-
Jeff Bezos loves to "kerfuffle" Wall Street. That's the word he uses to describe what he does to critics who can't fathom how he built a multibillion-dollar company without turning a profit for eight years. (discl. - I'm long AMZN)
-
A look at the weekly charts of the major indices(tags: stocks)
-
You can't win the game if you don't stay in the game. When markets change their trends and movement, give yourself time to adapt. Overtrading a volatile market without a good feel for what's happening is a sure path to ruin
-
Investors need to know that there is a reason for the decline in share price. It just might not be an obvious reason.
-
David Henderson, editor of the Concise Encyclopedia of Economics and a research fellow at Stanford's Hoover Institution, talks with EconTalk host Russ Roberts about when and why economists disagree.
-
This week, Howard pines for a world where peace and prosperity are just over the Verizon.(tags: stocks)
-
“THE BROAD MARKET IS WAY OFF its new highs, but according to one sentiment indicator of investor interest in initial public offerings, it still has plenty of room to run.
-
Financing terms for hedge funds are being tightened and this is forcing a further deleveraging of risk across global markets...
-
It was a wild and crazy week and several of these bloggers can give you an idea, a recap or a breakdown of what actually happened.(tags: stocks)
-
This drop feels catastrophic, but the long overdue pullback will soon present a good buying opportunity(tags: stocks)
-
The huge swings in the Dow are giving investors pause. But taking your money out of the market now could be the gravest mistake of all.
-
this week’s rout in global equity markets apparently means just one thing to those who’ve been blithely going along for the bullish ride: buying opportunity. Consider the following:
-
Opportunities will come from this bust, not from bottom picking, but from watching strength. It may not show tomorrow, or next month, but it will show.
-
Behind every good janitor, is a good maintenance and supply company: ABM Industries Inc. (ABM)(tags: stocks)
-
The Internal Revenue Service has lost a lawyer's challenge in front of a jury to prove a constitutional foundation for the nation's income tax, and the victorious attorney now is setting his sights higher.
-
573,397 properties across the nation reported some sort of foreclosure activity in the first half of this year, including receiving notices of default, auction sale notices or being repossessed by lenders
July 2007 Archives
As I type this we're set for a bounce this morning. Many traders would prefer to see a weak morning followed by a strong close in order to hopefully flush out the last of the sellers. It doesn't seem like that going to happen today. Anyway, here are some charts I'll be watching closely over the next couple of days. First are the indices followed by some individual stocks:
The S&P broke Thursday's support very late in the day Friday as buyers walked away ahead of the weekend. I'll be watching Thursday's low today as an important inflection point.
I'm watching last week's lows for support on the Nasdaq.
Continue reading Some Charts I'm Watching.
-
This Friday, Lindsay sits down with John Mahoney, Founder and CTO of InfoNGEN, to discuss information 2.0.
-
How five names in this year's rankings staged their turnarounds
-
With the credit markets a disaster, buyouts can't continue to drive stock prices higher. That's one reason, of many, I think we're headed for an even bigger fall.(tags: stocks)
-
this is not a time to panic. Give the market some credit. The major indices are still up on the year and are still well-within major bullish, multi-year up-trends...(tags: stocks)
-
(tags: stocks)
-
Our goal is to provide The Odds Maker and the Automated Trading Bot (ATB) at no charge to pilot participants with an optionsXpress brokerage account for 3 months.(tags: trading trade-ideas)
-
When committing a crime, choose your location wisely. Get caught in the wrong state, and you’ll have to deal with Corrections Corp. of America (CXW)(tags: stocks)
-
Does the end of the Uptick Rule spell Doom for the VIX? Yes, according to Rob Schumacher of Van Kampen Investments.
-
Risk appetite for anything less than AAA -- and that includes the ABX stretched definition of AAA (see WTF is going on in the ABX Markets?) -- has waned considerably.
-
Overall, leveraged ETFs are a useful new vehicle for the right strategy and for an investor who performs his or her due diligence.
-
Lenders are getting more tightfisted as more tough times loom for housing
-
Some analysts advise leavening your portfolio with bigger banks that are ripe for an uptick. But don't overlook deals in beaten-down brokerages(tags: stocks)
-
Sure, the tech company showed strong revenue growth. But its profit potential is what really matters
-
Interest rates on about $1 trillion in adjustable-rate mortgages are headed up by the year's end. If your loan is among them, this five-step game plan might save you a lot of grief.
-
Stocks.us lets you know what’s happening now in the US stock market.(tags: stocks)
-
But as scary as it may seem, share prices have dropped enough that the bad news is likely priced into them.
-
The best of us, from pro athletes to top hedge fund managers, must learn to shake off inevitable defeat.
-
Police raided his luxurious Mexico City home in March, carting off what they said was $207 million, most of it in $100 bills (see the picture!) that had been stashed behind false walls and in closets.
-
we’ve done the work for you and narrowed it down to 100 highly informative sites. Take a look at what they have to say and see how they can help you grow your business.
-
templatr is a Template Generator, with which you can create an individual design for your Blog online.
-
Using idioms does not always lead to the most readable code, but they can provide convenient shortcuts in many situations.
-
This is Mahalo's page featuring up-to-date Stock Market data.(tags: stocks)
-
Thursday bloodletting inflicted damage, but long-term uptrend intact(tags: stocks technicalanalysis)
-
Subprime could create global crisis, economist says World is one "Bear-like' event away from liquidity freeze, Zandi warns :-o
OK, you folks know how this goes:
- another one of *those* days with every sector and index down
- all-time record volume on the downside vs. lower volume rallies
- moving averages broken all over the place
- March trendlines broken again
- subprime & credit woes
- financials looking like death
- T2108 under 20 (closed at 18.86)
- my blog getting tons of hits from people searching for a list of inverse (bear) ETFs and the uptick rule changes... (please don't initiate shorts right here!)
That last item has me concerned for people's financial well being once again, just like on June 7th. That day I got a lot of similar search hits and I expressed my concern about people chasing the market down. Sure enough the market turned on a dime and brought pain to the late-coming bears. I'm not saying that we can't go lower here , just that the risk/reward in the short term is better to the upside. Just like I wouldn't be rushing to buy after the fifth day of a rally I certainly won't initiate shorts with the S&P down 4.5% in 5 days. On to the charts...
Some may have thought I was crazy last week when I was talking about the indices moving toward the bottom of their their channels. Well, here we are -- the Nasdaq actually broke under its channel today. Note that it's also back under it's June highs. Bulls have to be a little concerned about what's now a failed breakout, the break of the 50-day moving average and the March uptrend.
The Nasdaq-100 / QQQQ was notably stronger than the rest of the market today. The Qs actually went green early in the day. With names like RIMM, AMZN (disclosure: I'm long AAPL in my long term account) and AAPL in that index it's no wonder that it's showing relative strength. The question is can it hold firm or will the rest of the market drag it down. If things get really bad and, say, some hedge funds start blowing up everything will get sold.
Continue reading July 26th Recap: Technical Damage on Record Volume.
So I was looking through my charts today and was shocked when I got to T2108 (Worden's indicator for % of NYSE stocks above their 40-day moving averages). While the indices have been steadily hitting new highs (notably excluding the Russell 2000 and financials) T2108 has been trending down. In other words, a greater percentage of NYSE stocks were slipping below their 40-day moving average as the indices were climbing to new highs. Bulls might choose to call that a stock picker's market. Others, like me, refer to it as unhealthy.
Here are charts of T2108 and the NYSE Composite Index:
Aside from the glaring negative divergence in T2108 what really struck me about T2108's chart is that it's already below its *magical* 20. As I've posted many times before, 20 on T2108 is typically a sign a of a decent bottom and a buy signal. Usually T2108 hits 20 after an ugly slide and the indices are at multi-month lows. This time we're just off of fresh multi-year and all-time highs on many indices. My gut tells me that there's still a lot of air under the indices but T2108 indicates that we're near a bottom. Interesting times...
Note: Non-Worden subscribers may want to look at similar indicators at StockCharts.com, like $SPXA50R, $NYA50R and $NAA50R.
-
Is Big Brother watching us? Only with the help of FLIR Systems Inc. (FLIR)(tags: stocks)
-
What is the inter-relationship between Housing, LBOs & Stock Buybacks? Last month, I noted 6 reasons why rising yields were a threat to equity prices...
-
VeriSign Inc. (VRSN) protects you on the internet, and fills your wallet on the exchange.(tags: stocks)
-
If you need a great, memorable, easy to pronounce domain name that EXACTLY describes what your website is all about - you are in the right place. This is what we do. We find available domain names that are descriptive, concise and are easily remembered.
-
I swear I remember seeing CFC's CEO on CNBC several weeks ago laughing off the subprime woes. Ha!(tags: stocks)
-
CEO said 'no one saw the deterioration of real estate values coming.' Really? Get the *%$! out of here!
-
A contrarian's view: Houses don't appreciate any faster than the level of inflation over the long term, so forget about buying a home and put your savings into stocks.
-
If you want to know why you don’t have enough money, the first question to ask yourself is how much time do you spend watching TV? It’s probably a lot more than you ever realised.
-
there are few discussions in the trading literature about traders as entrepreneurs--and how the challenges that face traders are similar to those that confront business founders.
Somebody at CNBC has decided to hype the fact that Apple's (AAPL) $8.81 drop today is the worst one-day decline since autumn 2000. I guess that's true if you're looking at points but I'd argue that you should look at percentages. Alternatively, one could look at market cap. Based on that measure they certainly did lose a lot of capitalization today -- about $7 billion. But even using market cap isn't really a fair comparison since Apple Inc. is so much bigger than it's ever been. Most normal fluctuations these days are going to be bigger moves than in years past.
For my money, I'll stick with doing percentage based comparisons. As I've said many a time, percentages are the way to go if you want to make fair and reasonable comparisons. The simple point comparisons make good headlines for mainstream media when they write things like "Dow Makes Quickest Ever 1,000 Point Move" or "Biggest One-Day Decline in Apple in 7 Years" but beyond that, they're pointless. Just by eyeballing Apple's chart I noticed several declines which were larger than today's:
- -17.13% on July 18, 2001
- -15% on June 19, 2002
- -12.43% on July 17, 2002
- -9.21% on April 14, 2005
- -7.08% on November 7, 2002
- -6.33% on February 6, 2006
- -6.29% on October 16, 2003
- -6.19% on January 18, 2007
Today's $8.81 drop was only a 6.13% loss. To me, losing 15% or even 6.19% of my money is worse than losing 6.13% of my money but that's just me.
-
When the Dow broke 14k, Wallstrip decided to join the Free Hugs campaign the only way we know how.
-
And they say there's no Plunge Protection Team (PPT)!
-
Big threats are being ignored as investors celebrate the stock market's latest milestone. We haven't seen such arrogance since the heady days of 1999 and 2000.(tags: stocks)
-
*Something* tells me that Howard didn't like that earlier Fleckenstein article I linked to. :-)(tags: stocks)
-
Jeff Neal concludes his chat with the co-author of The Trading Athlete, who is also the columnist "Head Coach" for Trader Monthly Magazine.(tags: trading Psychology)
-
(tags: trading)
-
Jeff Bezos loves to "kerfuffle" Wall Street. That's the word he uses to describe what he does to critics who can't fathom how he built a multibillion-dollar company without turning a profit for eight years. (discl. - I'm long AMZN)
-
A look at the weekly charts of the major indices(tags: stocks)
-
You can't win the game if you don't stay in the game. When markets change their trends and movement, give yourself time to adapt. Overtrading a volatile market without a good feel for what's happening is a sure path to ruin
-
Investors need to know that there is a reason for the decline in share price. It just might not be an obvious reason.
-
David Henderson, editor of the Concise Encyclopedia of Economics and a research fellow at Stanford's Hoover Institution, talks with EconTalk host Russ Roberts about when and why economists disagree.
-
This week, Howard pines for a world where peace and prosperity are just over the Verizon.(tags: stocks)
-
“THE BROAD MARKET IS WAY OFF its new highs, but according to one sentiment indicator of investor interest in initial public offerings, it still has plenty of room to run.
-
Financing terms for hedge funds are being tightened and this is forcing a further deleveraging of risk across global markets...
-
It was a wild and crazy week and several of these bloggers can give you an idea, a recap or a breakdown of what actually happened.(tags: stocks)
-
This drop feels catastrophic, but the long overdue pullback will soon present a good buying opportunity(tags: stocks)
-
The huge swings in the Dow are giving investors pause. But taking your money out of the market now could be the gravest mistake of all.
-
this week’s rout in global equity markets apparently means just one thing to those who’ve been blithely going along for the bullish ride: buying opportunity. Consider the following:
-
Opportunities will come from this bust, not from bottom picking, but from watching strength. It may not show tomorrow, or next month, but it will show.
-
Behind every good janitor, is a good maintenance and supply company: ABM Industries Inc. (ABM)(tags: stocks)
-
The Internal Revenue Service has lost a lawyer's challenge in front of a jury to prove a constitutional foundation for the nation's income tax, and the victorious attorney now is setting his sights higher.
-
573,397 properties across the nation reported some sort of foreclosure activity in the first half of this year, including receiving notices of default, auction sale notices or being repossessed by lenders
As I type this we're set for a bounce this morning. Many traders would prefer to see a weak morning followed by a strong close in order to hopefully flush out the last of the sellers. It doesn't seem like that going to happen today. Anyway, here are some charts I'll be watching closely over the next couple of days. First are the indices followed by some individual stocks:
The S&P broke Thursday's support very late in the day Friday as buyers walked away ahead of the weekend. I'll be watching Thursday's low today as an important inflection point.
I'm watching last week's lows for support on the Nasdaq.
Continue reading Some Charts I'm Watching.
-
This Friday, Lindsay sits down with John Mahoney, Founder and CTO of InfoNGEN, to discuss information 2.0.
-
How five names in this year's rankings staged their turnarounds
-
With the credit markets a disaster, buyouts can't continue to drive stock prices higher. That's one reason, of many, I think we're headed for an even bigger fall.(tags: stocks)
-
this is not a time to panic. Give the market some credit. The major indices are still up on the year and are still well-within major bullish, multi-year up-trends...(tags: stocks)
-
(tags: stocks)
-
Our goal is to provide The Odds Maker and the Automated Trading Bot (ATB) at no charge to pilot participants with an optionsXpress brokerage account for 3 months.(tags: trading trade-ideas)
-
When committing a crime, choose your location wisely. Get caught in the wrong state, and you’ll have to deal with Corrections Corp. of America (CXW)(tags: stocks)
-
Does the end of the Uptick Rule spell Doom for the VIX? Yes, according to Rob Schumacher of Van Kampen Investments.
-
Risk appetite for anything less than AAA -- and that includes the ABX stretched definition of AAA (see WTF is going on in the ABX Markets?) -- has waned considerably.
-
Overall, leveraged ETFs are a useful new vehicle for the right strategy and for an investor who performs his or her due diligence.
-
Lenders are getting more tightfisted as more tough times loom for housing
-
Some analysts advise leavening your portfolio with bigger banks that are ripe for an uptick. But don't overlook deals in beaten-down brokerages(tags: stocks)
-
Sure, the tech company showed strong revenue growth. But its profit potential is what really matters
-
Interest rates on about $1 trillion in adjustable-rate mortgages are headed up by the year's end. If your loan is among them, this five-step game plan might save you a lot of grief.
-
Stocks.us lets you know what’s happening now in the US stock market.(tags: stocks)
-
But as scary as it may seem, share prices have dropped enough that the bad news is likely priced into them.
