We actually came with in a Gnat's ass of hitting 70 degree's here in Beaver, UT, yesterday, and it's snowing this morning, HAHAHAHAHAHAHAHAHA, our weather is almost, ALMOST, as wild as the Markets!!!! I took the picture just before publishing the post, I don't exactly consider 3" to be "light" snow as the weather gadget on the right side is calling it, those readings are actually for Cedar City, as the gadget doesn't know we exist, the temperature was right about 20 degrees when I took the shot. Wad ever, I don't mind the white stuff, but it's the quagmire it creates when it melts, which it will do right away when the sun comes back out.
The A/D's are just off the charts, leading us higher and crushing the level from the prior highs before the recent pull back, no Problemo's here!
I forget why I did these two charts, hahahahaha, I did them yesterday but got involved with stuff at the Ranch, and now I can't remember what it was this morning!!?? Wad ever, the current chart of the SPY is at the top, and I guess it shows the difference in the Money flows between the rise off of the November bottom as compared to the readings off the bottom of the last pull back, the Chalkin MF is actually negative right now VS the nice readings it had coming out of November, and the MFI is taking a lazy move higher VS the sharp spike last November.
The bottom chart shows the readings leading into the April pull back last year, sigh, I guess I'm just looking at what I would want to see as far as a hint of a pull back starting THIS April, with the negative divergences that developed.
That's a funny looking series of narrow range bars on the top chart the last three days, as you would naturally expect the shorts to put up a fit as we approach the double top prior to the recent pull back, if Da Boyz are going to crush'em what they will do is gap us OVER that February high in the futures tonight and tomorrow morning, although in a "normal" market you would probably see the selling we got late Friday continue into the open tomorrow, but of course, we ain't "normal". On a personal basis I've been screwing around with the IWM on the weekly options, it's broken to all time highs on all our problems being solved since the prior all time highs in 07, you know, when we collapsed because of high oil prices, a housing crisis that is now in a double dip, and a financial crisis that Dodd and Franks solved by making the TBTF Wall Street firms even BIGGER!!!
The EEM, at the bottom, is not at all time highs, YET, but it's pretty close, the prior high was around $52.08, this thing started pulling back in November when India and China started getting worried about inflation, both energy and food prices, and reached a low a couple of weeks ago off of the turmoil in the Middle East when citizens were over throwing their governments due to their being a little upset over starving to death, it's completely covered the spectrum from those lows to new highs in the last two weeks because oil went from $82.50 last November to over $108, where it closed on Friday, and all their food problems have been solved as Corn and some Udder grains went LIMIT UP a couple of times last week, hahahahahahahahaa, of course, I understand the rise, as the destruction caused by the riots AND our bombing tactics AND the Japan destruction are going to create just ALL kinds of jobs over there, woooooooo hooooooo!!! Just think, if we will just bomb the shit out of a lot more countries over there their GDP's will just go through the ROOF!!!
The "markets" can be a funny animal, they can.
If you use the Stocks above their 50 DMA as over bought and over sold we aren't really that over bought, as shown on the top chart, and have room to the upside, BeSpoke actually has a nice take on this "indicator",
http://www.bespokeinvest.com/. The bottom chart is a Momentum indicator from Bar Charts that uses the UP/DOWN volume and some other "stuff", it had a big surge eight days ago, but has been basically FLAT during the rally the last seven days, and actually turned DOWN the last two days, hhhhhmmmmm, I don't know what to make of it, other than the rally the last week has been on slowing Momentum.
The two lists above are the winners and loser's over the last month in the various Industries, any thing with "OIL" in it's name has been leading the pack, and in a surprise to me, any thing with "MINING" in it's name has been the big loser, so I guess if you play a two way hedge you would buy the leaders in the Oil industry and short the worst loser in the Mining industry, or maybe do some thing like buy XOM and short FCX, or wad ever.
I know what's going on with CSCO, I mean, it's acting totally different that the last few times they sold it after it meeced it's earnings, as it's continued to go down, rather than have the sucker rally. If you want to take a shot it has a POSITIVE divergence on the MACD at the bottom, and of course your R/R is EXTREMELY tight as I probably wouldn't want to stick around under $17, it starts getting into an Air Pocket under that number that goes back to when it came off the bottom in March of 09', and it won't have much support all the way down to the $14 "area".
Now Inkey, INTC, at the top, well, I have NO idea what's going on with that thing, if you look over to the left it's actually into an Air Pocket, or VOID, that could provide NO support for it until the $18.50 "area" it hit last October, and after that the next support is the EXTREMELY strong support of $17.50 that it hit at the August lows of last year, which, personally, is where I'd be a buyer. I actually know a guy whose whole trading strategy is to buy INTC under $20 and sell it like at $22, which, it will undoubtedly do it again, BUT, I get the feeling you might be able to pick it up at those lower prices. I love the outfit, and I'm going to be keeping my eye on it.
