Skip to comments.Watch for avalanche of sell orders Monday
Posted on 06/03/2012 5:35:43 PM PDT by John W
Mondays trading will be the first opportunity stock investors in the U.S. will have to act on a major technical violation that occurred at Fridays close: The breaking of the 200-day moving average.
This could result in an avalanche of sell signals hitting the market at Mondays open, since many technical analysts use the 200-day moving average as the dividing line between bull and bear markets. They consider the primary trend to be up so long as the market is trading above its 200-day moving average, and that this trend turns to bearish whenever the market closes below this averageand that is what happened at Fridays close.
(Excerpt) Read more at blogs.marketwatch.com ...
Market will sell off early, bargain hunters will come in the afternoon, averages may well end unchanged.
And...if it doesn’t happen, the impact on this pundit’s credibility will be exactly zero.
S&P 500 Futures down 9.1 to 1264.80 at 8:42 pm est.
And hopefully they’ll all be buying metals.
I dunno. The Nikkei dropped 200 and then stopped. It will probably boost up to -50 by 2 pm Tokyo time.
Europe will by the true domino. If European indexes plummet more than 2%, they might keep going. If that happens, nothing will stop DJIA from doing the same. I don’t think it will be that bad though.
Nikkei looks like it’s trending up.
Oh, and I forgot to say, THANKS OBAMA.
If Obama wins...bid your future buh-bye.
If Romney wins (and I am no Romney fan) we will have dodged a bullet.
The markets will run wild until the future becomes at least somewhat predictable.
Agree. Might be Tuesday. IMO huge move up in short order. Only real return in equities now.
There is much unpleasantness ahead no matter what anyone does; it’s gone beyond the point of no return.
If Romney wins, and conservatives manage to effectively hold his feet to the fire, we may have something vaguely recognizable in a decade or so.
If The Won wins, it’s a millenium of Dark Ages ahead.
If he can offer some assurance to small business owners that he will not rape them...and if he will open the Keystone Pipeline and encourage the shale oil and natural gas industry...the economy will jump upward.
America is primed for a great leap forward. It is not primed for a great socialist leap backward!
Oh, and I forgot to say, THANKS OBAMA.
And thank Bush for giving us Obama. Pray we don’t have another stock market crash like the one in the final month’s of Bush’s disastrous presidency. And pray that if Romney wins, he governs like Reagan instead of the “compassionate conservative” - i.e. idiot son George Bush.
We need a real GDP increase of about 50% in the next two or three years; I don’t think that’s humanly possible.
Dow Futures down 105 as of 8:52PM ET.
Yep, he gets paid for his opinion — right or wrong. Never take investment advice, from someone who still has to work for a living.
Market futures sharply in the red.
Sounds like Mark Hulbert is short the market. The 200 day MA is not that significant.
“And pray that Romney wins, he governs like Reagan instead of the compassionate conservative - i.e. idiot son George Bush.”
Too late. The Bush’s were early supporters of Romney. Romney seems to be in the same mold of a social moderate. (Bush was however a good war leader, and loved by the troups.)
Best pray for a major takeover of Congress by Conservatives. We’ll need someone to hold Romney’s feet to the fire. Heck in the 1990’s a conservative Congress led by Newt even made Clinton look good!
it wont be the retail bargain hunters steeping in...it will be the PPT......same as they always do.....all the volume is created by the banks now...it’s a fixed market under the guise of National Security...Do your own DD...
Well, I’ll be watching. I have a watch list and a target price, and if the price hits my target I buy.
Thanks John W.
LSE closed tomorrow?
I also have a modest longer term account and would be interested in what u plan to buy and at what price...I'm currently interested in adding PG for longer term
Most will maintain their belief that paper is the only real money as they are burning stacks of it in a 55 gallon drum to stay warm. You want to read something really stupid from FT Alphaville? I mean Bam Margera, Johnny Knoxville stupid.
He is unique among pundits, and he is self-employed.
Since the 1980’s he has subscribed to every investment newsletter in America that has published for at least 5 years.
His theory is that self-employed advisers who can make a living for 5 years recommending stocks are the best of breed.
He has built up an amazing statistical database on stocks recommended by several hundred newsletters.
He rarely gives direct advice like “buy this” or “sell that.”
He usually gives general advice - like tonight.
What he is saying is that a large majority of the advisers he analyzes feel VERY strongly about a break below the 200 moving day.
I would be perfectly content with an income stream of around 4%-4.5% and not much risk. My major goal is asset preservation with some income and as little risk as is possible to reach this goal.
Anyone else please feel free to make suggestions as well.
having said that....over many years...my insurance has out performed my portfolio, percentage and value wise