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Posts Tagged ‘stock investing’

WALL STREET CRAPS STOCK MARKET STRATEGY JULY 31, 2018

July 31st, 2018 Comments off

craps front coverSTOCK MARKET STRATEGY FOR JULY 31, 2018: The market has dropped quickly into a semi-oversold condition. This would suggest that a bounce could occur in the next day or two. But after the bounce should come another wave down into a better buying opportunity. Be ready in case the market presents the right conditions for a tradable rally at the end of this week or the beginning to next week.

Key underlying short-term timing indicators show the following:

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THE BOTTOM LINE: The Fear/Greed Index is currently reading 64 or “Greed.” I’m still awaiting for a quick move into the “Extremely Fear” area in order to feel like the conditions are ripe for a more sustainable rally. So, we continue to wait for a better trading opportunity to the upside.

WALL STREET CRAPS STOCK MARKET STRATEGY JULY 23, 2018

July 22nd, 2018 Comments off

craps front coverSTOCK MARKET STRATEGY FOR JULY 23, 2018: The stock market has been hovering in a trading range for several weeks now. This choppy action presents only short-term trading opportunities. But rallies from oversold conditions have been producing profitable moves for nimble traders. With that in mind, I have selected what I consider as the four more reliable technical indicators when used together for short-term trading. This change is designed to make decisions easier to make with the understanding that only small & short-term trading positions are being maintained.

Key underlying short-term timing indicators show the following:

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THE BOTTOM LINE: The market appears to be at a short-term top and it is time to step aside for now. Another short-term upside set-up will take at least another week to develop.

WALL STREET CRAPS STOCK MARKET OBSERVATIONS FOR AUGUST 2, 2014

August 2nd, 2014 Comments off

craps front coverSTOCK MARKET OBSERVATIONS FOR August 2, 2014: The stock market experienced a broad correction last week that took most oscillators to deep “oversold” readings. We could be just one day away from a good bounce right here. But at the same time, there is the danger of going into a “flash crash” sometime in the next couple of weeks. While a small amount can be risked for a sharp short-term bounce, I am more inclined to let the market run its course to the downside with a better bounce off the 200-day moving averages of the major indices. That would require 200 more points to the downside in the Dow Jones Industrial Average.

Key underlying market indicators show the following:

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My advice for traders and investors is be on the lookout for a “flash crash” scenario in the next couple of weeks. We may get a golden opportunity to buy soon if you’re out of the market now and in cash. But the market could experience sharp swings in either direction. My guess is that August 2014 will be the month of an important trading bottom.

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WALL STREET CRAPS STOCK MARKET OBSERVATIONS FOR January 21, 2014

January 21st, 2014 Comments off

craps front coverSTOCK MARKET OBSERVATIONS FOR January 21, 2014: The stock market appears to be on the last leg up of its long bullish trend. The rally of the past week has been narrow in breadth which suggests that the next closing high for the Dow Jones Industrial Average will be its last. Look for strength during this coming week as an opportunity to sell or even go short as a speculation. The overly bullish sentiment of the past few months has set the market up for a possible fall of some significance. If anything, this is not a time to add to new long equity positions.

Key underlying market indicators show the following

My advice for traders and investors is to remain of the sidelines and let the market set itself up for a possible top in the near term. The majority of internal indicators have  moved into neutral readings while the Dow looks like it wants to challenge the old highs. This is usually a sign of an important top and something that investors want to avoid being long equities. Instead, this is one of those times where being in cash is probably the wisest place to be for now.

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Note: The behavior of a big Dow stock like General Electric since the last day of 2013 suggests that it needs to correct back to its 200-day moving average.