-
The best of us, from pro athletes to top hedge fund managers, must learn to shake off inevitable defeat.
-
Police raided his luxurious Mexico City home in March, carting off what they said was $207 million, most of it in $100 bills (see the picture!) that had been stashed behind false walls and in closets.
-
we’ve done the work for you and narrowed it down to 100 highly informative sites. Take a look at what they have to say and see how they can help you grow your business.
-
templatr is a Template Generator, with which you can create an individual design for your Blog online.
-
Using idioms does not always lead to the most readable code, but they can provide convenient shortcuts in many situations.
-
This is Mahalo's page featuring up-to-date Stock Market data.(tags: stocks)
-
Thursday bloodletting inflicted damage, but long-term uptrend intact(tags: stocks technicalanalysis)
-
Subprime could create global crisis, economist says World is one "Bear-like' event away from liquidity freeze, Zandi warns :-o
OK, you folks know how this goes:
- another one of *those* days with every sector and index down
- all-time record volume on the downside vs. lower volume rallies
- moving averages broken all over the place
- March trendlines broken again
- subprime & credit woes
- financials looking like death
- T2108 under 20 (closed at 18.86)
- my blog getting tons of hits from people searching for a list of inverse (bear) ETFs and the uptick rule changes... (please don't initiate shorts right here!)
That last item has me concerned for people's financial well being once again, just like on June 7th. That day I got a lot of similar search hits and I expressed my concern about people chasing the market down. Sure enough the market turned on a dime and brought pain to the late-coming bears. I'm not saying that we can't go lower here , just that the risk/reward in the short term is better to the upside. Just like I wouldn't be rushing to buy after the fifth day of a rally I certainly won't initiate shorts with the S&P down 4.5% in 5 days. On to the charts...
Some may have thought I was crazy last week when I was talking about the indices moving toward the bottom of their their channels. Well, here we are -- the Nasdaq actually broke under its channel today. Note that it's also back under it's June highs. Bulls have to be a little concerned about what's now a failed breakout, the break of the 50-day moving average and the March uptrend.
The Nasdaq-100 / QQQQ was notably stronger than the rest of the market today. The Qs actually went green early in the day. With names like RIMM, AMZN (disclosure: I'm long AAPL in my long term account) and AAPL in that index it's no wonder that it's showing relative strength. The question is can it hold firm or will the rest of the market drag it down. If things get really bad and, say, some hedge funds start blowing up everything will get sold.
Continue reading July 26th Recap: Technical Damage on Record Volume.
So I was looking through my charts today and was shocked when I got to T2108 (Worden's indicator for % of NYSE stocks above their 40-day moving averages). While the indices have been steadily hitting new highs (notably excluding the Russell 2000 and financials) T2108 has been trending down. In other words, a greater percentage of NYSE stocks were slipping below their 40-day moving average as the indices were climbing to new highs. Bulls might choose to call that a stock picker's market. Others, like me, refer to it as unhealthy.
Here are charts of T2108 and the NYSE Composite Index:
Aside from the glaring negative divergence in T2108 what really struck me about T2108's chart is that it's already below its *magical* 20. As I've posted many times before, 20 on T2108 is typically a sign a of a decent bottom and a buy signal. Usually T2108 hits 20 after an ugly slide and the indices are at multi-month lows. This time we're just off of fresh multi-year and all-time highs on many indices. My gut tells me that there's still a lot of air under the indices but T2108 indicates that we're near a bottom. Interesting times...
Note: Non-Worden subscribers may want to look at similar indicators at StockCharts.com, like $SPXA50R, $NYA50R and $NAA50R.
-
Is Big Brother watching us? Only with the help of FLIR Systems Inc. (FLIR)(tags: stocks)
-
What is the inter-relationship between Housing, LBOs & Stock Buybacks? Last month, I noted 6 reasons why rising yields were a threat to equity prices...
-
VeriSign Inc. (VRSN) protects you on the internet, and fills your wallet on the exchange.(tags: stocks)
-
If you need a great, memorable, easy to pronounce domain name that EXACTLY describes what your website is all about - you are in the right place. This is what we do. We find available domain names that are descriptive, concise and are easily remembered.
-
I swear I remember seeing CFC's CEO on CNBC several weeks ago laughing off the subprime woes. Ha!(tags: stocks)
-
CEO said 'no one saw the deterioration of real estate values coming.' Really? Get the *%$! out of here!
-
A contrarian's view: Houses don't appreciate any faster than the level of inflation over the long term, so forget about buying a home and put your savings into stocks.
-
If you want to know why you don’t have enough money, the first question to ask yourself is how much time do you spend watching TV? It’s probably a lot more than you ever realised.
-
there are few discussions in the trading literature about traders as entrepreneurs--and how the challenges that face traders are similar to those that confront business founders.
Somebody at CNBC has decided to hype the fact that Apple's (AAPL) $8.81 drop today is the worst one-day decline since autumn 2000. I guess that's true if you're looking at points but I'd argue that you should look at percentages. Alternatively, one could look at market cap. Based on that measure they certainly did lose a lot of capitalization today -- about $7 billion. But even using market cap isn't really a fair comparison since Apple Inc. is so much bigger than it's ever been. Most normal fluctuations these days are going to be bigger moves than in years past.
For my money, I'll stick with doing percentage based comparisons. As I've said many a time, percentages are the way to go if you want to make fair and reasonable comparisons. The simple point comparisons make good headlines for mainstream media when they write things like "Dow Makes Quickest Ever 1,000 Point Move" or "Biggest One-Day Decline in Apple in 7 Years" but beyond that, they're pointless. Just by eyeballing Apple's chart I noticed several declines which were larger than today's:
- -17.13% on July 18, 2001
- -15% on June 19, 2002
- -12.43% on July 17, 2002
- -9.21% on April 14, 2005
- -7.08% on November 7, 2002
- -6.33% on February 6, 2006
- -6.29% on October 16, 2003
- -6.19% on January 18, 2007
Today's $8.81 drop was only a 6.13% loss. To me, losing 15% or even 6.19% of my money is worse than losing 6.13% of my money but that's just me.
-
When the Dow broke 14k, Wallstrip decided to join the Free Hugs campaign the only way we know how.
-
And they say there's no Plunge Protection Team (PPT)!
-
Big threats are being ignored as investors celebrate the stock market's latest milestone. We haven't seen such arrogance since the heady days of 1999 and 2000.(tags: stocks)
-
*Something* tells me that Howard didn't like that earlier Fleckenstein article I linked to. :-)(tags: stocks)
-
Jeff Neal concludes his chat with the co-author of The Trading Athlete, who is also the columnist "Head Coach" for Trader Monthly Magazine.(tags: trading Psychology)
-
(tags: trading)
-
Jeff Bezos loves to "kerfuffle" Wall Street. That's the word he uses to describe what he does to critics who can't fathom how he built a multibillion-dollar company without turning a profit for eight years. (discl. - I'm long AMZN)
-
A look at the weekly charts of the major indices(tags: stocks)
-
You can't win the game if you don't stay in the game. When markets change their trends and movement, give yourself time to adapt. Overtrading a volatile market without a good feel for what's happening is a sure path to ruin
-
Investors need to know that there is a reason for the decline in share price. It just might not be an obvious reason.
-
David Henderson, editor of the Concise Encyclopedia of Economics and a research fellow at Stanford's Hoover Institution, talks with EconTalk host Russ Roberts about when and why economists disagree.
-
This week, Howard pines for a world where peace and prosperity are just over the Verizon.(tags: stocks)
-
“THE BROAD MARKET IS WAY OFF its new highs, but according to one sentiment indicator of investor interest in initial public offerings, it still has plenty of room to run.
-
Financing terms for hedge funds are being tightened and this is forcing a further deleveraging of risk across global markets...
-
It was a wild and crazy week and several of these bloggers can give you an idea, a recap or a breakdown of what actually happened.(tags: stocks)
-
This drop feels catastrophic, but the long overdue pullback will soon present a good buying opportunity(tags: stocks)
-
The huge swings in the Dow are giving investors pause. But taking your money out of the market now could be the gravest mistake of all.
-
this week’s rout in global equity markets apparently means just one thing to those who’ve been blithely going along for the bullish ride: buying opportunity. Consider the following:
-
Opportunities will come from this bust, not from bottom picking, but from watching strength. It may not show tomorrow, or next month, but it will show.
-
Behind every good janitor, is a good maintenance and supply company: ABM Industries Inc. (ABM)(tags: stocks)
-
The Internal Revenue Service has lost a lawyer's challenge in front of a jury to prove a constitutional foundation for the nation's income tax, and the victorious attorney now is setting his sights higher.
-
573,397 properties across the nation reported some sort of foreclosure activity in the first half of this year, including receiving notices of default, auction sale notices or being repossessed by lenders
As I type this we're set for a bounce this morning. Many traders would prefer to see a weak morning followed by a strong close in order to hopefully flush out the last of the sellers. It doesn't seem like that going to happen today. Anyway, here are some charts I'll be watching closely over the next couple of days. First are the indices followed by some individual stocks:
The S&P broke Thursday's support very late in the day Friday as buyers walked away ahead of the weekend. I'll be watching Thursday's low today as an important inflection point.
I'm watching last week's lows for support on the Nasdaq.
Continue reading Some Charts I'm Watching.
-
This Friday, Lindsay sits down with John Mahoney, Founder and CTO of InfoNGEN, to discuss information 2.0.
-
How five names in this year's rankings staged their turnarounds
-
With the credit markets a disaster, buyouts can't continue to drive stock prices higher. That's one reason, of many, I think we're headed for an even bigger fall.(tags: stocks)
-
this is not a time to panic. Give the market some credit. The major indices are still up on the year and are still well-within major bullish, multi-year up-trends...(tags: stocks)
-
(tags: stocks)
-
Our goal is to provide The Odds Maker and the Automated Trading Bot (ATB) at no charge to pilot participants with an optionsXpress brokerage account for 3 months.(tags: trading trade-ideas)
-
When committing a crime, choose your location wisely. Get caught in the wrong state, and you’ll have to deal with Corrections Corp. of America (CXW)(tags: stocks)
-
Does the end of the Uptick Rule spell Doom for the VIX? Yes, according to Rob Schumacher of Van Kampen Investments.
-
Risk appetite for anything less than AAA -- and that includes the ABX stretched definition of AAA (see WTF is going on in the ABX Markets?) -- has waned considerably.
-
Overall, leveraged ETFs are a useful new vehicle for the right strategy and for an investor who performs his or her due diligence.
-
Lenders are getting more tightfisted as more tough times loom for housing
-
Some analysts advise leavening your portfolio with bigger banks that are ripe for an uptick. But don't overlook deals in beaten-down brokerages(tags: stocks)
-
Sure, the tech company showed strong revenue growth. But its profit potential is what really matters
-
Interest rates on about $1 trillion in adjustable-rate mortgages are headed up by the year's end. If your loan is among them, this five-step game plan might save you a lot of grief.
-
Stocks.us lets you know what’s happening now in the US stock market.(tags: stocks)
-
But as scary as it may seem, share prices have dropped enough that the bad news is likely priced into them.
-
The best of us, from pro athletes to top hedge fund managers, must learn to shake off inevitable defeat.
-
Police raided his luxurious Mexico City home in March, carting off what they said was $207 million, most of it in $100 bills (see the picture!) that had been stashed behind false walls and in closets.
-
we’ve done the work for you and narrowed it down to 100 highly informative sites. Take a look at what they have to say and see how they can help you grow your business.
-
templatr is a Template Generator, with which you can create an individual design for your Blog online.
-
Using idioms does not always lead to the most readable code, but they can provide convenient shortcuts in many situations.
-
This is Mahalo's page featuring up-to-date Stock Market data.(tags: stocks)
-
Thursday bloodletting inflicted damage, but long-term uptrend intact(tags: stocks technicalanalysis)
-
Subprime could create global crisis, economist says World is one "Bear-like' event away from liquidity freeze, Zandi warns :-o
OK, you folks know how this goes:
- another one of *those* days with every sector and index down
- all-time record volume on the downside vs. lower volume rallies
- moving averages broken all over the place
- March trendlines broken again
- subprime & credit woes
- financials looking like death
- T2108 under 20 (closed at 18.86)
- my blog getting tons of hits from people searching for a list of inverse (bear) ETFs and the uptick rule changes... (please don't initiate shorts right here!)
That last item has me concerned for people's financial well being once again, just like on June 7th. That day I got a lot of similar search hits and I expressed my concern about people chasing the market down. Sure enough the market turned on a dime and brought pain to the late-coming bears. I'm not saying that we can't go lower here , just that the risk/reward in the short term is better to the upside. Just like I wouldn't be rushing to buy after the fifth day of a rally I certainly won't initiate shorts with the S&P down 4.5% in 5 days. On to the charts...
Some may have thought I was crazy last week when I was talking about the indices moving toward the bottom of their their channels. Well, here we are -- the Nasdaq actually broke under its channel today. Note that it's also back under it's June highs. Bulls have to be a little concerned about what's now a failed breakout, the break of the 50-day moving average and the March uptrend.
The Nasdaq-100 / QQQQ was notably stronger than the rest of the market today. The Qs actually went green early in the day. With names like RIMM, AMZN (disclosure: I'm long AAPL in my long term account) and AAPL in that index it's no wonder that it's showing relative strength. The question is can it hold firm or will the rest of the market drag it down. If things get really bad and, say, some hedge funds start blowing up everything will get sold.
Continue reading July 26th Recap: Technical Damage on Record Volume.
So I was looking through my charts today and was shocked when I got to T2108 (Worden's indicator for % of NYSE stocks above their 40-day moving averages). While the indices have been steadily hitting new highs (notably excluding the Russell 2000 and financials) T2108 has been trending down. In other words, a greater percentage of NYSE stocks were slipping below their 40-day moving average as the indices were climbing to new highs. Bulls might choose to call that a stock picker's market. Others, like me, refer to it as unhealthy.
Here are charts of T2108 and the NYSE Composite Index:
Aside from the glaring negative divergence in T2108 what really struck me about T2108's chart is that it's already below its *magical* 20. As I've posted many times before, 20 on T2108 is typically a sign a of a decent bottom and a buy signal. Usually T2108 hits 20 after an ugly slide and the indices are at multi-month lows. This time we're just off of fresh multi-year and all-time highs on many indices. My gut tells me that there's still a lot of air under the indices but T2108 indicates that we're near a bottom. Interesting times...
Note: Non-Worden subscribers may want to look at similar indicators at StockCharts.com, like $SPXA50R, $NYA50R and $NAA50R.
-
Is Big Brother watching us? Only with the help of FLIR Systems Inc. (FLIR)(tags: stocks)
-
What is the inter-relationship between Housing, LBOs & Stock Buybacks? Last month, I noted 6 reasons why rising yields were a threat to equity prices...
-
VeriSign Inc. (VRSN) protects you on the internet, and fills your wallet on the exchange.(tags: stocks)
-
If you need a great, memorable, easy to pronounce domain name that EXACTLY describes what your website is all about - you are in the right place. This is what we do. We find available domain names that are descriptive, concise and are easily remembered.
-
I swear I remember seeing CFC's CEO on CNBC several weeks ago laughing off the subprime woes. Ha!(tags: stocks)
-
CEO said 'no one saw the deterioration of real estate values coming.' Really? Get the *%$! out of here!
