 14 percent, also breaking out of 1035.  This level approximates … Continued

Weekly Sep 11th ITM Covered Call On GLD

posted in: Commodities, Derivatives, Technicals | 0

Gold continues to act as if it expects a hike as soon as this month.  The FOMC meets on the 16th-17th.  On Friday, post-August jobs report, GLD, the SPDR Gold ETF, shed 0.3 percent.  The two-year Treasury yield was unchanged … Continued

Financials diverge from 10-2 spread, could offer shorting opportunity next month

posted in: Credit, Economy, Equities | 0

Despite escape-velocity meme, yield curve continues to tighten Message of belly/long end of curve to short-end: be careful what you ask for Financials diverge from 10-2 spread, perhaps setting up as shorting opportunity next month One of the contrarian themes … Continued

Offensives’ performance last wk trend change or passing Dec phenomenon?

Inability of offensives to take the lead has been a thorn in the side of rally since Oct 15th low Outperformance last week of XLY vs. XLP and HYG vs. LQD sign of trend change? Duel on between seasonally favorable … Continued