Markets on fire. ...... 16000 smashed .......17000 not that far away
Only problem the bigger the rise the greater the fall
So make the most of it while you can ...and keep an eye on the charts
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Markets on fire. ...... 16000 smashed .......17000 not that far away
Only problem the bigger the rise the greater the fall
So make the most of it while you can ...and keep an eye on the charts
Yes it's very difficult to reconcile all time stock market highs with the worlds current economic conditions - which seems to instruct that one shouldn't try to do so ;+)
And being in uncharted territory means there are no historical S/R zones. So we sailing off the edge of the world and only have Ben flying his untested prototype helicopter as the Search and Rescue
I'm thinking major resistance at 1815 based on http://www.sharetrader.co.nz/showthr...l=1#post428421 however no sign of that yet.
Monday marked the beginning of the 18th government shutdown in US history. For some perspective, today's chart plots the average S&P 500 performance for the 20 trading days (approximately one calendar month) before and 60 trading days (approximately 3 calendar months) after a government shutdown began. As today's chart illustrates, the stock market has tended to struggle prior to and during the initial three days following a government shutdown. Following this, the stock market has (on average) trended higher over the ensuing three months. One explanation for this particular average pattern is that the market abhors uncertainty. So as the shutdown approaches, investors fear for the worst. However, after the shutdown begins and investors notice that the economy continues to function coupled with the fact that the shutdown may be short-lived ultimately encourages a stock market rally as investors worst fears are not realized. It should be noted that today's chart is an average performance chart and that following the last 17 shutdowns, the stock market traded up 60 trading days after a shutdown on 10 out of 17 occasions (i.e. 58.8%) with the average shutdown lasting 6.4 calendar days.
http://www.chartoftheday.com/20131002.gif
http://www.chartoftheday.com/20131002.htm?H
Economic news not that good .....QE last longer ....market roars ahead
Oh well the rich get richer and the poor get poorer ......that's the way it is meant to be .....Until it all turns to custard. .big time
What can one do ......just play the game in this stupid and evil world
History, Statistics, lies and more lies...................Sell in May and go away? Historically speaking yes ...but, not this year. The S&P 500 was up +11.2% in the last six months.
Historically November, December and January are the best months to be invested in the S&P 500............Hmmmmmmm
Bugger ....bugger. ....economy healthier than we thought .....bugger. ....markets weaken
It's not going to plan ....what a bugger
That Janet doing well eh ......keeping the merry go round going rond and round longer
S&P at 1800 ....Hecht how she going it'll be 1900 by Xmas
And all the time the economy not getting much better but who cares about that
Two months ago in post #1448 I suggested 1815 might be a resistance level. As we have achieved that - close enough - I have closed out the long position I had in the Nasdaq. Looking a bit extended for the present, divergence on RSI, and a wedgish shape forming
Definitely financials and technological stocks are over valued now. Even in technology stocks in frontier and emerging world are over valued now. We may see correction in technology stocks sooner than later. We should avoid overvalued markets, sectors, commodities, currencies and other assets and it is time to go behind undervalued out of favour sectors, stocks, commodities, and currencies. For example some commodity stocks are cheaper than commodities now. Both NZD and AUD are over valued now. We may see sell off in stocks during next six months. In short we can see some bubble in few sectors.
I believe we may see some sell-off in overvalued markets sooner than later.
I will take the funds from selling some shares and redeploy them into the new stocks I have researched and written about.
In any market be it developed, emerging or frontier market we need seasonal adjustments to our portfolios. I believe this is the time to readjust portfolios, do some rotation and identity next winners in the commodity, stock and currency markets globally. Globally some markets, sectors, commodities and currencies are under valued. Similarly some markets, some sectors, commodities and currencies are over valued.
We may have correction in some overvalued markets during next six months. It is time to identify next winners.
My ideas are not a recommendation to either buy or sell any security or currency. Please do your own research prior to making any investment decisions.