-
A contrarian's view: Houses don't appreciate any faster than the level of inflation over the long term, so forget about buying a home and put your savings into stocks.
-
If you want to know why you don’t have enough money, the first question to ask yourself is how much time do you spend watching TV? It’s probably a lot more than you ever realised.
-
there are few discussions in the trading literature about traders as entrepreneurs--and how the challenges that face traders are similar to those that confront business founders.
Somebody at CNBC has decided to hype the fact that Apple's (AAPL) $8.81 drop today is the worst one-day decline since autumn 2000. I guess that's true if you're looking at points but I'd argue that you should look at percentages. Alternatively, one could look at market cap. Based on that measure they certainly did lose a lot of capitalization today -- about $7 billion. But even using market cap isn't really a fair comparison since Apple Inc. is so much bigger than it's ever been. Most normal fluctuations these days are going to be bigger moves than in years past.
For my money, I'll stick with doing percentage based comparisons. As I've said many a time, percentages are the way to go if you want to make fair and reasonable comparisons. The simple point comparisons make good headlines for mainstream media when they write things like "Dow Makes Quickest Ever 1,000 Point Move" or "Biggest One-Day Decline in Apple in 7 Years" but beyond that, they're pointless. Just by eyeballing Apple's chart I noticed several declines which were larger than today's:
- -17.13% on July 18, 2001
- -15% on June 19, 2002
- -12.43% on July 17, 2002
- -9.21% on April 14, 2005
- -7.08% on November 7, 2002
- -6.33% on February 6, 2006
- -6.29% on October 16, 2003
- -6.19% on January 18, 2007
Today's $8.81 drop was only a 6.13% loss. To me, losing 15% or even 6.19% of my money is worse than losing 6.13% of my money but that's just me.
-
When the Dow broke 14k, Wallstrip decided to join the Free Hugs campaign the only way we know how.
-
And they say there's no Plunge Protection Team (PPT)!
-
Big threats are being ignored as investors celebrate the stock market's latest milestone. We haven't seen such arrogance since the heady days of 1999 and 2000.(tags: stocks)
-
*Something* tells me that Howard didn't like that earlier Fleckenstein article I linked to. :-)(tags: stocks)
-
Jeff Neal concludes his chat with the co-author of The Trading Athlete, who is also the columnist "Head Coach" for Trader Monthly Magazine.(tags: trading Psychology)
-
(tags: trading)
-
Jeff Bezos loves to "kerfuffle" Wall Street. That's the word he uses to describe what he does to critics who can't fathom how he built a multibillion-dollar company without turning a profit for eight years. (discl. - I'm long AMZN)
-
A look at the weekly charts of the major indices(tags: stocks)
-
You can't win the game if you don't stay in the game. When markets change their trends and movement, give yourself time to adapt. Overtrading a volatile market without a good feel for what's happening is a sure path to ruin
-
Investors need to know that there is a reason for the decline in share price. It just might not be an obvious reason.
-
David Henderson, editor of the Concise Encyclopedia of Economics and a research fellow at Stanford's Hoover Institution, talks with EconTalk host Russ Roberts about when and why economists disagree.
-
This week, Howard pines for a world where peace and prosperity are just over the Verizon.(tags: stocks)
-
“THE BROAD MARKET IS WAY OFF its new highs, but according to one sentiment indicator of investor interest in initial public offerings, it still has plenty of room to run.
-
Financing terms for hedge funds are being tightened and this is forcing a further deleveraging of risk across global markets...
-
It was a wild and crazy week and several of these bloggers can give you an idea, a recap or a breakdown of what actually happened.(tags: stocks)
-
This drop feels catastrophic, but the long overdue pullback will soon present a good buying opportunity(tags: stocks)
-
The huge swings in the Dow are giving investors pause. But taking your money out of the market now could be the gravest mistake of all.
-
this week’s rout in global equity markets apparently means just one thing to those who’ve been blithely going along for the bullish ride: buying opportunity. Consider the following:
-
Opportunities will come from this bust, not from bottom picking, but from watching strength. It may not show tomorrow, or next month, but it will show.
-
Behind every good janitor, is a good maintenance and supply company: ABM Industries Inc. (ABM)(tags: stocks)
-
The Internal Revenue Service has lost a lawyer's challenge in front of a jury to prove a constitutional foundation for the nation's income tax, and the victorious attorney now is setting his sights higher.
-
573,397 properties across the nation reported some sort of foreclosure activity in the first half of this year, including receiving notices of default, auction sale notices or being repossessed by lenders
As I type this we're set for a bounce this morning. Many traders would prefer to see a weak morning followed by a strong close in order to hopefully flush out the last of the sellers. It doesn't seem like that going to happen today. Anyway, here are some charts I'll be watching closely over the next couple of days. First are the indices followed by some individual stocks:
The S&P broke Thursday's support very late in the day Friday as buyers walked away ahead of the weekend. I'll be watching Thursday's low today as an important inflection point.
I'm watching last week's lows for support on the Nasdaq.
Continue reading Some Charts I'm Watching.
-
This Friday, Lindsay sits down with John Mahoney, Founder and CTO of InfoNGEN, to discuss information 2.0.
-
How five names in this year's rankings staged their turnarounds
-
With the credit markets a disaster, buyouts can't continue to drive stock prices higher. That's one reason, of many, I think we're headed for an even bigger fall.(tags: stocks)
-
this is not a time to panic. Give the market some credit. The major indices are still up on the year and are still well-within major bullish, multi-year up-trends...(tags: stocks)
-
(tags: stocks)
-
Our goal is to provide The Odds Maker and the Automated Trading Bot (ATB) at no charge to pilot participants with an optionsXpress brokerage account for 3 months.(tags: trading trade-ideas)
-
When committing a crime, choose your location wisely. Get caught in the wrong state, and you’ll have to deal with Corrections Corp. of America (CXW)(tags: stocks)
-
Does the end of the Uptick Rule spell Doom for the VIX? Yes, according to Rob Schumacher of Van Kampen Investments.
-
Risk appetite for anything less than AAA -- and that includes the ABX stretched definition of AAA (see WTF is going on in the ABX Markets?) -- has waned considerably.
-
Overall, leveraged ETFs are a useful new vehicle for the right strategy and for an investor who performs his or her due diligence.
-
Lenders are getting more tightfisted as more tough times loom for housing
-
Some analysts advise leavening your portfolio with bigger banks that are ripe for an uptick. But don't overlook deals in beaten-down brokerages(tags: stocks)
-
Sure, the tech company showed strong revenue growth. But its profit potential is what really matters
-
Interest rates on about $1 trillion in adjustable-rate mortgages are headed up by the year's end. If your loan is among them, this five-step game plan might save you a lot of grief.
-
Stocks.us lets you know what’s happening now in the US stock market.(tags: stocks)
-
But as scary as it may seem, share prices have dropped enough that the bad news is likely priced into them.
-
The best of us, from pro athletes to top hedge fund managers, must learn to shake off inevitable defeat.
-
Police raided his luxurious Mexico City home in March, carting off what they said was $207 million, most of it in $100 bills (see the picture!) that had been stashed behind false walls and in closets.
-
we’ve done the work for you and narrowed it down to 100 highly informative sites. Take a look at what they have to say and see how they can help you grow your business.
-
templatr is a Template Generator, with which you can create an individual design for your Blog online.
-
Using idioms does not always lead to the most readable code, but they can provide convenient shortcuts in many situations.
-
This is Mahalo's page featuring up-to-date Stock Market data.(tags: stocks)
-
Thursday bloodletting inflicted damage, but long-term uptrend intact(tags: stocks technicalanalysis)
-
Subprime could create global crisis, economist says World is one "Bear-like' event away from liquidity freeze, Zandi warns :-o
OK, you folks know how this goes:
- another one of *those* days with every sector and index down
- all-time record volume on the downside vs. lower volume rallies
- moving averages broken all over the place
- March trendlines broken again
- subprime & credit woes
- financials looking like death
- T2108 under 20 (closed at 18.86)
- my blog getting tons of hits from people searching for a list of inverse (bear) ETFs and the uptick rule changes... (please don't initiate shorts right here!)
That last item has me concerned for people's financial well being once again, just like on June 7th. That day I got a lot of similar search hits and I expressed my concern about people chasing the market down. Sure enough the market turned on a dime and brought pain to the late-coming bears. I'm not saying that we can't go lower here , just that the risk/reward in the short term is better to the upside. Just like I wouldn't be rushing to buy after the fifth day of a rally I certainly won't initiate shorts with the S&P down 4.5% in 5 days. On to the charts...
Some may have thought I was crazy last week when I was talking about the indices moving toward the bottom of their their channels. Well, here we are -- the Nasdaq actually broke under its channel today. Note that it's also back under it's June highs. Bulls have to be a little concerned about what's now a failed breakout, the break of the 50-day moving average and the March uptrend.
The Nasdaq-100 / QQQQ was notably stronger than the rest of the market today. The Qs actually went green early in the day. With names like RIMM, AMZN (disclosure: I'm long AAPL in my long term account) and AAPL in that index it's no wonder that it's showing relative strength. The question is can it hold firm or will the rest of the market drag it down. If things get really bad and, say, some hedge funds start blowing up everything will get sold.
Continue reading July 26th Recap: Technical Damage on Record Volume.
So I was looking through my charts today and was shocked when I got to T2108 (Worden's indicator for % of NYSE stocks above their 40-day moving averages). While the indices have been steadily hitting new highs (notably excluding the Russell 2000 and financials) T2108 has been trending down. In other words, a greater percentage of NYSE stocks were slipping below their 40-day moving average as the indices were climbing to new highs. Bulls might choose to call that a stock picker's market. Others, like me, refer to it as unhealthy.
Here are charts of T2108 and the NYSE Composite Index:
Aside from the glaring negative divergence in T2108 what really struck me about T2108's chart is that it's already below its *magical* 20. As I've posted many times before, 20 on T2108 is typically a sign a of a decent bottom and a buy signal. Usually T2108 hits 20 after an ugly slide and the indices are at multi-month lows. This time we're just off of fresh multi-year and all-time highs on many indices. My gut tells me that there's still a lot of air under the indices but T2108 indicates that we're near a bottom. Interesting times...
Note: Non-Worden subscribers may want to look at similar indicators at StockCharts.com, like $SPXA50R, $NYA50R and $NAA50R.
-
Is Big Brother watching us? Only with the help of FLIR Systems Inc. (FLIR)(tags: stocks)
-
What is the inter-relationship between Housing, LBOs & Stock Buybacks? Last month, I noted 6 reasons why rising yields were a threat to equity prices...
-
VeriSign Inc. (VRSN) protects you on the internet, and fills your wallet on the exchange.(tags: stocks)
-
If you need a great, memorable, easy to pronounce domain name that EXACTLY describes what your website is all about - you are in the right place. This is what we do. We find available domain names that are descriptive, concise and are easily remembered.
-
I swear I remember seeing CFC's CEO on CNBC several weeks ago laughing off the subprime woes. Ha!(tags: stocks)
-
CEO said 'no one saw the deterioration of real estate values coming.' Really? Get the *%$! out of here!
-
A contrarian's view: Houses don't appreciate any faster than the level of inflation over the long term, so forget about buying a home and put your savings into stocks.
-
If you want to know why you don’t have enough money, the first question to ask yourself is how much time do you spend watching TV? It’s probably a lot more than you ever realised.
-
there are few discussions in the trading literature about traders as entrepreneurs--and how the challenges that face traders are similar to those that confront business founders.
Somebody at CNBC has decided to hype the fact that Apple's (AAPL) $8.81 drop today is the worst one-day decline since autumn 2000. I guess that's true if you're looking at points but I'd argue that you should look at percentages. Alternatively, one could look at market cap. Based on that measure they certainly did lose a lot of capitalization today -- about $7 billion. But even using market cap isn't really a fair comparison since Apple Inc. is so much bigger than it's ever been. Most normal fluctuations these days are going to be bigger moves than in years past.
For my money, I'll stick with doing percentage based comparisons. As I've said many a time, percentages are the way to go if you want to make fair and reasonable comparisons. The simple point comparisons make good headlines for mainstream media when they write things like "Dow Makes Quickest Ever 1,000 Point Move" or "Biggest One-Day Decline in Apple in 7 Years" but beyond that, they're pointless. Just by eyeballing Apple's chart I noticed several declines which were larger than today's:
- -17.13% on July 18, 2001
- -15% on June 19, 2002
- -12.43% on July 17, 2002
- -9.21% on April 14, 2005
- -7.08% on November 7, 2002
- -6.33% on February 6, 2006
- -6.29% on October 16, 2003
- -6.19% on January 18, 2007
Today's $8.81 drop was only a 6.13% loss. To me, losing 15% or even 6.19% of my money is worse than losing 6.13% of my money but that's just me.
-
When the Dow broke 14k, Wallstrip decided to join the Free Hugs campaign the only way we know how.
-
And they say there's no Plunge Protection Team (PPT)!
-
Big threats are being ignored as investors celebrate the stock market's latest milestone. We haven't seen such arrogance since the heady days of 1999 and 2000.(tags: stocks)
-
*Something* tells me that Howard didn't like that earlier Fleckenstein article I linked to. :-)(tags: stocks)
-
Jeff Neal concludes his chat with the co-author of The Trading Athlete, who is also the columnist "Head Coach" for Trader Monthly Magazine.(tags: trading Psychology)
-
(tags: trading)
-
Jeff Bezos loves to "kerfuffle" Wall Street. That's the word he uses to describe what he does to critics who can't fathom how he built a multibillion-dollar company without turning a profit for eight years. (discl. - I'm long AMZN)
-
A look at the weekly charts of the major indices(tags: stocks)
-
You can't win the game if you don't stay in the game. When markets change their trends and movement, give yourself time to adapt. Overtrading a volatile market without a good feel for what's happening is a sure path to ruin
-
Investors need to know that there is a reason for the decline in share price. It just might not be an obvious reason.
-
David Henderson, editor of the Concise Encyclopedia of Economics and a research fellow at Stanford's Hoover Institution, talks with EconTalk host Russ Roberts about when and why economists disagree.
-
This week, Howard pines for a world where peace and prosperity are just over the Verizon.(tags: stocks)
-
“THE BROAD MARKET IS WAY OFF its new highs, but according to one sentiment indicator of investor interest in initial public offerings, it still has plenty of room to run.
-
Financing terms for hedge funds are being tightened and this is forcing a further deleveraging of risk across global markets...
-
It was a wild and crazy week and several of these bloggers can give you an idea, a recap or a breakdown of what actually happened.(tags: stocks)
-
This drop feels catastrophic, but the long overdue pullback will soon present a good buying opportunity(tags: stocks)
-
The huge swings in the Dow are giving investors pause. But taking your money out of the market now could be the gravest mistake of all.
-
this week’s rout in global equity markets apparently means just one thing to those who’ve been blithely going along for the bullish ride: buying opportunity. Consider the following:
-
Opportunities will come from this bust, not from bottom picking, but from watching strength. It may not show tomorrow, or next month, but it will show.
-
Behind every good janitor, is a good maintenance and supply company: ABM Industries Inc. (ABM)(tags: stocks)
-
The Internal Revenue Service has lost a lawyer's challenge in front of a jury to prove a constitutional foundation for the nation's income tax, and the victorious attorney now is setting his sights higher.
