Futures were ramping last night on the heels of the news of the Irish accepting a bailout to the tune of 100B Euros- and the EURO was smoking and the dollar dipping. This morning not so much as the futures have flipped to flat and the dollar back to near flat.
Gold/Silver/Crude all up a hair after being up significantly over night.
RSI 2 levels over bought and up near 80- on most major indexes with the RUT higher and the DJIA lower.
Lots of folks take the short week off but the Quant has some interesting stats on this week and the Monday after.
SAC Capital in the cross hairs - fine line between great info and inside info - to be determined.
A strong holiday season - hmmm.
Debunking the ETF issues- probably.
Putbacks now could get some attention.
Finally- that great options trader Lenny back in the news as some folks stop at nothing when it comes to repossessing your stuff.
Lots of important stuff happening today - beatles, the Prince, Rangel and probably even more stuff but I am going to focus on the crushing of the equity markets.
As I type - SPX -21, DJIA -205 and the NAZ -45.
Internals as ugly as they get:
NYSE 2655 net losers;
RSI 2 levels - most major indexes @/near 2;
10 year note unchanged at 2.911%;
VIX +13% @ 22.8 and about 17% above the SMA 10;
SPX about 10 points above the SMA 50 @1165.
Gold/commodities crushed as the dollar rips higher +.9% on the DXY @79.39- the highest level since the end of September.
I bought some stuff higher and hanging on for now as I suspect a bounce coming shortly - although a close today at /near the lows would not surprise- so may add at end of day.
Equities are trading a bit higher led by gaming, banks, brokers, trannies and biotech- lagging sectors include internets, nat gas, homies, emerging market bonds and semis.
Gold up $3 and silver higher by .6% at $26.21;
Oil up 50 cents at 85.35;
NYSE 730 net winners;
WINNERS- F MS DELL LOW CL RF WFC NSC HPQ JOYG WYNN VRTX LINTA CTAS;
LOSERS AMZN EXPE MRVL QCOM PCLN XLN ERTS BIDU UNH DIS EMC WAG;
Still looks to be buy the dip time but looking for a rally that lasts more than a morning-
EARLY QE LOOK
Equities took a drubbing last week on the heels of a scare out of China that they were nipping growth in the bud- probably not going to happen.
This morning - futures are moving up as the dollar is down - and the markets are a bit over sold- in the short term:
RSI 2 readings as follows:
VIX- not telling much as it is about 6% above the SMA 10.
Bought some USO on Friday and looking to add more longs today as I suspect equities will rally into the end of the year- lots of folks under performing whose main hope is to buy dips - and it just dipped.
Just read the WSJ post by Alan Blinder on QE2- liked it and agree with it - he makes lots of good sense.
Equities have ramped higher this morning on the heels of good econ news out of China and an up beat ISM number reported at 10.00 AM EST.
SPX +10.6, NAZ +20 and the DJIA +105.
Strongest sectors- gaming, emerging markets, oil service, reits and real estate while metals, bonds, brokers, retail and biotech/drugs lag.
NYSE - 1760 net green;
NDX - 73/25;
VIX down 1% at 21;
Gold down $7 at 1353;
Crude up almost $2 at $83.25.
Equity winners- APOL WYNN PCAR INTC NWSA BHI RTN OXY GILD EMC NSC MSFT;
Equity losers- AVP AMZN TXN WFC ABT USB VRSN FSLR ADSK SPLS FLIR YHOO;
RSI 2 - levels above 90 on most major indexes;
Still expecting a tag of the SPXM 1200 level - and maybe a pullback from there later in the week as Bernancke and others hit the front page- For today buying the pullbacks probably the best strategy.
BACK TO IT
Equities opened up lower but have made a nice comeback led by the NAZ/NDX - SPX -4.8, NAZ -5 and DJIA -55- the DJIA has been leading of late but not today.
Markets in a nice uptrend as witnessed by the simple chart above - and above all significant moving averages.
Strongest sectors- gaming, ags, real estate, bonds, semis, reits and banks while metals, energy, emerging markets, trannies and defense lags.
NYSE- 1100 net losers;
VIX 19.5 and up about 3%;
Ten year bond- up a hair with rates down at 2.378%;
Gold down $6 at 1349 while silver is down 13 cents at 23.18;
Winners- SBUX CTXS QGEN WYNN CHKP LRCX LLTC AVP AXP GE AA BAC QCOM MS;
Losers- VZ SLB NSC OXHY FDX FAST EXPE ERTS URBN MICC JOYG BHP CNQ DIS WMT;
Markets have bounced since the typing began with the NAZ going green and the SPX down less than 2 points- expecting the dippers to buy and a nice rally into the end of year with dips being quickly bought -
Sloppy day for the equity markets as the SPX is off about 4, NAZ -8.5 and the DJIA -22 at about 12.45 eastern time.
