5 CHARTS THAT WILL MAKE YOU A TIGER IN THE BEDROOM DURING THE WEEK AHEAD
click on chart to enlarge
CASE CLOSED: THE NFLX VS. AAPL STUDY COMES TO AN END
I'm putting a lid on the NFLX vs. AAPL performance study. In February I said that during the expected correction that was to come, NFLX would outperform AAPL due to the market dynamics involved and the support mechanism it would create for NFLX. It wasn't a study of how delivering movies was a better business model than creating Ipads. Most of the voracious AAPL groupies did take it that way, however. It was a study and proof of how the market works and why. Here are the...
5 COMPANIES THAT SHOULD BE A PART OF EVERY INVESTORS PORTFOLIO & WEEKLY INDEX ROUNDUP
It was another week of fury and rage that, in the end, amounted to a hiccup when all was said and done. I decided to take a look at 5 companies that I think should be a part of every investors portfolio. And, of course, my weekly look at the general markets. (click on charts to enlarge)
RUNNING SCARED: THE MOST SPECULATIVE GROUP OF INVESTORS HAVE LEFT THE MARKET
This article also featured on Forbes Remember the phase 4 stocks? Those companies that the most speculative traders always seem to gravitate to during every intermediate or long term top in the market. I wrote an article about it in February. In that article I mentioned 3 stocks that were making me concerned about the future of the bull market. Those 3 stocks were JDSU, FNSR and CIEN. It wasn't simply the fact that they were up a lot over the past few months. It was the manner in which they were going up that had me worried. It reeked of sloppy, greed driven buying that always ends in disaster. The market simply doesn't cater towards these types of investors. It might over the very short term or during anomalous market cycles, such as the internet bubble. However, during normal cycles, the market makes it hate for these types very well known by destroying their capital and leaving them with rabbit ears the size of dumbo. Let's take a look at the three Phase 4 stocks that were mentioned on February 17th as being sloppy and indicating excessive amount of optimism in the financial markets: (click on charts to enlarge) That haven't just declined, they have all literally crashed. They all have company specific issues that go beyond this current market decline. What shouldn't be missed, however, is the ferocity with which they are falling. It's an extraction of excessive speculation. The guys who are dumping are the most aggressive investors in the marketplace. Not only are they the most aggressive, they are also typically the ones who are late to the bull market party as described in the Phase 4 article. If you were a Las Vegas sports book, these are the guys you would want visiting your book on a daily basis. If you sold used cars, these are the customer you would want on your lot. If you traded oranges on a daily basis, when these guys started buying you would want to begin selling your inventory. In other words, these are the market participants you want to be betting against as often as possible. When they are bullish, you want to be bearish. When they are bearish, you want to buy everything in sight. Guess what they are now? They are as bearish as they have been in sometime based on the ferocity of their selling, which was only matched by the greed with which they bought at the February top. Anyone wanna take a guess as to who will be caught with their pants down once again? No, not Anthony Weiner. This time it's...
6 CHARTS THAT WILL KEEP YOU AWAY FROM YOUR BOTTLE OF XANAX DURING THE WEEK AHEAD
click on charts below to enlarge
THE LONG-TERM VIEW: 4 MONTHLY CHARTS THAT CONFIRM A BULLISH SCENARIO FOR THE MARKETS
Last week I zoomed out of the muddled daily technical picture and looked at the weekly charts. Since this past week of trading was more or less nonsense in terms of technical developments, I decided to push out even further and look at the monthly charts to see if they are confirming the bullish picture that the weekly charts are painting. Below are the monthly charts going back 10+ years for QQQ, Nasdaq Comp, Dow Transports and Networking Index: click on charts below to...
6 WEEKLY CHARTS THAT HAVE CONTINUED BULL RUN WRITTEN ALL OVER THEM
Sometimes it is good to zoom out and look at things on a longer-term perspective. That becomes especially true after confusing, choppy weeks like we experienced with this one that just passed. I decided to zoom out and look at the weekly charts. It clarified a lot of things: click on charts below to enlarge
6 CHARTS TO KEEP YOU IN PEACE AND NOT IN PIECES DURING THE WEEK AHEAD
click on chart below to enlarge