The stock market “enjoyed” its biggest rally in 4 years on the great news that the economy is worse than expected. The recovery has been postponed until never, allowing gamblers access to 0% dopium forever. Oil fell below $39/bbl, but that’s beside the point. Everyone covered their shorts on the news, so this shit show can roll over now…The S&P […]
When small-cap stocks are outperforming their large-cap brethren, it can be a sign of speculative excess in the market, and when the small stocks start going down …. a sign of a broader correction to come.We have seen signs of all these divergences leading up to the market’s most recent pull back. We’ve also seen major market averages break below […]
Back in 2001, Buffett said in an interview with Fortune Magazine that “the single best measure” of stock market valuation is by taking the total market cap (TMC) and dividing it by the total gross domestic product (GDP). Today, TMC is equal to 114.5% of total GDP.At the market top in 2007, just prior to a -54% crash in stocks, […]
Stock Market Dow Theory DivergenceStock-Markets / Stock Markets 2014Jan 12, 2014 – 06:02 PM GMTBy: Christopher_Quigley
I have told my students and mentoring clients that they are going to get a great lesson in the trading relevance of Dow Theory and technical analysis in the very near future.For the last 10 trading days (two calendar […]