Strongest sectors- gaming, bonds, trannies and emerging market bonds- laggards- nat gas, reits, real estate, defense, banks and biotech.
NYSE internals- 1235/1720;
VIX- higher by 4% at about 22.6 and about 2% above the SMA 10;
Gold- unchanged near 1299;
10 year bond - 2.52% with the TLT up about 1.6%;
A pretty ho hum day as the market consolidates from the big ramp on Friday- looking for a move higher later in the week - seems like folks will want to to goose in from of month/quarter end-
Animal spirits out this morning as David Tepper - pumps up the market with his theory - economy strengthens - equities go up - economy weakens and FED does QE - equities go up- so his declaration of no risk to owning equities and another - tidbit from him - if the SPX goes to 1000- I will be 100% in equities - OK - he has a great record so I understand the ramp.
At 11.30 Eastern time- SPX +21 @1146 - probably finds lots of sellers at if/when 1150- NAZ +44 @2371 and the DJIA +180 @10840.
Strongest sectors- gaming, semis, oil service, homies, internets and brokers while nat gas, bonds, metals, junk and ags lag.
NYSE- 2070 net winners;
VIX- down 8.5% at 21.8 and a bit below the SMA 10;
Gold - up $3 at 1297;
Silver +1.2% at 21.4;
10 year Bond - rates flying higher at a whole 2.617%
RSI 2 levels as follows:
Pretty interesting that with this ramp this morning we still aren't near way over bought levels on major indexes - also expecting a ramp later in the day with a close at/near the highs with SPX 1150 well within sights.
Equities are trading higher along with bonds gold and the EURO- interesting day as the risk trade looks to be on -
The SPX is trading about 5 points below the magic 1130 level which everyone is looking at as the top of the range in this range bound market. EWA/EWC out performing and up about 1% for the day.
Strong sectors- metals, retail, semis, drugs and tech while nat gas, banks, brokers, homies and gaming lags.
VIX- flat near the 21 level;
Gold has broken out to $1,275 and is at all time highs;
Ten year rate moving down and yielding a big 2.68%- TLT +.6%;
RSI 2 levels at/near 97 on most major indexes - so with the over bought levels and the top of the range in the here and now -and with financials and energy lagging - probably time to take stuff off or sell some calls / buy some puts -
Equities finished the day near the highs with the SPX +12 at 1122 and the NAZ +43 at 2286.
Some good news late in the day as MSFT rose on the heels of news of a debt issuance and a stock buyback or a dividend increase- the stocks was +5.74% on the day and was strong out of the gate.
NDX with 92/8 on the internals;
NYSE 1414 net winners;
VIX closed at 21.21 and about 10% below the SMA 10;
RSI 2 levels on most major indexes way overbought at 95+;
Interesting news on the bond front as rates on the 10 year dipped to 2.741% and the TLT was higher by .66% at 103.
Bottom line equities way overbought but have now moved above all the significant moving averages - so looking for a little pull back but also looking for it to be a buying opportunity. Of course the trading range looks to still be 1040/1130- and we are now testing the upper end of that range- double dip anyone?
Equity markets are a tad higher this morning with the SPX +3 and the NAZ +2.5.
Strongest sectors- energy, gaming, retail, biotech, defense and small caps while semis, bonds, tech and brokers lag.
NYSE- 970 net winners;
NAZ- 500 net winners;
10 year bond - 2.797%;
Gold - up $2 at 1247 while silver is almost $20;
The SPX is trading above the SMA 50 and 100 and approaching the SMA 200 at about 1115- not the over bought RSI readings on most major equity indexes - at /near 85;
Looking for a choppy day and may add to some energy holdings - COP CVX XLE -
At noon equities are near the flat line with the exception of the NAZ/NDX which are down about .5% -
Strongest sectors- oil service, drugs, consumers, energy, banks and real estate while gaming, semis, tech, metals, homies and small caps lag.
NYSE- 250 net losers;
NAZ- 750 net losers;
NDX - 23/75;
NDX - 23/75;
VIX - 25.4 flat on the day and trading near the SMA 10;
GOLD- down $3 at 1225;
10 year Note- rate up a hair at 2.614%;
The Baltic Dry index may be hinting at something;
Barry on housing;
Equities were strong at the open with the DJIA up by about 80 points but quickly sold off as tech led lower- No clue for any particular reason but it just did-
Looking for a choppy market for the balance of the day with a little bias to the upside- and a little interesting how European markets look to be closing to the upside;