DJIA And SP 500 Outperform On Strong Volume; Nasdaq Flops Around In A Tight Intraday Range
February 14, 2007 | Leave a Comment
It was a tale of two tapes as the DJIA and SP 500 rallied quite well while the Nassy lagged as big-chips received bids. The reason for the outperformance was due in large part to shares of AA. Reports that BHP or RTP are bidding for the Aluminum giant helped the big-caps rally. Adding to the power behind the big-caps was MMM announcing a big buyback plan to buy $7 bill of its own shares. That, btw, is very bullish for a stock. Read more
Stocks Fall Across The Board On Lower Volume; Nasdaq Finds Support At The 50 DMA
February 13, 2007 | Leave a Comment
For the third straight day, stocks fell, despite a couple of big mergers and acquisitions. Even weakness in oil and natural gas could not help the market make headway. The Saudi Arabia oil minister said OPEC may not implement new production cuts at the next meeting. Oil managed a 3.5% drop on that news and natural gas fell .60 cents, putting pressure on oil stocks. XOM COP HAL and SLB felt the pressure and helped lead the AMEX oil indexes lower by 1%. Read more
The Tip-Off I Refered To On Wednesday Had Its Follow-Through On Friday
February 10, 2007 | Leave a Comment
It is kind of odd that a comments from the St. Louis Fed head William Poole, Cleveland Fed head Sandra Pianalto, and Dallas Fed head Richard Fisher could kick start a selloff like it did today, but that is in fact what happened. Stocks started off strong but his comments that he would vote for a hike if inflation stays above 2% was not what wall street was looking for. The momentum of the market took a turn on Wednesday and those comments, along with MU announcing price declines, sent stocks falling across the board with leading stocks in leading sectors getting hit hard.
At the close, the Nassy led to the downside with a 1.16% loss, the SP 600 lost 1.03%, the SP 500 took a .71% hit, and the DJIA fell .45%. The bad news, without a doubt, came from leading stocks. The IBD 100 index got hit with a 1.8% loss. Not good.
Volume was higher on the NYSE and significantly higher on the Nasdaq. This volume and price action gives both indexes a clear distribution day. Thus making it three distribution days in the past four weeks. Caution flags are rising.
Boring Day On Wall Street Ends With Stocks Slightly Lower
February 9, 2007 | Leave a Comment
Stocks suffered small losses, on what was a very dull session, overall. After an early morning-selloff, stocks found support and slowly ticked up the rest of the day, finishing well off their lows. The story of the day belonged to retail stocks, as same store numbers rose a better than expected 3.9% with over 60% of all retail stocks beating views. Read more
Major Stock Market Indexes Rise Across The Boards, With Leading Stocks Leading; Afternoon Selloff May Be A Tip-Off Of Impending Trend Change
February 8, 2007 | Leave a Comment
Stocks started the day off on the right foot, thanks to a good earnings report from CSCO and fantastic news that US productivity grew 3% in the most recent quarter. However, those steady gains were completely wiped out on the DJIA and the SP 500 in the afternoon. And even though the indexes clawed back to close green, that action was a bit troublesome. There was no news or reason for the selling. Some blamed oil, but the Nasdaq fell more on a percent basis and if oil was the reason the NYSE and SP 500 would have fallen by a larger percentage. Read more
Stocks Find Intraday Support, Again, With All Indexes Closing Higher On The Day; Leading Stocks Continue Outperformance
February 7, 2007 | Leave a Comment
It was yet another driftless day for stocks, overall, as comments from Fed heads Bernanke, Yellen, Moskow, and the Treasury Secretary had no major effect on the stock market. There was no catalyst for stocks to move in one way or the other. It was basically about earnings action in individual stocks and nothing else, today.
At the close, the SP 400 and 600 led the way, hitting all-time highs, with .5% gains, the NYSE followed, hitting all-time highs, with a .34% gain, the SP 500 was next with a .07% gain, and the DJIA and the Nasdaq finished with a .04% gain. Leading stocks kept up with the SP 400 and 600, with the IBD 100 gaining .4% on the day. It is very positive to see the leaders continue to keep pace with the leading indexes of the day.
Volume was slightly higher on the NYSE and well higher on the Nasdaq. The higher volume, combined with the very nice intraday price reversal, gives today’s action a sense of accumulation off this dip to the 50 dma. It can only be bullish to see buyers stepping in here to support stocks at this key moving average.
Freezing Weather And Super Bowl Hangover Keeps Major Stock Indexes Mixed, Flat, And Dull; Leading Stocks Outperform
February 6, 2007 | Leave a Comment
It was a dull day of direction-less movement for the major stock indexes, as several mergers failed to move stocks one way or the other. STT acquiring IFIN, TRI going private, SPG bidding for MLS, and Carl Icahn’s AREP bid for LEA were the highlights of the day. Read more
Stocks End The Week With Strong Gains, After A Very Quiet And Choppy Session
February 3, 2007 | Leave a Comment
Stocks were able to hold on to the post-Fed gains, as uncertainty over interest rates off the job data helped keep stocks tight. Jobs coming in below estimates, unemployment ticking up, weak gains in wages, and a lower revision to the Michigan confidence numbers were all good reasons to knock stocks down. But strong factory orders and a clearly powerful uptrend was good enough to shake off the jitters that can be seen today in your intraday charts. Read more
Leading Stocks And Small Caps Lead As Stocks Rise Again; SP 600, NYSE, And DJIA All Hit All-Time Highs
February 1, 2007 | Leave a Comment
Stocks continued to do what they have been doing all week and that is gain ground in the face of the ever growing loud bears. Even with GOOG and DELL trying to knock the market down, the market just keeps on rolling. Yes, I am also hearing a lot of bullish talk but trust me I monitor a lot of message boards and chat rooms–there are plenty of top callers out there. As long as they exist this market just keeps rallying in their face. All-time highs in three indexes doesn’t even seem to shut them up. But what else should I expect? Read more
Dovish Fed Helps Give Stocks A Big Boost, As Stocks Rise Across The Board.
February 1, 2007 | Leave a Comment
Investors were definitely happy to see the Fed leave rates unchanged–even though I am not sure what else they were expecting–and rewarded the stock market with gains across the board. The Fed stated that core pricing pressure subsided, which relieved inflation concerns, and stated that economic growth was firmer and the housing market has stabilized. These comments without a doubt contributed to the gains. Read more