-
573,397 properties across the nation reported some sort of foreclosure activity in the first half of this year, including receiving notices of default, auction sale notices or being repossessed by lenders
As I type this we're set for a bounce this morning. Many traders would prefer to see a weak morning followed by a strong close in order to hopefully flush out the last of the sellers. It doesn't seem like that going to happen today. Anyway, here are some charts I'll be watching closely over the next couple of days. First are the indices followed by some individual stocks:
The S&P broke Thursday's support very late in the day Friday as buyers walked away ahead of the weekend. I'll be watching Thursday's low today as an important inflection point.
I'm watching last week's lows for support on the Nasdaq.
Continue reading Some Charts I'm Watching.
-
This Friday, Lindsay sits down with John Mahoney, Founder and CTO of InfoNGEN, to discuss information 2.0.
-
How five names in this year's rankings staged their turnarounds
-
With the credit markets a disaster, buyouts can't continue to drive stock prices higher. That's one reason, of many, I think we're headed for an even bigger fall.(tags: stocks)
-
this is not a time to panic. Give the market some credit. The major indices are still up on the year and are still well-within major bullish, multi-year up-trends...(tags: stocks)
-
(tags: stocks)
-
Our goal is to provide The Odds Maker and the Automated Trading Bot (ATB) at no charge to pilot participants with an optionsXpress brokerage account for 3 months.(tags: trading trade-ideas)
-
When committing a crime, choose your location wisely. Get caught in the wrong state, and you’ll have to deal with Corrections Corp. of America (CXW)(tags: stocks)
-
Does the end of the Uptick Rule spell Doom for the VIX? Yes, according to Rob Schumacher of Van Kampen Investments.
-
Risk appetite for anything less than AAA -- and that includes the ABX stretched definition of AAA (see WTF is going on in the ABX Markets?) -- has waned considerably.
-
Overall, leveraged ETFs are a useful new vehicle for the right strategy and for an investor who performs his or her due diligence.
-
Lenders are getting more tightfisted as more tough times loom for housing
-
Some analysts advise leavening your portfolio with bigger banks that are ripe for an uptick. But don't overlook deals in beaten-down brokerages(tags: stocks)
-
Sure, the tech company showed strong revenue growth. But its profit potential is what really matters
-
Interest rates on about $1 trillion in adjustable-rate mortgages are headed up by the year's end. If your loan is among them, this five-step game plan might save you a lot of grief.
-
Stocks.us lets you know what’s happening now in the US stock market.(tags: stocks)
-
But as scary as it may seem, share prices have dropped enough that the bad news is likely priced into them.
-
The best of us, from pro athletes to top hedge fund managers, must learn to shake off inevitable defeat.
-
Police raided his luxurious Mexico City home in March, carting off what they said was $207 million, most of it in $100 bills (see the picture!) that had been stashed behind false walls and in closets.
-
we’ve done the work for you and narrowed it down to 100 highly informative sites. Take a look at what they have to say and see how they can help you grow your business.
-
templatr is a Template Generator, with which you can create an individual design for your Blog online.
-
Using idioms does not always lead to the most readable code, but they can provide convenient shortcuts in many situations.
-
This is Mahalo's page featuring up-to-date Stock Market data.(tags: stocks)
-
Thursday bloodletting inflicted damage, but long-term uptrend intact(tags: stocks technicalanalysis)
-
Subprime could create global crisis, economist says World is one "Bear-like' event away from liquidity freeze, Zandi warns :-o
OK, you folks know how this goes:
- another one of *those* days with every sector and index down
- all-time record volume on the downside vs. lower volume rallies
- moving averages broken all over the place
- March trendlines broken again
- subprime & credit woes
- financials looking like death
- T2108 under 20 (closed at 18.86)
- my blog getting tons of hits from people searching for a list of inverse (bear) ETFs and the uptick rule changes... (please don't initiate shorts right here!)
That last item has me concerned for people's financial well being once again, just like on June 7th. That day I got a lot of similar search hits and I expressed my concern about people chasing the market down. Sure enough the market turned on a dime and brought pain to the late-coming bears. I'm not saying that we can't go lower here , just that the risk/reward in the short term is better to the upside. Just like I wouldn't be rushing to buy after the fifth day of a rally I certainly won't initiate shorts with the S&P down 4.5% in 5 days. On to the charts...
Some may have thought I was crazy last week when I was talking about the indices moving toward the bottom of their their channels. Well, here we are -- the Nasdaq actually broke under its channel today. Note that it's also back under it's June highs. Bulls have to be a little concerned about what's now a failed breakout, the break of the 50-day moving average and the March uptrend.
The Nasdaq-100 / QQQQ was notably stronger than the rest of the market today. The Qs actually went green early in the day. With names like RIMM, AMZN (disclosure: I'm long AAPL in my long term account) and AAPL in that index it's no wonder that it's showing relative strength. The question is can it hold firm or will the rest of the market drag it down. If things get really bad and, say, some hedge funds start blowing up everything will get sold.
Continue reading July 26th Recap: Technical Damage on Record Volume.
So I was looking through my charts today and was shocked when I got to T2108 (Worden's indicator for % of NYSE stocks above their 40-day moving averages). While the indices have been steadily hitting new highs (notably excluding the Russell 2000 and financials) T2108 has been trending down. In other words, a greater percentage of NYSE stocks were slipping below their 40-day moving average as the indices were climbing to new highs. Bulls might choose to call that a stock picker's market. Others, like me, refer to it as unhealthy.
Here are charts of T2108 and the NYSE Composite Index:
Aside from the glaring negative divergence in T2108 what really struck me about T2108's chart is that it's already below its *magical* 20. As I've posted many times before, 20 on T2108 is typically a sign a of a decent bottom and a buy signal. Usually T2108 hits 20 after an ugly slide and the indices are at multi-month lows. This time we're just off of fresh multi-year and all-time highs on many indices. My gut tells me that there's still a lot of air under the indices but T2108 indicates that we're near a bottom. Interesting times...
Note: Non-Worden subscribers may want to look at similar indicators at StockCharts.com, like $SPXA50R, $NYA50R and $NAA50R.
-
Is Big Brother watching us? Only with the help of FLIR Systems Inc. (FLIR)(tags: stocks)
-
What is the inter-relationship between Housing, LBOs & Stock Buybacks? Last month, I noted 6 reasons why rising yields were a threat to equity prices...
-
VeriSign Inc. (VRSN) protects you on the internet, and fills your wallet on the exchange.(tags: stocks)
-
If you need a great, memorable, easy to pronounce domain name that EXACTLY describes what your website is all about - you are in the right place. This is what we do. We find available domain names that are descriptive, concise and are easily remembered.
-
I swear I remember seeing CFC's CEO on CNBC several weeks ago laughing off the subprime woes. Ha!(tags: stocks)
-
CEO said 'no one saw the deterioration of real estate values coming.' Really? Get the *%$! out of here!
-
A contrarian's view: Houses don't appreciate any faster than the level of inflation over the long term, so forget about buying a home and put your savings into stocks.
-
If you want to know why you don’t have enough money, the first question to ask yourself is how much time do you spend watching TV? It’s probably a lot more than you ever realised.
-
there are few discussions in the trading literature about traders as entrepreneurs--and how the challenges that face traders are similar to those that confront business founders.
Somebody at CNBC has decided to hype the fact that Apple's (AAPL) $8.81 drop today is the worst one-day decline since autumn 2000. I guess that's true if you're looking at points but I'd argue that you should look at percentages. Alternatively, one could look at market cap. Based on that measure they certainly did lose a lot of capitalization today -- about $7 billion. But even using market cap isn't really a fair comparison since Apple Inc. is so much bigger than it's ever been. Most normal fluctuations these days are going to be bigger moves than in years past.
For my money, I'll stick with doing percentage based comparisons. As I've said many a time, percentages are the way to go if you want to make fair and reasonable comparisons. The simple point comparisons make good headlines for mainstream media when they write things like "Dow Makes Quickest Ever 1,000 Point Move" or "Biggest One-Day Decline in Apple in 7 Years" but beyond that, they're pointless. Just by eyeballing Apple's chart I noticed several declines which were larger than today's:
- -17.13% on July 18, 2001
- -15% on June 19, 2002
- -12.43% on July 17, 2002
- -9.21% on April 14, 2005
- -7.08% on November 7, 2002
- -6.33% on February 6, 2006
- -6.29% on October 16, 2003
- -6.19% on January 18, 2007
Today's $8.81 drop was only a 6.13% loss. To me, losing 15% or even 6.19% of my money is worse than losing 6.13% of my money but that's just me.
-
When the Dow broke 14k, Wallstrip decided to join the Free Hugs campaign the only way we know how.
-
And they say there's no Plunge Protection Team (PPT)!
-
Big threats are being ignored as investors celebrate the stock market's latest milestone. We haven't seen such arrogance since the heady days of 1999 and 2000.(tags: stocks)
-
*Something* tells me that Howard didn't like that earlier Fleckenstein article I linked to. :-)(tags: stocks)
-
Jeff Neal concludes his chat with the co-author of The Trading Athlete, who is also the columnist "Head Coach" for Trader Monthly Magazine.(tags: trading Psychology)
-
(tags: trading)
-
Jeff Bezos loves to "kerfuffle" Wall Street. That's the word he uses to describe what he does to critics who can't fathom how he built a multibillion-dollar company without turning a profit for eight years. (discl. - I'm long AMZN)
-
A look at the weekly charts of the major indices(tags: stocks)
-
You can't win the game if you don't stay in the game. When markets change their trends and movement, give yourself time to adapt. Overtrading a volatile market without a good feel for what's happening is a sure path to ruin
-
Investors need to know that there is a reason for the decline in share price. It just might not be an obvious reason.
-
David Henderson, editor of the Concise Encyclopedia of Economics and a research fellow at Stanford's Hoover Institution, talks with EconTalk host Russ Roberts about when and why economists disagree.
-
This week, Howard pines for a world where peace and prosperity are just over the Verizon.(tags: stocks)
-
“THE BROAD MARKET IS WAY OFF its new highs, but according to one sentiment indicator of investor interest in initial public offerings, it still has plenty of room to run.
-
Financing terms for hedge funds are being tightened and this is forcing a further deleveraging of risk across global markets...
-
It was a wild and crazy week and several of these bloggers can give you an idea, a recap or a breakdown of what actually happened.(tags: stocks)
-
This drop feels catastrophic, but the long overdue pullback will soon present a good buying opportunity(tags: stocks)
-
The huge swings in the Dow are giving investors pause. But taking your money out of the market now could be the gravest mistake of all.
-
this week’s rout in global equity markets apparently means just one thing to those who’ve been blithely going along for the bullish ride: buying opportunity. Consider the following:
-
Opportunities will come from this bust, not from bottom picking, but from watching strength. It may not show tomorrow, or next month, but it will show.
-
Behind every good janitor, is a good maintenance and supply company: ABM Industries Inc. (ABM)(tags: stocks)
-
The Internal Revenue Service has lost a lawyer's challenge in front of a jury to prove a constitutional foundation for the nation's income tax, and the victorious attorney now is setting his sights higher.
-
573,397 properties across the nation reported some sort of foreclosure activity in the first half of this year, including receiving notices of default, auction sale notices or being repossessed by lenders
As I type this we're set for a bounce this morning. Many traders would prefer to see a weak morning followed by a strong close in order to hopefully flush out the last of the sellers. It doesn't seem like that going to happen today. Anyway, here are some charts I'll be watching closely over the next couple of days. First are the indices followed by some individual stocks:
The S&P broke Thursday's support very late in the day Friday as buyers walked away ahead of the weekend. I'll be watching Thursday's low today as an important inflection point.
I'm watching last week's lows for support on the Nasdaq.
Continue reading Some Charts I'm Watching.
-
This Friday, Lindsay sits down with John Mahoney, Founder and CTO of InfoNGEN, to discuss information 2.0.
-
How five names in this year's rankings staged their turnarounds
-
With the credit markets a disaster, buyouts can't continue to drive stock prices higher. That's one reason, of many, I think we're headed for an even bigger fall.(tags: stocks)
-
this is not a time to panic. Give the market some credit. The major indices are still up on the year and are still well-within major bullish, multi-year up-trends...(tags: stocks)
-
(tags: stocks)
-
Our goal is to provide The Odds Maker and the Automated Trading Bot (ATB) at no charge to pilot participants with an optionsXpress brokerage account for 3 months.(tags: trading trade-ideas)
-
When committing a crime, choose your location wisely. Get caught in the wrong state, and you’ll have to deal with Corrections Corp. of America (CXW)(tags: stocks)
-
Does the end of the Uptick Rule spell Doom for the VIX? Yes, according to Rob Schumacher of Van Kampen Investments.
-
Risk appetite for anything less than AAA -- and that includes the ABX stretched definition of AAA (see WTF is going on in the ABX Markets?) -- has waned considerably.
-
Overall, leveraged ETFs are a useful new vehicle for the right strategy and for an investor who performs his or her due diligence.
-
Lenders are getting more tightfisted as more tough times loom for housing
-
Some analysts advise leavening your portfolio with bigger banks that are ripe for an uptick. But don't overlook deals in beaten-down brokerages(tags: stocks)
-
Sure, the tech company showed strong revenue growth. But its profit potential is what really matters
-
Interest rates on about $1 trillion in adjustable-rate mortgages are headed up by the year's end. If your loan is among them, this five-step game plan might save you a lot of grief.
-
Stocks.us lets you know what’s happening now in the US stock market.(tags: stocks)
-
But as scary as it may seem, share prices have dropped enough that the bad news is likely priced into them.
-
The best of us, from pro athletes to top hedge fund managers, must learn to shake off inevitable defeat.
-
Police raided his luxurious Mexico City home in March, carting off what they said was $207 million, most of it in $100 bills (see the picture!) that had been stashed behind false walls and in closets.
-
we’ve done the work for you and narrowed it down to 100 highly informative sites. Take a look at what they have to say and see how they can help you grow your business.
-
templatr is a Template Generator, with which you can create an individual design for your Blog online.
-
Using idioms does not always lead to the most readable code, but they can provide convenient shortcuts in many situations.
-
This is Mahalo's page featuring up-to-date Stock Market data.(tags: stocks)
-
Thursday bloodletting inflicted damage, but long-term uptrend intact(tags: stocks technicalanalysis)
-
Subprime could create global crisis, economist says World is one "Bear-like' event away from liquidity freeze, Zandi warns :-o
OK, you folks know how this goes:
- another one of *those* days with every sector and index down
- all-time record volume on the downside vs. lower volume rallies
- moving averages broken all over the place
- March trendlines broken again
- subprime & credit woes
- financials looking like death
- T2108 under 20 (closed at 18.86)
- my blog getting tons of hits from people searching for a list of inverse (bear) ETFs and the uptick rule changes... (please don't initiate shorts right here!)
That last item has me concerned for people's financial well being once again, just like on June 7th. That day I got a lot of similar search hits and I expressed my concern about people chasing the market down. Sure enough the market turned on a dime and brought pain to the late-coming bears. I'm not saying that we can't go lower here , just that the risk/reward in the short term is better to the upside. Just like I wouldn't be rushing to buy after the fifth day of a rally I certainly won't initiate shorts with the S&P down 4.5% in 5 days. On to the charts...
Some may have thought I was crazy last week when I was talking about the indices moving toward the bottom of their their channels. Well, here we are -- the Nasdaq actually broke under its channel today. Note that it's also back under it's June highs. Bulls have to be a little concerned about what's now a failed breakout, the break of the 50-day moving average and the March uptrend.
