Monthly Archives September 2013

Pendulum Swing

The early Monday morning saw the S&P without a friend. However the erosion was contained and a rescue push was orchestrated to offset price deterioration. The market had a very heavy look to it but as of yet has not fallen with the heaviness that it portrays. The bonds have been able to probe above132 even though they have had to weather some storm sellers. The upside has had a ceiling that would be penetrated if we could close above 132 1/2. I was impressed with every bear raid was met with some buying presence. We approached the 1684 price area
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Outside Pressures from Syrian Crisis

Markets have a tendency to be influenced in different degrees. A person who has a sprained ankle is much more susceptible to an additional sprain situation than a completely healthy ankle. Similarly, the chronic or perhaps terminal health of the bond markets has raised rates. This is a contagion that will eventually spread to stocks. The stock market is vulnerable and will be affected by the degree of anxiety that influences will create. The Syrian crisis has reached prominence in a very short time frame. This is similar to another ankle sprain to an already stretched ligament weakened appendage. There
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Is the Market off the Juice?

The slow methodical rally last Monday pushed through resistance areas like a bulldozer in low gear. Not a typical type of action for a bullish move but rather a typical manipulative action of massive computers. The bonds were actually in a divergence as they were in the plus column as well as stocks. They did not allow a pullback to get us a good entrance for a long position. They were technically oversold in the short term with the 128 ’12 area being a major support. Each and every day I correlate the S&P with tick throughout the day. Tuesday the
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The Whipsaw

The holiday weekend showed that Syria is now a political tool. Congress is to vote on the situation rather than Obama taking the lead. It has delayed the process and the market responded with a holiday rally. However this influence will diminish as time goes forward. Therefore any rallies associated with Syria will probably be short lived. The situation with Russia could have more dramatic implications than any other situation of Obama’s presidential career. Putin has demanded proof of Syria using chemical weapons. It seems that Putin is trying to draw Obama into a gun fight. The market will not
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