This week’s Sunday Night Coffee post is similar to last week’s post. I’m carrying a long bias into the market this week. I see a lot of long setups and I am not seeing many good short candidates. There is some strong resistance coming which will at the very least cause the market to pause. [...]
I started looking at various market indexes this morning and wondered how it was possible that the stock market could be 50-60% off of its lows (but still 30% from its highs) with fake government unemployment numbers approaching 10% and real unemployment above 10%. In terms of failed institutions, we have lost Bear Stearns, Lehman [...]
I’m going to skip the market recap today. The big picture has not changed. The story is that dollar continues to drop and currency funds such as FXB and FXA are breaking out.
Shame on anyone that misses the breakout on IBB from this symmetrical triangle. This one is ripe. Could be a $12-15 move.
SEA [...]
Today was a solid loss for me. I noticed that the reduction in volatility seems to be reducing the beta of my junk long portfolio. My biggest gainer today was SKS up 22%. I had a few other junk longs up 10-15%. That sounds good, but when the VIX was over 40 or 50 a [...]