Today was one of those days when you can clearly see how markets are easily manipulated, but SEC stays out of the way of these well known crooks......
The whole world knows about European financial exposure of some US banks, a fact which has kept many bank stocks near lows since 2008.....
Last hour push by these crooks with their relentless selling of index took a major toll in indices, after it was over in 60 minutes indices were down 1.58% to 1.73%.....
S&P 500 closed @ 1236.91, still comfortably above 1225 support.
RSI @ 50.31, still technically healthy range...
Internals of the market were as follows :
Down volume led by 5.58 to 1 in NYSE & 3.47 to 1 in Nasdaq
Declining stocks led by 3.2 to 1 in NYSE & 2.89 to 1 in Nasdaq
IF you look @ these ratios, it is clear that broad market did not reflect index selling......ratios were pretty mild especially in Nasdaq.......
VIX UP 7.34% @ 33.51..again relatively tame
Oil closed @ $102.59, is deeply overbought on manipulated issue of Iran attack.
Gold closed @ $1774.30.....IF Iran is being attacked Gold will be @ $2500 per Oz
In my portfolio :
Added 70% BIDU @ $139.54...before the big selling?
Portfolio is BIDU,LVS,PCLN,RVBD
$ weighting of my portfolio is :
PCLN 35.80%
RVBD 26.00%
LVS 22.89%
BIDU 15.31%
As you can see i am mostly in Tech, which is expected to outperform in Q4 & Q1.
US economy showing "major improvement", thus overweight in stocks are highly recommended, except for financials which is facing many challenges.
AH ER were greeted as follows:
AMAT Down 2.49%
NTAP Down 7.00%
AH Futures Mixed
AH Asian Markets Mixed
AH Oil & Gold Down
BLOG does NOT give buy or sell.
Saleem
17 comments:
Good morning SALEEM
looks like another red opening
I am hopping that your tech approach works for you...
PCLN sure pops a lot! APPLE is down again
I would have thought that oils would be booming--not so
Best to all
Hi C,
Oil is extremely overbought, so be careful in short term.
PCLN is very much like AAPL..$ movement is significant but % wise is nothing.
Saleem
Hi All
I hear it from radio in my area, fund manager said people with 401k and ira should take advantage of the volatile market by buy low and sell high. When I hear this, I laugh, they must had kill all the retail and asked the one who still have something to give them a Christmas present
Hi Up,
Yes..all those management expense ratio in mutual funds are great bonus year round.....
IRA / 401K was created to support poor mutual fund industry....
Saleem
UP
Stay cool
this is one crazy market
All the pundits have secret agendas -Hint J Cramer, or CNBC
THis is why I love our blog sight --straight shooters all of us!!!!!!!
Nuff Said
SALEEM
On a personal note: How is your flu?? I did not get my shot this year--last year I had a mild reaction..
Hi C,
Its 9 days now & still suffereing...taking too long to subside......improvement of maybe 20% only.....
Saleem
Hey c,
This year my family received a nasal mist instead of a flu shot (surprisingly the nurse had the nasal mist queued up before we even discussed it). I was skeptical at first, but research has shown it is more effective due to the fact that it uses an attenuated virus instead of a dead one and absorption rates through the nose are still quite good. Maybe this is something to check out if the shot produced an adverse reaction?
Stocktrader
STOCKTRADER
My wife is very skeptical of flu shots since my reaction.
I will rethink my position on flu shots--The wife prefers me to get acupuncture as a help in healing sickness!
thanks
Hey c,
I am highly skeptical of most "medicines" for myself and my family. I have a Chemistry background so I like to understand the mechanisms of the medicine within the body prior to allowing it for use in my family. In general, I try to use as little medicine as possible because I think the body is the best defence mechanism, but sometimes they can not be avoided. I reluctantly get the flu vaccine, but do it to help protect my children.
Stocktrader
Saleem
What do you think of commodity sector?
Hi Up,
It is getting "oversold"...thus a good entry point......CLF is the-superstar.
Saleem
Saleem
Thank you for your input, market turn very ugly, everyone sees a triangle forming on spy. I think MM is breaking it to the downside so they could get cheap shares. If it is truth, we might be close near flat or even green
Hi Up,
Market looks very unhealthy again..breaking support.
Saleem
Saleem
We still have 50dma on spy. If we break that, then we are in trouble
Hey guys,
We could be in a situation now where the market continues to drop until Europeans take action? but then you wake up and futures are up 300 pts?
I can imagine it is difficult to be positioned if you have a short-term horizon because of light volumes, high volatility, and European headline risk in both directions.
This is a good time to watch for outperforming companies and look to buy or rotate into them as market conditions allow.
Stocktrader
Stocktrader,
What will be your recommendations? Thanks.
Michael
Hey Michael,
It is very difficult to game the market right now, but if I was trading for income still, I'd be out/short into the close and tomorrow as I don't expect any resolution prior to tomorrow morning--it seems more like a weekend discussion/possible solution scenario (and now the market dropped another 50 pts while writing this, so I don't know if the risk/reward is as favorable for shorts still). The "risk off" situation also does not bode well for CRM after the close.
Stocktrader
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