Dow 18,000 Next as Twitter, Investors, Advisors and Media Root for Bears
Small Caps Play Catch Up in BIG Way When we last left off, the major stock market indices were all playing nicely together except for the small cap Russell 2000 which had seen a full fledged 10% correction, but was beginning to bounce. The performance of that one index was a key ingredient to the bears’ negative stance on the market. At that time, here and on the blog, I dismissed the Russell’s warning and went so far as to […]
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Date: July 7, 2014
Squawk Box @ 6:05am Monday
Looking forward to joining Joe, Becky and Andrew at 6:05am on Monday discussing the Dow hitting my 17,000 target (18K is next), Thursday’s solid employment report and what’s in store for the second half of 2014. If you would like to be notified by email when a new post is made here, please sign up, HERE.
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Date: July 6, 2014
Tug O’ War Continues
Last week, I had the pleasure of joining the Squawk Box gang for some early morning Fed and market talk. It was a good discussion and I always enjoy when Joe leads the segment. At the end, he went off on a World Cup tangent but before cutting away, I had to throw out “Dow is going to 18,000”, which stopped that conversation dead in its tracks as the triumvirate quickly jumped on that. You can click here for the […]
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Date: June 23, 2014
Much Ado About Nothing from Yellen & Fed Today
My how time flies… It’s Fed decision day again with Janet Yellen set to announce another $10 billion cut from bond purchases, keeping the FOMC on pace to wind down QE Unlimited later this year. After the 2pm announcement, Ms. Yellen will head over to the always entertaining (NOT) press conference. One thing I am sure of is that the Fed chair will not commit another rookie, foot in mouth, Joe Biden esque’ gaffe by committing to a specific timeline […]
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Date: June 18, 2014
Short-Term Pullback Continues
Stocks head in to the new week with the bears in control over the very short-term. That’s it. Not the intermediate-term and certainly not the long-term. The major indices peaked last Monday and look like they are digesting the recent gains in very orderly fashion. More all time highs should follow when this pullback concludes. The next rally is the one I would pay particularly close attention to, especially in the small caps. The Russell 2000 is SUPPOSED to hit […]
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Date: June 16, 2014
Refuting the Bears
Bears will point to overly bullish sentiment readings and anemic volume as reasons to be wary of “The Big One” or bull market ending. They are absolutely correct regarding the sentiment surveys, but this story has been seen before. And sentiment is almost always much frothier than the high positive readings of today. Sometimes, a correction unfolds while other times the market enters a trading range. And in outlier cases, every once in a long while, stocks begin to melt […]
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Date: June 13, 2014
Russell Trying to Join Party
Over the past few months I have often warned about the caution signs being given by the major stock market indices not all being in sync together. With 32 months passing since the last 10%+ correction, the bearish camp is hoping that age alone will befall this market. History suggests otherwise. Historically, major index non confirmation or divergence is typically a sign of a market about to correct or in the most extreme cases, the end of a bull market. […]
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Date: June 12, 2014
Early Equals Wrong
The bull market of 2009-2014 has to be one of the most disavowed, unloved bull markets of all time. Each and every time it sees even routine weakness, bears come out of the woodwork with calls of 1929, 1987 and 2007 all over again. And then stocks stop declining and continue on their merry way higher. This is exactly how long-term bull markets survive, thrive and work higher. I can’t tell you how many very smart (and some not so […]
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Date: June 11, 2014
What’s Up with That?!?!
Last week, there were at least three announcements that made me scratch my head and think “are you serious?” Apple spent $3 billion to buy Beats, a headphone maker which sells inferior products as my experts tell me. Good job Beats! Steve Ballmer paid $2 billion for the embattled L.A. Clippers. My best friend whose group recently purchased the Milwaukee Bucks for a record $550 million also bid on the Clippers and valued the franchise at well under $1 billion. […]
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Date: June 10, 2014
Draghi Delivers… Bears Lie in Wait
In one of the better telegraphed moves out of the European Central Bank, Mario Draghi & Company gave the market what it had been expecting, using some fairly heavy ammunition to provide stimulus to Europe’s struggling economy. He may not have gone to Hank Paulson’s bazooka just yet, but they are getting close! Thursday was a solid win for the bulls as the Dow, S&P 500, S&P 400 and Nasdaq 100 all scored new highs for 2014 with the lagging […]
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Date: June 6, 2014
