Top Advisors Corner

Tim Ord: The Ord Oracle March 8, 2017

SPX Monitoring purposes;  Covered short SPX 1/31/17 at 2278.87 =.09% gain; Short on 1/30/17 at 2280.90
Monitoring purposes GOLD: Sold GDX at 24.33 on 2/22/07 = gain 20.15%; Long GDX on 12/28/16 at 20.25.
Long Term Trend monitor purposes:  Short SPX on 1/13/16 at 1890.28 

 

Last Wednesday volume appears to have been climatic and put a stop to the rally that started in February.  The up gap that was produced last Wednesday has support if tested on lighter volume and the last several days had light volume.  If the gap than holds a rally should ensue to test the previous high.  The previous high (which is the gap day) had high volume and a test of the previous high on lighter volume will imply resistance.  Therefore a short term sell signal could setup of a test of last Wednesday high on lighter volume.  
 

Continue reading "Tim Ord: The Ord Oracle March 8, 2017" »

Alan Newman: Crosscurrents February 28, 2017

Rationales & Targets

British economist John Maynard Keynes coined quite a few memorable phrases in his illustrious career, including “The market can stay irrational longer than you can stay solvent,” the principal reason we have not been willing to short as prices have risen to ridiculous extremes.  Keynes also said, “In the long run, we are all dead,” a quite sensible reason to remain bearish.  Bull markets die and the odds have risen sharply for this one to die and to die a nasty death.  Valuations are so stretched that a 50% collapse in price, as occurred twice before in the last 15 years, is possible.  

Continue reading "Alan Newman: Crosscurrents February 28, 2017" »

Mary Ellen McGonagle: Energy Stocks in Downtrend While Crude Hits New High and the Utility Sector Turns Positive in a Bull Market

Energy Stocks in Downtrend While Crude Hits New High and the Utility Sector Turns Positive in a Bull Market……Unusual Sector Moves and How to Play Them.

For the most part, the markets tend to act in a fairly predictable way.  Rising interest rates boost Bank and Insurance stocks, hints of an increase in military spending boost Defense-related stocks, and the possibility of lower corporate taxes helps the entire market.  Adding to that and important to my work – companies that report strong earnings go higher. 

That said, these typical correlations don’t always play out as expected and as seasoned investors will tell you, the minute you think the markets are predictable, it’ll throw you a curve.

Continue reading "Mary Ellen McGonagle: Energy Stocks in Downtrend While Crude Hits New High and the Utility Sector Turns Positive in a Bull Market" »

Mary Ellen McGonagle: Important Tools to Help Navigate These Politicized Markets

As investors, it’s easy to get caught up in headline-driven swings that the markets can deliver.  Trump’s recent election has brought us a particularly charged environment with real and proposed policy changes pushing various sectors in both directions. 

For example, last week we saw Trump’s new immigration policy push the markets down 1% on Monday. On Wednesday, there was a 2% rally in Healthcare stocks as talk of pushing drug approvals through faster was well received.  And finally, the week ended with a strong rally in Financial stocks sparked by Trump’s comments regarding a repeal of Dodd-Frank banking reforms.

Continue reading "Mary Ellen McGonagle: Important Tools to Help Navigate These Politicized Markets" »