The Nasdaq-100 / QQQQ was notably stronger than the rest of the market today. The Qs actually went green early in the day. With names like RIMM, AMZN (disclosure: I'm long AAPL in my long term account) and AAPL in that index it's no wonder that it's showing relative strength. The question is can it hold firm or will the rest of the market drag it down. If things get really bad and, say, some hedge funds start blowing up everything will get sold.
Continue reading July 26th Recap: Technical Damage on Record Volume.
So I was looking through my charts today and was shocked when I got to T2108 (Worden's indicator for % of NYSE stocks above their 40-day moving averages). While the indices have been steadily hitting new highs (notably excluding the Russell 2000 and financials) T2108 has been trending down. In other words, a greater percentage of NYSE stocks were slipping below their 40-day moving average as the indices were climbing to new highs. Bulls might choose to call that a stock picker's market. Others, like me, refer to it as unhealthy.
Here are charts of T2108 and the NYSE Composite Index:
Aside from the glaring negative divergence in T2108 what really struck me about T2108's chart is that it's already below its *magical* 20. As I've posted many times before, 20 on T2108 is typically a sign a of a decent bottom and a buy signal. Usually T2108 hits 20 after an ugly slide and the indices are at multi-month lows. This time we're just off of fresh multi-year and all-time highs on many indices. My gut tells me that there's still a lot of air under the indices but T2108 indicates that we're near a bottom. Interesting times...
Note: Non-Worden subscribers may want to look at similar indicators at StockCharts.com, like $SPXA50R, $NYA50R and $NAA50R.
-
Is Big Brother watching us? Only with the help of FLIR Systems Inc. (FLIR)(tags: stocks)
-
What is the inter-relationship between Housing, LBOs & Stock Buybacks? Last month, I noted 6 reasons why rising yields were a threat to equity prices...
-
VeriSign Inc. (VRSN) protects you on the internet, and fills your wallet on the exchange.(tags: stocks)
-
If you need a great, memorable, easy to pronounce domain name that EXACTLY describes what your website is all about - you are in the right place. This is what we do. We find available domain names that are descriptive, concise and are easily remembered.
-
I swear I remember seeing CFC's CEO on CNBC several weeks ago laughing off the subprime woes. Ha!(tags: stocks)
-
CEO said 'no one saw the deterioration of real estate values coming.' Really? Get the *%$! out of here!
-
A contrarian's view: Houses don't appreciate any faster than the level of inflation over the long term, so forget about buying a home and put your savings into stocks.
-
If you want to know why you don’t have enough money, the first question to ask yourself is how much time do you spend watching TV? It’s probably a lot more than you ever realised.
-
there are few discussions in the trading literature about traders as entrepreneurs--and how the challenges that face traders are similar to those that confront business founders.
Somebody at CNBC has decided to hype the fact that Apple's (AAPL) $8.81 drop today is the worst one-day decline since autumn 2000. I guess that's true if you're looking at points but I'd argue that you should look at percentages. Alternatively, one could look at market cap. Based on that measure they certainly did lose a lot of capitalization today -- about $7 billion. But even using market cap isn't really a fair comparison since Apple Inc. is so much bigger than it's ever been. Most normal fluctuations these days are going to be bigger moves than in years past.
For my money, I'll stick with doing percentage based comparisons. As I've said many a time, percentages are the way to go if you want to make fair and reasonable comparisons. The simple point comparisons make good headlines for mainstream media when they write things like "Dow Makes Quickest Ever 1,000 Point Move" or "Biggest One-Day Decline in Apple in 7 Years" but beyond that, they're pointless. Just by eyeballing Apple's chart I noticed several declines which were larger than today's:
- -17.13% on July 18, 2001
- -15% on June 19, 2002
- -12.43% on July 17, 2002
- -9.21% on April 14, 2005
- -7.08% on November 7, 2002
- -6.33% on February 6, 2006
- -6.29% on October 16, 2003
- -6.19% on January 18, 2007
Today's $8.81 drop was only a 6.13% loss. To me, losing 15% or even 6.19% of my money is worse than losing 6.13% of my money but that's just me.
-
When the Dow broke 14k, Wallstrip decided to join the Free Hugs campaign the only way we know how.
-
And they say there's no Plunge Protection Team (PPT)!
-
Big threats are being ignored as investors celebrate the stock market's latest milestone. We haven't seen such arrogance since the heady days of 1999 and 2000.(tags: stocks)
-
*Something* tells me that Howard didn't like that earlier Fleckenstein article I linked to. :-)(tags: stocks)
-
Jeff Neal concludes his chat with the co-author of The Trading Athlete, who is also the columnist "Head Coach" for Trader Monthly Magazine.(tags: trading Psychology)
-
(tags: trading)
-
Jeff Bezos loves to "kerfuffle" Wall Street. That's the word he uses to describe what he does to critics who can't fathom how he built a multibillion-dollar company without turning a profit for eight years. (discl. - I'm long AMZN)
-
A look at the weekly charts of the major indices(tags: stocks)
-
You can't win the game if you don't stay in the game. When markets change their trends and movement, give yourself time to adapt. Overtrading a volatile market without a good feel for what's happening is a sure path to ruin
-
Investors need to know that there is a reason for the decline in share price. It just might not be an obvious reason.
-
David Henderson, editor of the Concise Encyclopedia of Economics and a research fellow at Stanford's Hoover Institution, talks with EconTalk host Russ Roberts about when and why economists disagree.
-
This week, Howard pines for a world where peace and prosperity are just over the Verizon.(tags: stocks)
-
“THE BROAD MARKET IS WAY OFF its new highs, but according to one sentiment indicator of investor interest in initial public offerings, it still has plenty of room to run.
-
Financing terms for hedge funds are being tightened and this is forcing a further deleveraging of risk across global markets...
-
It was a wild and crazy week and several of these bloggers can give you an idea, a recap or a breakdown of what actually happened.(tags: stocks)
-
This drop feels catastrophic, but the long overdue pullback will soon present a good buying opportunity(tags: stocks)
-
The huge swings in the Dow are giving investors pause. But taking your money out of the market now could be the gravest mistake of all.
-
this week’s rout in global equity markets apparently means just one thing to those who’ve been blithely going along for the bullish ride: buying opportunity. Consider the following:
-
Opportunities will come from this bust, not from bottom picking, but from watching strength. It may not show tomorrow, or next month, but it will show.
-
Behind every good janitor, is a good maintenance and supply company: ABM Industries Inc. (ABM)(tags: stocks)
-
The Internal Revenue Service has lost a lawyer's challenge in front of a jury to prove a constitutional foundation for the nation's income tax, and the victorious attorney now is setting his sights higher.
-
573,397 properties across the nation reported some sort of foreclosure activity in the first half of this year, including receiving notices of default, auction sale notices or being repossessed by lenders
As I type this we're set for a bounce this morning. Many traders would prefer to see a weak morning followed by a strong close in order to hopefully flush out the last of the sellers. It doesn't seem like that going to happen today. Anyway, here are some charts I'll be watching closely over the next couple of days. First are the indices followed by some individual stocks:
The S&P broke Thursday's support very late in the day Friday as buyers walked away ahead of the weekend. I'll be watching Thursday's low today as an important inflection point.
I'm watching last week's lows for support on the Nasdaq.
Continue reading Some Charts I'm Watching.
-
This Friday, Lindsay sits down with John Mahoney, Founder and CTO of InfoNGEN, to discuss information 2.0.
-
How five names in this year's rankings staged their turnarounds
-
With the credit markets a disaster, buyouts can't continue to drive stock prices higher. That's one reason, of many, I think we're headed for an even bigger fall.(tags: stocks)
-
this is not a time to panic. Give the market some credit. The major indices are still up on the year and are still well-within major bullish, multi-year up-trends...(tags: stocks)
-
(tags: stocks)
-
Our goal is to provide The Odds Maker and the Automated Trading Bot (ATB) at no charge to pilot participants with an optionsXpress brokerage account for 3 months.(tags: trading trade-ideas)
-
When committing a crime, choose your location wisely. Get caught in the wrong state, and you’ll have to deal with Corrections Corp. of America (CXW)(tags: stocks)
-
Does the end of the Uptick Rule spell Doom for the VIX? Yes, according to Rob Schumacher of Van Kampen Investments.
-
Risk appetite for anything less than AAA -- and that includes the ABX stretched definition of AAA (see WTF is going on in the ABX Markets?) -- has waned considerably.
-
Overall, leveraged ETFs are a useful new vehicle for the right strategy and for an investor who performs his or her due diligence.
-
Lenders are getting more tightfisted as more tough times loom for housing
-
Some analysts advise leavening your portfolio with bigger banks that are ripe for an uptick. But don't overlook deals in beaten-down brokerages(tags: stocks)
-
Sure, the tech company showed strong revenue growth. But its profit potential is what really matters
-
Interest rates on about $1 trillion in adjustable-rate mortgages are headed up by the year's end. If your loan is among them, this five-step game plan might save you a lot of grief.
-
Stocks.us lets you know what’s happening now in the US stock market.(tags: stocks)
-
But as scary as it may seem, share prices have dropped enough that the bad news is likely priced into them.
-
The best of us, from pro athletes to top hedge fund managers, must learn to shake off inevitable defeat.
-
Police raided his luxurious Mexico City home in March, carting off what they said was $207 million, most of it in $100 bills (see the picture!) that had been stashed behind false walls and in closets.
-
we’ve done the work for you and narrowed it down to 100 highly informative sites. Take a look at what they have to say and see how they can help you grow your business.
-
templatr is a Template Generator, with which you can create an individual design for your Blog online.
-
Using idioms does not always lead to the most readable code, but they can provide convenient shortcuts in many situations.
-
This is Mahalo's page featuring up-to-date Stock Market data.(tags: stocks)
-
Thursday bloodletting inflicted damage, but long-term uptrend intact(tags: stocks technicalanalysis)
-
Subprime could create global crisis, economist says World is one "Bear-like' event away from liquidity freeze, Zandi warns :-o
OK, you folks know how this goes:
- another one of *those* days with every sector and index down
- all-time record volume on the downside vs. lower volume rallies
- moving averages broken all over the place
- March trendlines broken again
- subprime & credit woes
- financials looking like death
- T2108 under 20 (closed at 18.86)
- my blog getting tons of hits from people searching for a list of inverse (bear) ETFs and the uptick rule changes... (please don't initiate shorts right here!)
That last item has me concerned for people's financial well being once again, just like on June 7th. That day I got a lot of similar search hits and I expressed my concern about people chasing the market down. Sure enough the market turned on a dime and brought pain to the late-coming bears. I'm not saying that we can't go lower here , just that the risk/reward in the short term is better to the upside. Just like I wouldn't be rushing to buy after the fifth day of a rally I certainly won't initiate shorts with the S&P down 4.5% in 5 days. On to the charts...
Some may have thought I was crazy last week when I was talking about the indices moving toward the bottom of their their channels. Well, here we are -- the Nasdaq actually broke under its channel today. Note that it's also back under it's June highs. Bulls have to be a little concerned about what's now a failed breakout, the break of the 50-day moving average and the March uptrend.
The Nasdaq-100 / QQQQ was notably stronger than the rest of the market today. The Qs actually went green early in the day. With names like RIMM, AMZN (disclosure: I'm long AAPL in my long term account) and AAPL in that index it's no wonder that it's showing relative strength. The question is can it hold firm or will the rest of the market drag it down. If things get really bad and, say, some hedge funds start blowing up everything will get sold.
Continue reading July 26th Recap: Technical Damage on Record Volume.
So I was looking through my charts today and was shocked when I got to T2108 (Worden's indicator for % of NYSE stocks above their 40-day moving averages). While the indices have been steadily hitting new highs (notably excluding the Russell 2000 and financials) T2108 has been trending down. In other words, a greater percentage of NYSE stocks were slipping below their 40-day moving average as the indices were climbing to new highs. Bulls might choose to call that a stock picker's market. Others, like me, refer to it as unhealthy.
Here are charts of T2108 and the NYSE Composite Index:
Aside from the glaring negative divergence in T2108 what really struck me about T2108's chart is that it's already below its *magical* 20. As I've posted many times before, 20 on T2108 is typically a sign a of a decent bottom and a buy signal. Usually T2108 hits 20 after an ugly slide and the indices are at multi-month lows. This time we're just off of fresh multi-year and all-time highs on many indices. My gut tells me that there's still a lot of air under the indices but T2108 indicates that we're near a bottom. Interesting times...
Note: Non-Worden subscribers may want to look at similar indicators at StockCharts.com, like $SPXA50R, $NYA50R and $NAA50R.
-
Is Big Brother watching us? Only with the help of FLIR Systems Inc. (FLIR)(tags: stocks)
-
What is the inter-relationship between Housing, LBOs & Stock Buybacks? Last month, I noted 6 reasons why rising yields were a threat to equity prices...
-
VeriSign Inc. (VRSN) protects you on the internet, and fills your wallet on the exchange.(tags: stocks)
-
If you need a great, memorable, easy to pronounce domain name that EXACTLY describes what your website is all about - you are in the right place. This is what we do. We find available domain names that are descriptive, concise and are easily remembered.
-
I swear I remember seeing CFC's CEO on CNBC several weeks ago laughing off the subprime woes. Ha!(tags: stocks)
-
CEO said 'no one saw the deterioration of real estate values coming.' Really? Get the *%$! out of here!
-
A contrarian's view: Houses don't appreciate any faster than the level of inflation over the long term, so forget about buying a home and put your savings into stocks.
-
If you want to know why you don’t have enough money, the first question to ask yourself is how much time do you spend watching TV? It’s probably a lot more than you ever realised.
-
there are few discussions in the trading literature about traders as entrepreneurs--and how the challenges that face traders are similar to those that confront business founders.
Somebody at CNBC has decided to hype the fact that Apple's (AAPL) $8.81 drop today is the worst one-day decline since autumn 2000. I guess that's true if you're looking at points but I'd argue that you should look at percentages. Alternatively, one could look at market cap. Based on that measure they certainly did lose a lot of capitalization today -- about $7 billion. But even using market cap isn't really a fair comparison since Apple Inc. is so much bigger than it's ever been. Most normal fluctuations these days are going to be bigger moves than in years past.
For my money, I'll stick with doing percentage based comparisons. As I've said many a time, percentages are the way to go if you want to make fair and reasonable comparisons. The simple point comparisons make good headlines for mainstream media when they write things like "Dow Makes Quickest Ever 1,000 Point Move" or "Biggest One-Day Decline in Apple in 7 Years" but beyond that, they're pointless. Just by eyeballing Apple's chart I noticed several declines which were larger than today's:
- -17.13% on July 18, 2001
- -15% on June 19, 2002
- -12.43% on July 17, 2002
- -9.21% on April 14, 2005
- -7.08% on November 7, 2002
- -6.33% on February 6, 2006
- -6.29% on October 16, 2003
- -6.19% on January 18, 2007
Today's $8.81 drop was only a 6.13% loss. To me, losing 15% or even 6.19% of my money is worse than losing 6.13% of my money but that's just me.
-
When the Dow broke 14k, Wallstrip decided to join the Free Hugs campaign the only way we know how.
-
And they say there's no Plunge Protection Team (PPT)!
