Gold Approaches A Record High
Gold & Silver Explode On Tuesday, gold, the S&P 500, bonds, and the VIX rallied. It was a bonanza. Europe passed a $2 trillion COVID-19 stimulus package which helped gold and silver explode higher. As you can see from the chart below, on Tuesday afternoon, the GLD had a 14 day RSI of 71.55 signaling…
Consumer Spending Weak In 2nd Half Of July
Same Store Sales Growth Falls Every common consumer sentiment indicator shows weakness in July. Therefore, it’s no surprise that Redbook same store sales growth in the week of July 18th was -7.5% which fell from last week’s -5.5%. Some consumers likely are pulling back spending in anticipation of their $600 weekly unemployment checks going away. Congress…
Stocks Sell while Silver Surges
The big news of today's session was Silver (SLV and /SI) surging over 6% on a breakout event, while Gold (GLD and /GC) rallied along with Crude Oil (/CL). However, over in the stock market, Energy and Financial stocks rallied while major tech stocks sold-off today, creating a "tale of two markets" between the /NQ…
Tech Bubble Returns On Monday: Amazon Rises 8%
Huge Sector Rotation Back To Momentum Monday had a massive swing back to the momentum tech stocks that were hurt last week, which is why last week’s decline was meaningless. Just because we had bubble-like activity followed by a decline doesn’t mean the rally is over. That’s what makes market timing difficult. If we could…
Traders Are Very Confident In The Government
Stimulus Debate Starts The stock market is anticipating a stimulus passing. This situation is a bit different from typical political expectations because the market is 100% certain one will pass. If you just looked at the tape, you wouldn’t even realize the economy could implode without a stimulus. The stock market is pricing in a…
A Monster Divergence in the Markets!
Five stocks in the NASDAQ continue to pump the overall market higher. Today the QQQ in one day went straight to the edge of its expected move for the week. Here's what to look for the rest of the week and the big opportunities we could get late in the week…
Momentum Tech Stocks Have A Rough Week
Another Miss Of The June High It’s tough to say if it matters that the S&P 500 keeps missing surpassing the June 8th high. Every day that it doesn’t make a new high, the more important that high becomes. And the market was up 0.28% which put it just 24 basis points away from the high.…
Weak Consumer & Labor Market Continues
When Will COVID-19 Disruption End? Friday had yet another record number of COVID-19 cases, but we are on the precipice of strong improvement by the end of July. Specifically, there were 74,987 new cases which is obviously terrible. There were 946 new deaths which pushed the 7 day average up from 761 to 775. Good…
Can Markets Hold it together through Earnings?
SP500 sees docile moves as Nasdaq continues to have tantrums! Which sectors are driving trade?--Tech is lagging--Financials are leading--QQQ vs IWM vs SPY--ETF sector comparison VIX is lying on the floor but not dead ! Metals are inflationary or is this a protective trade? Earnings and Earnings trades--Big Banks say the worst is yet to…
Fund Managers Overly Bullish & Netflix Disappoints
No New Record High Again S&P 500 once again didn’t surpass its June 8th high as some have been predicting it wouldn’t. There have been a few nights where the futures market suggested a new high was coming, but the cash session has yet to deliver. While flirting with this level, it simultaneously flirts with going…