The markets rallied ahead of the CPI expectations. Now all technicals are out of the window because the price is driven by emotions and the news from the FED and economic data. That can change everything. If however, the report comes better than expected, or even as expected, we may see a rally all Continue reading →

  As expected, we had a zig-zag day. Sort of. The market went up until about noon, then after the bond auction the yields bumped up and investors sold off their shares. It still baffles me how irrational the markets are. Maybe I should stop rationalizing it. An example is Google. The investors sold off Continue reading →

I was traveling the last couple of days and unable to write my regular market outlooks. I am back to the standard routine and here is my view on the market.   The market started trading in a very narrow range on the top of the rally. We see rejection at the 4,150-ish level. The Continue reading →

  The markets continued higher again with a selloff at the end of the day (as expected). Bears are hastily becoming bulls but we have to start being careful as we are way overextended to the upside. The skittish investors can turn bearish quickly. They are now greedy and piling up into worthless stocks like Continue reading →

  The bears keep getting it wrong. They are in unison convincing themselves on social media that this market is just a bear market rally and they refuse to accept that the market already adapted to the new FED policy. That is why the markets have big selloffs but reluctant rallies. Investors become bearish and Continue reading →

  The market reversed yesterday’s and today’s losses as the economic data showed weakness. Consumer confidence also dropped. We are in an environment where bad data are good news. This gave investors hope that the FED will not be aggressive anymore and raises the rates by 0.25 points as is widely expected. In the end, Continue reading →

  Abysmal day at Wall Street today. The markets started selling off before even opening and there was only a small attempt to recover in the middle of the day, but then we sold off again. But the markets do not go straight up. It goes in waves and after last week’s strong rally, we Continue reading →

  Another day of investors chasing stocks they were selling just a few days ago and that they will probably start rapidly selling as soon as someone like the FED spooks them again. We rallied toward the target price at 4,050 (we reached 4,061), and now we are near the upper-level target at 4,100. There Continue reading →

  And here we go again. Investors cannot make up their minds. One day they were frantically buying because semiconductors were reporting good numbers. Today, they were scared because Microsoft reported terrible numbers, and tomorrow, they will be optimistic again because other companies like TSLA reported good numbers. But this is typical. What was good Continue reading →