-
Big threats are being ignored as investors celebrate the stock market's latest milestone. We haven't seen such arrogance since the heady days of 1999 and 2000.(tags: stocks)
-
*Something* tells me that Howard didn't like that earlier Fleckenstein article I linked to. :-)(tags: stocks)
-
Jeff Neal concludes his chat with the co-author of The Trading Athlete, who is also the columnist "Head Coach" for Trader Monthly Magazine.(tags: trading Psychology)
-
(tags: trading)
-
Jeff Bezos loves to "kerfuffle" Wall Street. That's the word he uses to describe what he does to critics who can't fathom how he built a multibillion-dollar company without turning a profit for eight years. (discl. - I'm long AMZN)
-
A look at the weekly charts of the major indices(tags: stocks)
-
You can't win the game if you don't stay in the game. When markets change their trends and movement, give yourself time to adapt. Overtrading a volatile market without a good feel for what's happening is a sure path to ruin
-
Investors need to know that there is a reason for the decline in share price. It just might not be an obvious reason.
-
David Henderson, editor of the Concise Encyclopedia of Economics and a research fellow at Stanford's Hoover Institution, talks with EconTalk host Russ Roberts about when and why economists disagree.
-
This week, Howard pines for a world where peace and prosperity are just over the Verizon.(tags: stocks)
-
“THE BROAD MARKET IS WAY OFF its new highs, but according to one sentiment indicator of investor interest in initial public offerings, it still has plenty of room to run.
-
Financing terms for hedge funds are being tightened and this is forcing a further deleveraging of risk across global markets...
-
It was a wild and crazy week and several of these bloggers can give you an idea, a recap or a breakdown of what actually happened.(tags: stocks)
-
This drop feels catastrophic, but the long overdue pullback will soon present a good buying opportunity(tags: stocks)
-
The huge swings in the Dow are giving investors pause. But taking your money out of the market now could be the gravest mistake of all.
-
this week’s rout in global equity markets apparently means just one thing to those who’ve been blithely going along for the bullish ride: buying opportunity. Consider the following:
-
Opportunities will come from this bust, not from bottom picking, but from watching strength. It may not show tomorrow, or next month, but it will show.
-
Behind every good janitor, is a good maintenance and supply company: ABM Industries Inc. (ABM)(tags: stocks)
-
The Internal Revenue Service has lost a lawyer's challenge in front of a jury to prove a constitutional foundation for the nation's income tax, and the victorious attorney now is setting his sights higher.
-
573,397 properties across the nation reported some sort of foreclosure activity in the first half of this year, including receiving notices of default, auction sale notices or being repossessed by lenders
As I type this we're set for a bounce this morning. Many traders would prefer to see a weak morning followed by a strong close in order to hopefully flush out the last of the sellers. It doesn't seem like that going to happen today. Anyway, here are some charts I'll be watching closely over the next couple of days. First are the indices followed by some individual stocks:
The S&P broke Thursday's support very late in the day Friday as buyers walked away ahead of the weekend. I'll be watching Thursday's low today as an important inflection point.
I'm watching last week's lows for support on the Nasdaq.
Continue reading Some Charts I'm Watching.
-
This Friday, Lindsay sits down with John Mahoney, Founder and CTO of InfoNGEN, to discuss information 2.0.
-
How five names in this year's rankings staged their turnarounds
-
With the credit markets a disaster, buyouts can't continue to drive stock prices higher. That's one reason, of many, I think we're headed for an even bigger fall.(tags: stocks)
-
this is not a time to panic. Give the market some credit. The major indices are still up on the year and are still well-within major bullish, multi-year up-trends...(tags: stocks)
-
(tags: stocks)
-
Our goal is to provide The Odds Maker and the Automated Trading Bot (ATB) at no charge to pilot participants with an optionsXpress brokerage account for 3 months.(tags: trading trade-ideas)
-
When committing a crime, choose your location wisely. Get caught in the wrong state, and you’ll have to deal with Corrections Corp. of America (CXW)(tags: stocks)
-
Does the end of the Uptick Rule spell Doom for the VIX? Yes, according to Rob Schumacher of Van Kampen Investments.
-
Risk appetite for anything less than AAA -- and that includes the ABX stretched definition of AAA (see WTF is going on in the ABX Markets?) -- has waned considerably.
-
Overall, leveraged ETFs are a useful new vehicle for the right strategy and for an investor who performs his or her due diligence.
-
Lenders are getting more tightfisted as more tough times loom for housing
-
Some analysts advise leavening your portfolio with bigger banks that are ripe for an uptick. But don't overlook deals in beaten-down brokerages(tags: stocks)
-
Sure, the tech company showed strong revenue growth. But its profit potential is what really matters
-
Interest rates on about $1 trillion in adjustable-rate mortgages are headed up by the year's end. If your loan is among them, this five-step game plan might save you a lot of grief.
-
Stocks.us lets you know what’s happening now in the US stock market.(tags: stocks)
-
But as scary as it may seem, share prices have dropped enough that the bad news is likely priced into them.
-
The best of us, from pro athletes to top hedge fund managers, must learn to shake off inevitable defeat.
-
Police raided his luxurious Mexico City home in March, carting off what they said was $207 million, most of it in $100 bills (see the picture!) that had been stashed behind false walls and in closets.
-
we’ve done the work for you and narrowed it down to 100 highly informative sites. Take a look at what they have to say and see how they can help you grow your business.
-
templatr is a Template Generator, with which you can create an individual design for your Blog online.
-
Using idioms does not always lead to the most readable code, but they can provide convenient shortcuts in many situations.
-
This is Mahalo's page featuring up-to-date Stock Market data.(tags: stocks)
-
Thursday bloodletting inflicted damage, but long-term uptrend intact(tags: stocks technicalanalysis)
-
Subprime could create global crisis, economist says World is one "Bear-like' event away from liquidity freeze, Zandi warns :-o
OK, you folks know how this goes:
- another one of *those* days with every sector and index down
- all-time record volume on the downside vs. lower volume rallies
- moving averages broken all over the place
- March trendlines broken again
- subprime & credit woes
- financials looking like death
- T2108 under 20 (closed at 18.86)
- my blog getting tons of hits from people searching for a list of inverse (bear) ETFs and the uptick rule changes... (please don't initiate shorts right here!)
That last item has me concerned for people's financial well being once again, just like on June 7th. That day I got a lot of similar search hits and I expressed my concern about people chasing the market down. Sure enough the market turned on a dime and brought pain to the late-coming bears. I'm not saying that we can't go lower here , just that the risk/reward in the short term is better to the upside. Just like I wouldn't be rushing to buy after the fifth day of a rally I certainly won't initiate shorts with the S&P down 4.5% in 5 days. On to the charts...
Some may have thought I was crazy last week when I was talking about the indices moving toward the bottom of their their channels. Well, here we are -- the Nasdaq actually broke under its channel today. Note that it's also back under it's June highs. Bulls have to be a little concerned about what's now a failed breakout, the break of the 50-day moving average and the March uptrend.
The Nasdaq-100 / QQQQ was notably stronger than the rest of the market today. The Qs actually went green early in the day. With names like RIMM, AMZN (disclosure: I'm long AAPL in my long term account) and AAPL in that index it's no wonder that it's showing relative strength. The question is can it hold firm or will the rest of the market drag it down. If things get really bad and, say, some hedge funds start blowing up everything will get sold.
Continue reading July 26th Recap: Technical Damage on Record Volume.
So I was looking through my charts today and was shocked when I got to T2108 (Worden's indicator for % of NYSE stocks above their 40-day moving averages). While the indices have been steadily hitting new highs (notably excluding the Russell 2000 and financials) T2108 has been trending down. In other words, a greater percentage of NYSE stocks were slipping below their 40-day moving average as the indices were climbing to new highs. Bulls might choose to call that a stock picker's market. Others, like me, refer to it as unhealthy.
Here are charts of T2108 and the NYSE Composite Index:
Aside from the glaring negative divergence in T2108 what really struck me about T2108's chart is that it's already below its *magical* 20. As I've posted many times before, 20 on T2108 is typically a sign a of a decent bottom and a buy signal. Usually T2108 hits 20 after an ugly slide and the indices are at multi-month lows. This time we're just off of fresh multi-year and all-time highs on many indices. My gut tells me that there's still a lot of air under the indices but T2108 indicates that we're near a bottom. Interesting times...
Note: Non-Worden subscribers may want to look at similar indicators at StockCharts.com, like $SPXA50R, $NYA50R and $NAA50R.
-
Is Big Brother watching us? Only with the help of FLIR Systems Inc. (FLIR)(tags: stocks)
-
What is the inter-relationship between Housing, LBOs & Stock Buybacks? Last month, I noted 6 reasons why rising yields were a threat to equity prices...
-
VeriSign Inc. (VRSN) protects you on the internet, and fills your wallet on the exchange.(tags: stocks)
-
If you need a great, memorable, easy to pronounce domain name that EXACTLY describes what your website is all about - you are in the right place. This is what we do. We find available domain names that are descriptive, concise and are easily remembered.
-
I swear I remember seeing CFC's CEO on CNBC several weeks ago laughing off the subprime woes. Ha!(tags: stocks)
-
CEO said 'no one saw the deterioration of real estate values coming.' Really? Get the *%$! out of here!
-
A contrarian's view: Houses don't appreciate any faster than the level of inflation over the long term, so forget about buying a home and put your savings into stocks.
-
If you want to know why you don’t have enough money, the first question to ask yourself is how much time do you spend watching TV? It’s probably a lot more than you ever realised.
-
there are few discussions in the trading literature about traders as entrepreneurs--and how the challenges that face traders are similar to those that confront business founders.
Somebody at CNBC has decided to hype the fact that Apple's (AAPL) $8.81 drop today is the worst one-day decline since autumn 2000. I guess that's true if you're looking at points but I'd argue that you should look at percentages. Alternatively, one could look at market cap. Based on that measure they certainly did lose a lot of capitalization today -- about $7 billion. But even using market cap isn't really a fair comparison since Apple Inc. is so much bigger than it's ever been. Most normal fluctuations these days are going to be bigger moves than in years past.
For my money, I'll stick with doing percentage based comparisons. As I've said many a time, percentages are the way to go if you want to make fair and reasonable comparisons. The simple point comparisons make good headlines for mainstream media when they write things like "Dow Makes Quickest Ever 1,000 Point Move" or "Biggest One-Day Decline in Apple in 7 Years" but beyond that, they're pointless. Just by eyeballing Apple's chart I noticed several declines which were larger than today's:
- -17.13% on July 18, 2001
- -15% on June 19, 2002
- -12.43% on July 17, 2002
- -9.21% on April 14, 2005
- -7.08% on November 7, 2002
- -6.33% on February 6, 2006
- -6.29% on October 16, 2003
- -6.19% on January 18, 2007
Today's $8.81 drop was only a 6.13% loss. To me, losing 15% or even 6.19% of my money is worse than losing 6.13% of my money but that's just me.
-
When the Dow broke 14k, Wallstrip decided to join the Free Hugs campaign the only way we know how.
-
And they say there's no Plunge Protection Team (PPT)!
-
Big threats are being ignored as investors celebrate the stock market's latest milestone. We haven't seen such arrogance since the heady days of 1999 and 2000.(tags: stocks)
-
*Something* tells me that Howard didn't like that earlier Fleckenstein article I linked to. :-)(tags: stocks)
-
Jeff Neal concludes his chat with the co-author of The Trading Athlete, who is also the columnist "Head Coach" for Trader Monthly Magazine.(tags: trading Psychology)
-
(tags: trading)
-
Jeff Bezos loves to "kerfuffle" Wall Street. That's the word he uses to describe what he does to critics who can't fathom how he built a multibillion-dollar company without turning a profit for eight years. (discl. - I'm long AMZN)
-
A look at the weekly charts of the major indices(tags: stocks)
-
You can't win the game if you don't stay in the game. When markets change their trends and movement, give yourself time to adapt. Overtrading a volatile market without a good feel for what's happening is a sure path to ruin
-
Investors need to know that there is a reason for the decline in share price. It just might not be an obvious reason.
-
David Henderson, editor of the Concise Encyclopedia of Economics and a research fellow at Stanford's Hoover Institution, talks with EconTalk host Russ Roberts about when and why economists disagree.
-
This week, Howard pines for a world where peace and prosperity are just over the Verizon.(tags: stocks)
-
“THE BROAD MARKET IS WAY OFF its new highs, but according to one sentiment indicator of investor interest in initial public offerings, it still has plenty of room to run.
-
Financing terms for hedge funds are being tightened and this is forcing a further deleveraging of risk across global markets...
-
It was a wild and crazy week and several of these bloggers can give you an idea, a recap or a breakdown of what actually happened.(tags: stocks)
-
This drop feels catastrophic, but the long overdue pullback will soon present a good buying opportunity(tags: stocks)
-
The huge swings in the Dow are giving investors pause. But taking your money out of the market now could be the gravest mistake of all.
-
this week’s rout in global equity markets apparently means just one thing to those who’ve been blithely going along for the bullish ride: buying opportunity. Consider the following:
-
Opportunities will come from this bust, not from bottom picking, but from watching strength. It may not show tomorrow, or next month, but it will show.
-
Behind every good janitor, is a good maintenance and supply company: ABM Industries Inc. (ABM)(tags: stocks)
-
The Internal Revenue Service has lost a lawyer's challenge in front of a jury to prove a constitutional foundation for the nation's income tax, and the victorious attorney now is setting his sights higher.
-
573,397 properties across the nation reported some sort of foreclosure activity in the first half of this year, including receiving notices of default, auction sale notices or being repossessed by lenders
As I type this we're set for a bounce this morning. Many traders would prefer to see a weak morning followed by a strong close in order to hopefully flush out the last of the sellers. It doesn't seem like that going to happen today. Anyway, here are some charts I'll be watching closely over the next couple of days. First are the indices followed by some individual stocks:
The S&P broke Thursday's support very late in the day Friday as buyers walked away ahead of the weekend. I'll be watching Thursday's low today as an important inflection point.
I'm watching last week's lows for support on the Nasdaq.
Continue reading Some Charts I'm Watching.
-
This Friday, Lindsay sits down with John Mahoney, Founder and CTO of InfoNGEN, to discuss information 2.0.
-
How five names in this year's rankings staged their turnarounds
-
With the credit markets a disaster, buyouts can't continue to drive stock prices higher. That's one reason, of many, I think we're headed for an even bigger fall.(tags: stocks)
-
this is not a time to panic. Give the market some credit. The major indices are still up on the year and are still well-within major bullish, multi-year up-trends...(tags: stocks)
-
(tags: stocks)
-
Our goal is to provide The Odds Maker and the Automated Trading Bot (ATB) at no charge to pilot participants with an optionsXpress brokerage account for 3 months.(tags: trading trade-ideas)
-
When committing a crime, choose your location wisely. Get caught in the wrong state, and you’ll have to deal with Corrections Corp. of America (CXW)(tags: stocks)
-
Does the end of the Uptick Rule spell Doom for the VIX? Yes, according to Rob Schumacher of Van Kampen Investments.
-
Risk appetite for anything less than AAA -- and that includes the ABX stretched definition of AAA (see WTF is going on in the ABX Markets?) -- has waned considerably.
-
Overall, leveraged ETFs are a useful new vehicle for the right strategy and for an investor who performs his or her due diligence.
-
Lenders are getting more tightfisted as more tough times loom for housing
-
Some analysts advise leavening your portfolio with bigger banks that are ripe for an uptick. But don't overlook deals in beaten-down brokerages(tags: stocks)
-
Sure, the tech company showed strong revenue growth. But its profit potential is what really matters
-
Interest rates on about $1 trillion in adjustable-rate mortgages are headed up by the year's end. If your loan is among them, this five-step game plan might save you a lot of grief.
