Tax Season is Here! Save 15% on H&R Block Online
iconAll times are GMT -4. The time now is 09:26 AM. | Search:

» StockRants Stock Forum » General Forums » Traders Lounge » One last party ...



Reply
 
Thread Tools Search this Thread
Old 09-04-2010, 10:49 AM   Nav to Top  #1
likesmoney
VIP Trader
 
likesmoney's Avatar
 
Join Date: Sep 2009
Location: New Yorkville
Posts: 556
Favorites: NUGT, SIL, DGP
Rep Power: 182
Reputation: 722
likesmoney is a splendid one to beholdlikesmoney is a splendid one to beholdlikesmoney is a splendid one to beholdlikesmoney is a splendid one to beholdlikesmoney is a splendid one to beholdlikesmoney is a splendid one to beholdlikesmoney is a splendid one to behold
Did I help?
Default One last party ...

It certainly looks like stocks began the new daily cycle last Friday, with the Dow rallying 5.17% so far.

The daily cycle in stocks typically runs 30-40 days, taking us to the end of October. If the daily cycle gets a little stretched due to the influence of elections and increased liquidity, the daily cycle could run right through the November elections.

I can see where stocks will surpass the August high's, and the May pivot and make a run to the April high's.

I think that the big boys have positioned themselves for one more run up to the fall elections, where they will sell into strength as stocks run up to the April highs.

There are still major headwinds facing the markets:

The Greek sovereign dept crisis has not gotten better, but currently it is conveniently ignored by the media.







New and existing homes sales are falling and it does not look to get better anytime soon.









The banking sector is still hurting and has not turned the corner






Until there are more jobs, the economy will continue to struggle.

Beginning around month 21, there was a slight bump up in employment to month 29, which was May and then employment starting to fall again.

There was a massive amount of stimulus and only meager jobs gains as a result, which are now fading which signals more troubling times ahead.








And what would be the Fed's solution ... well if the only tool in your tool box is a hammer -- then all problems look like a nail.

Q.E. 2 -- but if Q.E. didn't fix things the first time, why would more work the second time?

So, it looks like stocks will have one last party leading up to the fall elections, then it will be time to pay the piper.


Happy trading
likesmoney is offline   Rate this post Yes | No Reply With Quote
Old 09-14-2010, 03:16 PM   Nav to Top  #2
maduc09
Junior Trader
 
maduc09's Avatar
 
Join Date: Jun 2010
Location: Cincinnati
Posts: 5
Favorites: aapl, neu, gld
Rep Power: 123
Reputation: 10
maduc09 is on a distinguished road
Default Wow

Hey I really appreciate all that information. It's a lot to digest but I really appreciate what you've put here. Put this in my evernotes and i'll be referring to it for the next few days.
maduc09 is offline   Rate this post Yes | No Reply With Quote
Reply


Thread Tools Search this Thread
Search this Thread:

Advanced Search

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is On