-
Stocks.us lets you know what’s happening now in the US stock market.(tags: stocks)
-
But as scary as it may seem, share prices have dropped enough that the bad news is likely priced into them.
-
The best of us, from pro athletes to top hedge fund managers, must learn to shake off inevitable defeat.
-
Police raided his luxurious Mexico City home in March, carting off what they said was $207 million, most of it in $100 bills (see the picture!) that had been stashed behind false walls and in closets.
-
we’ve done the work for you and narrowed it down to 100 highly informative sites. Take a look at what they have to say and see how they can help you grow your business.
-
templatr is a Template Generator, with which you can create an individual design for your Blog online.
-
Using idioms does not always lead to the most readable code, but they can provide convenient shortcuts in many situations.
-
This is Mahalo's page featuring up-to-date Stock Market data.(tags: stocks)
-
Thursday bloodletting inflicted damage, but long-term uptrend intact(tags: stocks technicalanalysis)
-
Subprime could create global crisis, economist says World is one "Bear-like' event away from liquidity freeze, Zandi warns :-o
OK, you folks know how this goes:
- another one of *those* days with every sector and index down
- all-time record volume on the downside vs. lower volume rallies
- moving averages broken all over the place
- March trendlines broken again
- subprime & credit woes
- financials looking like death
- T2108 under 20 (closed at 18.86)
- my blog getting tons of hits from people searching for a list of inverse (bear) ETFs and the uptick rule changes... (please don't initiate shorts right here!)
That last item has me concerned for people's financial well being once again, just like on June 7th. That day I got a lot of similar search hits and I expressed my concern about people chasing the market down. Sure enough the market turned on a dime and brought pain to the late-coming bears. I'm not saying that we can't go lower here , just that the risk/reward in the short term is better to the upside. Just like I wouldn't be rushing to buy after the fifth day of a rally I certainly won't initiate shorts with the S&P down 4.5% in 5 days. On to the charts...
Some may have thought I was crazy last week when I was talking about the indices moving toward the bottom of their their channels. Well, here we are -- the Nasdaq actually broke under its channel today. Note that it's also back under it's June highs. Bulls have to be a little concerned about what's now a failed breakout, the break of the 50-day moving average and the March uptrend.
The Nasdaq-100 / QQQQ was notably stronger than the rest of the market today. The Qs actually went green early in the day. With names like RIMM, AMZN (disclosure: I'm long AAPL in my long term account) and AAPL in that index it's no wonder that it's showing relative strength. The question is can it hold firm or will the rest of the market drag it down. If things get really bad and, say, some hedge funds start blowing up everything will get sold.
Continue reading July 26th Recap: Technical Damage on Record Volume.
So I was looking through my charts today and was shocked when I got to T2108 (Worden's indicator for % of NYSE stocks above their 40-day moving averages). While the indices have been steadily hitting new highs (notably excluding the Russell 2000 and financials) T2108 has been trending down. In other words, a greater percentage of NYSE stocks were slipping below their 40-day moving average as the indices were climbing to new highs. Bulls might choose to call that a stock picker's market. Others, like me, refer to it as unhealthy.
Here are charts of T2108 and the NYSE Composite Index:
Aside from the glaring negative divergence in T2108 what really struck me about T2108's chart is that it's already below its *magical* 20. As I've posted many times before, 20 on T2108 is typically a sign a of a decent bottom and a buy signal. Usually T2108 hits 20 after an ugly slide and the indices are at multi-month lows. This time we're just off of fresh multi-year and all-time highs on many indices. My gut tells me that there's still a lot of air under the indices but T2108 indicates that we're near a bottom. Interesting times...
Note: Non-Worden subscribers may want to look at similar indicators at StockCharts.com, like $SPXA50R, $NYA50R and $NAA50R.
-
Is Big Brother watching us? Only with the help of FLIR Systems Inc. (FLIR)(tags: stocks)
-
What is the inter-relationship between Housing, LBOs & Stock Buybacks? Last month, I noted 6 reasons why rising yields were a threat to equity prices...
-
VeriSign Inc. (VRSN) protects you on the internet, and fills your wallet on the exchange.(tags: stocks)
-
If you need a great, memorable, easy to pronounce domain name that EXACTLY describes what your website is all about - you are in the right place. This is what we do. We find available domain names that are descriptive, concise and are easily remembered.
-
I swear I remember seeing CFC's CEO on CNBC several weeks ago laughing off the subprime woes. Ha!(tags: stocks)
-
CEO said 'no one saw the deterioration of real estate values coming.' Really? Get the *%$! out of here!
-
A contrarian's view: Houses don't appreciate any faster than the level of inflation over the long term, so forget about buying a home and put your savings into stocks.
-
If you want to know why you don’t have enough money, the first question to ask yourself is how much time do you spend watching TV? It’s probably a lot more than you ever realised.
-
there are few discussions in the trading literature about traders as entrepreneurs--and how the challenges that face traders are similar to those that confront business founders.
Somebody at CNBC has decided to hype the fact that Apple's (AAPL) $8.81 drop today is the worst one-day decline since autumn 2000. I guess that's true if you're looking at points but I'd argue that you should look at percentages. Alternatively, one could look at market cap. Based on that measure they certainly did lose a lot of capitalization today -- about $7 billion. But even using market cap isn't really a fair comparison since Apple Inc. is so much bigger than it's ever been. Most normal fluctuations these days are going to be bigger moves than in years past.
For my money, I'll stick with doing percentage based comparisons. As I've said many a time, percentages are the way to go if you want to make fair and reasonable comparisons. The simple point comparisons make good headlines for mainstream media when they write things like "Dow Makes Quickest Ever 1,000 Point Move" or "Biggest One-Day Decline in Apple in 7 Years" but beyond that, they're pointless. Just by eyeballing Apple's chart I noticed several declines which were larger than today's:
- -17.13% on July 18, 2001
- -15% on June 19, 2002
- -12.43% on July 17, 2002
- -9.21% on April 14, 2005
- -7.08% on November 7, 2002
- -6.33% on February 6, 2006
- -6.29% on October 16, 2003
- -6.19% on January 18, 2007
Today's $8.81 drop was only a 6.13% loss. To me, losing 15% or even 6.19% of my money is worse than losing 6.13% of my money but that's just me.
-
When the Dow broke 14k, Wallstrip decided to join the Free Hugs campaign the only way we know how.
-
And they say there's no Plunge Protection Team (PPT)!
-
Big threats are being ignored as investors celebrate the stock market's latest milestone. We haven't seen such arrogance since the heady days of 1999 and 2000.(tags: stocks)
-
*Something* tells me that Howard didn't like that earlier Fleckenstein article I linked to. :-)(tags: stocks)
-
Jeff Neal concludes his chat with the co-author of The Trading Athlete, who is also the columnist "Head Coach" for Trader Monthly Magazine.(tags: trading Psychology)
-
(tags: trading)
-
Jeff Bezos loves to "kerfuffle" Wall Street. That's the word he uses to describe what he does to critics who can't fathom how he built a multibillion-dollar company without turning a profit for eight years. (discl. - I'm long AMZN)
-
A look at the weekly charts of the major indices(tags: stocks)
-
You can't win the game if you don't stay in the game. When markets change their trends and movement, give yourself time to adapt. Overtrading a volatile market without a good feel for what's happening is a sure path to ruin
-
Investors need to know that there is a reason for the decline in share price. It just might not be an obvious reason.
-
David Henderson, editor of the Concise Encyclopedia of Economics and a research fellow at Stanford's Hoover Institution, talks with EconTalk host Russ Roberts about when and why economists disagree.
-
This week, Howard pines for a world where peace and prosperity are just over the Verizon.(tags: stocks)
-
“THE BROAD MARKET IS WAY OFF its new highs, but according to one sentiment indicator of investor interest in initial public offerings, it still has plenty of room to run.
-
Financing terms for hedge funds are being tightened and this is forcing a further deleveraging of risk across global markets...
-
It was a wild and crazy week and several of these bloggers can give you an idea, a recap or a breakdown of what actually happened.(tags: stocks)
-
This drop feels catastrophic, but the long overdue pullback will soon present a good buying opportunity(tags: stocks)
-
The huge swings in the Dow are giving investors pause. But taking your money out of the market now could be the gravest mistake of all.
-
this week’s rout in global equity markets apparently means just one thing to those who’ve been blithely going along for the bullish ride: buying opportunity. Consider the following:
-
Opportunities will come from this bust, not from bottom picking, but from watching strength. It may not show tomorrow, or next month, but it will show.
-
Behind every good janitor, is a good maintenance and supply company: ABM Industries Inc. (ABM)(tags: stocks)
-
The Internal Revenue Service has lost a lawyer's challenge in front of a jury to prove a constitutional foundation for the nation's income tax, and the victorious attorney now is setting his sights higher.
-
573,397 properties across the nation reported some sort of foreclosure activity in the first half of this year, including receiving notices of default, auction sale notices or being repossessed by lenders
As I type this we're set for a bounce this morning. Many traders would prefer to see a weak morning followed by a strong close in order to hopefully flush out the last of the sellers. It doesn't seem like that going to happen today. Anyway, here are some charts I'll be watching closely over the next couple of days. First are the indices followed by some individual stocks:
The S&P broke Thursday's support very late in the day Friday as buyers walked away ahead of the weekend. I'll be watching Thursday's low today as an important inflection point.
I'm watching last week's lows for support on the Nasdaq.
Continue reading Some Charts I'm Watching.
-
This Friday, Lindsay sits down with John Mahoney, Founder and CTO of InfoNGEN, to discuss information 2.0.
-
How five names in this year's rankings staged their turnarounds
-
With the credit markets a disaster, buyouts can't continue to drive stock prices higher. That's one reason, of many, I think we're headed for an even bigger fall.(tags: stocks)
-
this is not a time to panic. Give the market some credit. The major indices are still up on the year and are still well-within major bullish, multi-year up-trends...(tags: stocks)
-
(tags: stocks)
-
Our goal is to provide The Odds Maker and the Automated Trading Bot (ATB) at no charge to pilot participants with an optionsXpress brokerage account for 3 months.(tags: trading trade-ideas)
-
When committing a crime, choose your location wisely. Get caught in the wrong state, and you’ll have to deal with Corrections Corp. of America (CXW)(tags: stocks)
-
Does the end of the Uptick Rule spell Doom for the VIX? Yes, according to Rob Schumacher of Van Kampen Investments.
-
Risk appetite for anything less than AAA -- and that includes the ABX stretched definition of AAA (see WTF is going on in the ABX Markets?) -- has waned considerably.
-
Overall, leveraged ETFs are a useful new vehicle for the right strategy and for an investor who performs his or her due diligence.
-
Lenders are getting more tightfisted as more tough times loom for housing
-
Some analysts advise leavening your portfolio with bigger banks that are ripe for an uptick. But don't overlook deals in beaten-down brokerages(tags: stocks)
-
Sure, the tech company showed strong revenue growth. But its profit potential is what really matters
-
Interest rates on about $1 trillion in adjustable-rate mortgages are headed up by the year's end. If your loan is among them, this five-step game plan might save you a lot of grief.
-
Stocks.us lets you know what’s happening now in the US stock market.(tags: stocks)
-
But as scary as it may seem, share prices have dropped enough that the bad news is likely priced into them.
-
The best of us, from pro athletes to top hedge fund managers, must learn to shake off inevitable defeat.
-
Police raided his luxurious Mexico City home in March, carting off what they said was $207 million, most of it in $100 bills (see the picture!) that had been stashed behind false walls and in closets.
-
we’ve done the work for you and narrowed it down to 100 highly informative sites. Take a look at what they have to say and see how they can help you grow your business.
-
templatr is a Template Generator, with which you can create an individual design for your Blog online.
-
Using idioms does not always lead to the most readable code, but they can provide convenient shortcuts in many situations.
-
This is Mahalo's page featuring up-to-date Stock Market data.(tags: stocks)
-
Thursday bloodletting inflicted damage, but long-term uptrend intact(tags: stocks technicalanalysis)
-
Subprime could create global crisis, economist says World is one "Bear-like' event away from liquidity freeze, Zandi warns :-o
OK, you folks know how this goes:
- another one of *those* days with every sector and index down
- all-time record volume on the downside vs. lower volume rallies
- moving averages broken all over the place
- March trendlines broken again
- subprime & credit woes
- financials looking like death
- T2108 under 20 (closed at 18.86)
- my blog getting tons of hits from people searching for a list of inverse (bear) ETFs and the uptick rule changes... (please don't initiate shorts right here!)
That last item has me concerned for people's financial well being once again, just like on June 7th. That day I got a lot of similar search hits and I expressed my concern about people chasing the market down. Sure enough the market turned on a dime and brought pain to the late-coming bears. I'm not saying that we can't go lower here , just that the risk/reward in the short term is better to the upside. Just like I wouldn't be rushing to buy after the fifth day of a rally I certainly won't initiate shorts with the S&P down 4.5% in 5 days. On to the charts...
Some may have thought I was crazy last week when I was talking about the indices moving toward the bottom of their their channels. Well, here we are -- the Nasdaq actually broke under its channel today. Note that it's also back under it's June highs. Bulls have to be a little concerned about what's now a failed breakout, the break of the 50-day moving average and the March uptrend.
The Nasdaq-100 / QQQQ was notably stronger than the rest of the market today. The Qs actually went green early in the day. With names like RIMM, AMZN (disclosure: I'm long AAPL in my long term account) and AAPL in that index it's no wonder that it's showing relative strength. The question is can it hold firm or will the rest of the market drag it down. If things get really bad and, say, some hedge funds start blowing up everything will get sold.
Continue reading July 26th Recap: Technical Damage on Record Volume.
So I was looking through my charts today and was shocked when I got to T2108 (Worden's indicator for % of NYSE stocks above their 40-day moving averages). While the indices have been steadily hitting new highs (notably excluding the Russell 2000 and financials) T2108 has been trending down. In other words, a greater percentage of NYSE stocks were slipping below their 40-day moving average as the indices were climbing to new highs. Bulls might choose to call that a stock picker's market. Others, like me, refer to it as unhealthy.
Here are charts of T2108 and the NYSE Composite Index:
Aside from the glaring negative divergence in T2108 what really struck me about T2108's chart is that it's already below its *magical* 20. As I've posted many times before, 20 on T2108 is typically a sign a of a decent bottom and a buy signal. Usually T2108 hits 20 after an ugly slide and the indices are at multi-month lows. This time we're just off of fresh multi-year and all-time highs on many indices. My gut tells me that there's still a lot of air under the indices but T2108 indicates that we're near a bottom. Interesting times...
Note: Non-Worden subscribers may want to look at similar indicators at StockCharts.com, like $SPXA50R, $NYA50R and $NAA50R.
-
Is Big Brother watching us? Only with the help of FLIR Systems Inc. (FLIR)(tags: stocks)
-
What is the inter-relationship between Housing, LBOs & Stock Buybacks? Last month, I noted 6 reasons why rising yields were a threat to equity prices...
-
VeriSign Inc. (VRSN) protects you on the internet, and fills your wallet on the exchange.(tags: stocks)
-
If you need a great, memorable, easy to pronounce domain name that EXACTLY describes what your website is all about - you are in the right place. This is what we do. We find available domain names that are descriptive, concise and are easily remembered.
-
I swear I remember seeing CFC's CEO on CNBC several weeks ago laughing off the subprime woes. Ha!(tags: stocks)
-
CEO said 'no one saw the deterioration of real estate values coming.' Really? Get the *%$! out of here!
-
A contrarian's view: Houses don't appreciate any faster than the level of inflation over the long term, so forget about buying a home and put your savings into stocks.
-
If you want to know why you don’t have enough money, the first question to ask yourself is how much time do you spend watching TV? It’s probably a lot more than you ever realised.
-
there are few discussions in the trading literature about traders as entrepreneurs--and how the challenges that face traders are similar to those that confront business founders.
Somebody at CNBC has decided to hype the fact that Apple's (AAPL) $8.81 drop today is the worst one-day decline since autumn 2000. I guess that's true if you're looking at points but I'd argue that you should look at percentages. Alternatively, one could look at market cap. Based on that measure they certainly did lose a lot of capitalization today -- about $7 billion. But even using market cap isn't really a fair comparison since Apple Inc. is so much bigger than it's ever been. Most normal fluctuations these days are going to be bigger moves than in years past.
For my money, I'll stick with doing percentage based comparisons. As I've said many a time, percentages are the way to go if you want to make fair and reasonable comparisons. The simple point comparisons make good headlines for mainstream media when they write things like "Dow Makes Quickest Ever 1,000 Point Move" or "Biggest One-Day Decline in Apple in 7 Years" but beyond that, they're pointless. Just by eyeballing Apple's chart I noticed several declines which were larger than today's:
- -17.13% on July 18, 2001
- -15% on June 19, 2002
- -12.43% on July 17, 2002
- -9.21% on April 14, 2005
- -7.08% on November 7, 2002
- -6.33% on February 6, 2006
- -6.29% on October 16, 2003
- -6.19% on January 18, 2007
Today's $8.81 drop was only a 6.13% loss. To me, losing 15% or even 6.19% of my money is worse than losing 6.13% of my money but that's just me.
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When the Dow broke 14k, Wallstrip decided to join the Free Hugs campaign the only way we know how.
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And they say there's no Plunge Protection Team (PPT)!
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Big threats are being ignored as investors celebrate the stock market's latest milestone. We haven't seen such arrogance since the heady days of 1999 and 2000.(tags: stocks)
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*Something* tells me that Howard didn't like that earlier Fleckenstein article I linked to. :-)(tags: stocks)
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Jeff Neal concludes his chat with the co-author of The Trading Athlete, who is also the columnist "Head Coach" for Trader Monthly Magazine.(tags: trading Psychology)
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(tags: trading)
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Jeff Bezos loves to "kerfuffle" Wall Street. That's the word he uses to describe what he does to critics who can't fathom how he built a multibillion-dollar company without turning a profit for eight years. (discl. - I'm long AMZN)
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A look at the weekly charts of the major indices(tags: stocks)
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You can't win the game if you don't stay in the game. When markets change their trends and movement, give yourself time to adapt. Overtrading a volatile market without a good feel for what's happening is a sure path to ruin
-
Investors need to know that there is a reason for the decline in share price. It just might not be an obvious reason.
-
David Henderson, editor of the Concise Encyclopedia of Economics and a research fellow at Stanford's Hoover Institution, talks with EconTalk host Russ Roberts about when and why economists disagree.
-
This week, Howard pines for a world where peace and prosperity are just over the Verizon.(tags: stocks)
-
“THE BROAD MARKET IS WAY OFF its new highs, but according to one sentiment indicator of investor interest in initial public offerings, it still has plenty of room to run.
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Financing terms for hedge funds are being tightened and this is forcing a further deleveraging of risk across global markets...
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It was a wild and crazy week and several of these bloggers can give you an idea, a recap or a breakdown of what actually happened.(tags: stocks)
-
This drop feels catastrophic, but the long overdue pullback will soon present a good buying opportunity(tags: stocks)
-
The huge swings in the Dow are giving investors pause. But taking your money out of the market now could be the gravest mistake of all.
-
this week’s rout in global equity markets apparently means just one thing to those who’ve been blithely going along for the bullish ride: buying opportunity. Consider the following:
-
Opportunities will come from this bust, not from bottom picking, but from watching strength. It may not show tomorrow, or next month, but it will show.
-
Behind every good janitor, is a good maintenance and supply company: ABM Industries Inc. (ABM)(tags: stocks)
-
The Internal Revenue Service has lost a lawyer's challenge in front of a jury to prove a constitutional foundation for the nation's income tax, and the victorious attorney now is setting his sights higher.
-
573,397 properties across the nation reported some sort of foreclosure activity in the first half of this year, including receiving notices of default, auction sale notices or being repossessed by lenders
As I type this we're set for a bounce this morning. Many traders would prefer to see a weak morning followed by a strong close in order to hopefully flush out the last of the sellers. It doesn't seem like that going to happen today. Anyway, here are some charts I'll be watching closely over the next couple of days. First are the indices followed by some individual stocks:
The S&P broke Thursday's support very late in the day Friday as buyers walked away ahead of the weekend. I'll be watching Thursday's low today as an important inflection point.
I'm watching last week's lows for support on the Nasdaq.
Continue reading Some Charts I'm Watching.
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This Friday, Lindsay sits down with John Mahoney, Founder and CTO of InfoNGEN, to discuss information 2.0.
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How five names in this year's rankings staged their turnarounds
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With the credit markets a disaster, buyouts can't continue to drive stock prices higher. That's one reason, of many, I think we're headed for an even bigger fall.(tags: stocks)
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this is not a time to panic. Give the market some credit. The major indices are still up on the year and are still well-within major bullish, multi-year up-trends...(tags: stocks)
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(tags: stocks)
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Our goal is to provide The Odds Maker and the Automated Trading Bot (ATB) at no charge to pilot participants with an optionsXpress brokerage account for 3 months.(tags: trading trade-ideas)
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When committing a crime, choose your location wisely. Get caught in the wrong state, and you’ll have to deal with Corrections Corp. of America (CXW)(tags: stocks)
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Does the end of the Uptick Rule spell Doom for the VIX? Yes, according to Rob Schumacher of Van Kampen Investments.
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Risk appetite for anything less than AAA -- and that includes the ABX stretched definition of AAA (see WTF is going on in the ABX Markets?) -- has waned considerably.
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Overall, leveraged ETFs are a useful new vehicle for the right strategy and for an investor who performs his or her due diligence.
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Lenders are getting more tightfisted as more tough times loom for housing
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Some analysts advise leavening your portfolio with bigger banks that are ripe for an uptick. But don't overlook deals in beaten-down brokerages(tags: stocks)
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Sure, the tech company showed strong revenue growth. But its profit potential is what really matters
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Interest rates on about $1 trillion in adjustable-rate mortgages are headed up by the year's end. If your loan is among them, this five-step game plan might save you a lot of grief.
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Stocks.us lets you know what’s happening now in the US stock market.(tags: stocks)
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But as scary as it may seem, share prices have dropped enough that the bad news is likely priced into them.
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The best of us, from pro athletes to top hedge fund managers, must learn to shake off inevitable defeat.
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Police raided his luxurious Mexico City home in March, carting off what they said was $207 million, most of it in $100 bills (see the picture!) that had been stashed behind false walls and in closets.
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we’ve done the work for you and narrowed it down to 100 highly informative sites. Take a look at what they have to say and see how they can help you grow your business.
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templatr is a Template Generator, with which you can create an individual design for your Blog online.
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Using idioms does not always lead to the most readable code, but they can provide convenient shortcuts in many situations.
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This is Mahalo's page featuring up-to-date Stock Market data.(tags: stocks)
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Thursday bloodletting inflicted damage, but long-term uptrend intact(tags: stocks technicalanalysis)
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Subprime could create global crisis, economist says World is one "Bear-like' event away from liquidity freeze, Zandi warns :-o
OK, you folks know how this goes:
- another one of *those* days with every sector and index down
- all-time record volume on the downside vs. lower volume rallies
- moving averages broken all over the place
- March trendlines broken again
- subprime & credit woes
- financials looking like death
- T2108 under 20 (closed at 18.86)
- my blog getting tons of hits from people searching for a list of inverse (bear) ETFs and the uptick rule changes... (please don't initiate shorts right here!)
That last item has me concerned for people's financial well being once again, just like on June 7th. That day I got a lot of similar search hits and I expressed my concern about people chasing the market down. Sure enough the market turned on a dime and brought pain to the late-coming bears. I'm not saying that we can't go lower here , just that the risk/reward in the short term is better to the upside. Just like I wouldn't be rushing to buy after the fifth day of a rally I certainly won't initiate shorts with the S&P down 4.5% in 5 days. On to the charts...
Some may have thought I was crazy last week when I was talking about the indices moving toward the bottom of their their channels. Well, here we are -- the Nasdaq actually broke under its channel today. Note that it's also back under it's June highs. Bulls have to be a little concerned about what's now a failed breakout, the break of the 50-day moving average and the March uptrend.
The Nasdaq-100 / QQQQ was notably stronger than the rest of the market today. The Qs actually went green early in the day. With names like RIMM, AMZN (disclosure: I'm long AAPL in my long term account) and AAPL in that index it's no wonder that it's showing relative strength. The question is can it hold firm or will the rest of the market drag it down. If things get really bad and, say, some hedge funds start blowing up everything will get sold.
Continue reading July 26th Recap: Technical Damage on Record Volume.
So I was looking through my charts today and was shocked when I got to T2108 (Worden's indicator for % of NYSE stocks above their 40-day moving averages). While the indices have been steadily hitting new highs (notably excluding the Russell 2000 and financials) T2108 has been trending down. In other words, a greater percentage of NYSE stocks were slipping below their 40-day moving average as the indices were climbing to new highs. Bulls might choose to call that a stock picker's market. Others, like me, refer to it as unhealthy.
Here are charts of T2108 and the NYSE Composite Index:
Aside from the glaring negative divergence in T2108 what really struck me about T2108's chart is that it's already below its *magical* 20. As I've posted many times before, 20 on T2108 is typically a sign a of a decent bottom and a buy signal. Usually T2108 hits 20 after an ugly slide and the indices are at multi-month lows. This time we're just off of fresh multi-year and all-time highs on many indices. My gut tells me that there's still a lot of air under the indices but T2108 indicates that we're near a bottom. Interesting times...
Note: Non-Worden subscribers may want to look at similar indicators at StockCharts.com, like $SPXA50R, $NYA50R and $NAA50R.
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Is Big Brother watching us? Only with the help of FLIR Systems Inc. (FLIR)(tags: stocks)
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What is the inter-relationship between Housing, LBOs & Stock Buybacks? Last month, I noted 6 reasons why rising yields were a threat to equity prices...
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VeriSign Inc. (VRSN) protects you on the internet, and fills your wallet on the exchange.(tags: stocks)
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If you need a great, memorable, easy to pronounce domain name that EXACTLY describes what your website is all about - you are in the right place. This is what we do. We find available domain names that are descriptive, concise and are easily remembered.
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I swear I remember seeing CFC's CEO on CNBC several weeks ago laughing off the subprime woes. Ha!(tags: stocks)
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CEO said 'no one saw the deterioration of real estate values coming.' Really? Get the *%$! out of here!
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A contrarian's view: Houses don't appreciate any faster than the level of inflation over the long term, so forget about buying a home and put your savings into stocks.
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If you want to know why you don’t have enough money, the first question to ask yourself is how much time do you spend watching TV? It’s probably a lot more than you ever realised.
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there are few discussions in the trading literature about traders as entrepreneurs--and how the challenges that face traders are similar to those that confront business founders.
Somebody at CNBC has decided to hype the fact that Apple's (AAPL) $8.81 drop today is the worst one-day decline since autumn 2000. I guess that's true if you're looking at points but I'd argue that you should look at percentages. Alternatively, one could look at market cap. Based on that measure they certainly did lose a lot of capitalization today -- about $7 billion. But even using market cap isn't really a fair comparison since Apple Inc. is so much bigger than it's ever been. Most normal fluctuations these days are going to be bigger moves than in years past.
For my money, I'll stick with doing percentage based comparisons. As I've said many a time, percentages are the way to go if you want to make fair and reasonable comparisons. The simple point comparisons make good headlines for mainstream media when they write things like "Dow Makes Quickest Ever 1,000 Point Move" or "Biggest One-Day Decline in Apple in 7 Years" but beyond that, they're pointless. Just by eyeballing Apple's chart I noticed several declines which were larger than today's:
- -17.13% on July 18, 2001
- -15% on June 19, 2002
- -12.43% on July 17, 2002
- -9.21% on April 14, 2005
- -7.08% on November 7, 2002
- -6.33% on February 6, 2006
- -6.29% on October 16, 2003
- -6.19% on January 18, 2007
Today's $8.81 drop was only a 6.13% loss. To me, losing 15% or even 6.19% of my money is worse than losing 6.13% of my money but that's just me.
-
When the Dow broke 14k, Wallstrip decided to join the Free Hugs campaign the only way we know how.
-
And they say there's no Plunge Protection Team (PPT)!
-
Big threats are being ignored as investors celebrate the stock market's latest milestone. We haven't seen such arrogance since the heady days of 1999 and 2000.(tags: stocks)
-
*Something* tells me that Howard didn't like that earlier Fleckenstein article I linked to. :-)(tags: stocks)
-
Jeff Neal concludes his chat with the co-author of The Trading Athlete, who is also the columnist "Head Coach" for Trader Monthly Magazine.(tags: trading Psychology)
-
(tags: trading)
-
Jeff Bezos loves to "kerfuffle" Wall Street. That's the word he uses to describe what he does to critics who can't fathom how he built a multibillion-dollar company without turning a profit for eight years. (discl. - I'm long AMZN)
-
A look at the weekly charts of the major indices(tags: stocks)
-
You can't win the game if you don't stay in the game. When markets change their trends and movement, give yourself time to adapt. Overtrading a volatile market without a good feel for what's happening is a sure path to ruin
-
Investors need to know that there is a reason for the decline in share price. It just might not be an obvious reason.
-
David Henderson, editor of the Concise Encyclopedia of Economics and a research fellow at Stanford's Hoover Institution, talks with EconTalk host Russ Roberts about when and why economists disagree.
-
This week, Howard pines for a world where peace and prosperity are just over the Verizon.(tags: stocks)
-
“THE BROAD MARKET IS WAY OFF its new highs, but according to one sentiment indicator of investor interest in initial public offerings, it still has plenty of room to run.
-
Financing terms for hedge funds are being tightened and this is forcing a further deleveraging of risk across global markets...
-
It was a wild and crazy week and several of these bloggers can give you an idea, a recap or a breakdown of what actually happened.(tags: stocks)
-
This drop feels catastrophic, but the long overdue pullback will soon present a good buying opportunity(tags: stocks)
-
The huge swings in the Dow are giving investors pause. But taking your money out of the market now could be the gravest mistake of all.
-
this week’s rout in global equity markets apparently means just one thing to those who’ve been blithely going along for the bullish ride: buying opportunity. Consider the following:
-
Opportunities will come from this bust, not from bottom picking, but from watching strength. It may not show tomorrow, or next month, but it will show.
-
Behind every good janitor, is a good maintenance and supply company: ABM Industries Inc. (ABM)(tags: stocks)
-
The Internal Revenue Service has lost a lawyer's challenge in front of a jury to prove a constitutional foundation for the nation's income tax, and the victorious attorney now is setting his sights higher.
-
573,397 properties across the nation reported some sort of foreclosure activity in the first half of this year, including receiving notices of default, auction sale notices or being repossessed by lenders
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