Market Soapbox 02/28/06
Resistance: DJIA 11170; SP500 1300; Nasdaq 2330; NDX 1730
Support: DJIA 10900; SP500 1280; Nasdaq 2260; NDX 1665
In our top story tonight, Generalissimo Francisco Franco is STILL dead. In other news, Chain Deflator 3.3 vs prior 3.0; GDP 1.6 vs prior 1.1; Chicago PMI 54.9 vs prior 58.8; Consumer Confidence 101.7 vs prior 106.8. Showing a gap up in inflation and GDP potential, both pointing to rising rates.
Existing Home Sales -2.8% @ 6.56M, the 5th straight monthly decline and the lowest in two years. YOY sales are down 5.2%. Unsold inventory +2.4% @ 2.91M, the largest supply since 1998. The mustard is coming off the hot dog slowly but surely.
Google reported they will have to find "other ways" to boost revenue amid slowing growth. The stock was punished -7%. Media reports indicated that Google's report led to the stock market selloff. We have one word for this - pathetic.
Recent DJIA History: 23 weeks ago, -270 breaking key support, 22 weeks +148, 21 weeks -281, 20 weeks -6, 19 weeks -77, (5 week loss -486). 18 weeks recovery begins +186, 17 weeks +128, 16 weeks +154, 15 weeks +79, 14 weeks +165, (5 week gain +712).
13 weeks -53, 12 weeks -99, 11 weeks +99, 10 weeks +8. 9 weeks -168, (5 week loss -213). 8 weeks +242 on a broadbased new year buy in, 7 weeks +0, 6 weeks -292, 5 weeks +240, 4 weeks -113. (5 week gain +77). 3 weeks DJIA +125, 2 weeks DJIA +196, Last week DJIA -52.
Mon, DJIA +36 leaking into the close on lower volume with decent internals. Today, DJIA -104 in a broadbased selloff on higher volume with horrible internals. This week DJIA -68, over the last 4 weeks DJIA +201, over the last 23 weeks DJIA +291.
All indices and sectors pounded down senseless. CAC, DAX, FTSE, Hang Seng & Nikkei 225 all down BIG.
Dollar down vs. Euro & vs Yen, XAU down & gold up @ 564.5, XOI down & crude up @ 61.88, CRB commodities up.
Yield curve MAJOR INVERSION bonds up BIG with the 30 yr yield falling @ 4.50%; 10 yr @ 4.54; 5 yr @ 4.59; 2yr @ 4.68; 6mo @ 4.74. In a full tilt boogey, 2yr is above the 30 year since 02/09, 2 trading days to go till inversion D day.
Looking ahead at potential market influences: Mar 1 Auto & Truck Sales, Personal Income & Spending, ISM Index; Mar 2 Initial Claims; Mar 3 ISM Services.
Yesterday: "Tomorrow we see potential for an upward revision in GDP & chain deflator, with a fall in existing home sales. However will this disconnected market react?
And a FAT Tuesday it was, coupled with the Google news, the market did not react very well. Lets see what tomorrow brings as today looked like the right side of a shoulder forming.
Keep it tween da ditches, we take it day by day and keep our eyes peeled to the sky, because it could be a name brand that pancakes us. Just my opinion, I could be wrong, this is The Nattering Naybob and your NOT!!!
Support: DJIA 10900; SP500 1280; Nasdaq 2260; NDX 1665
In our top story tonight, Generalissimo Francisco Franco is STILL dead. In other news, Chain Deflator 3.3 vs prior 3.0; GDP 1.6 vs prior 1.1; Chicago PMI 54.9 vs prior 58.8; Consumer Confidence 101.7 vs prior 106.8. Showing a gap up in inflation and GDP potential, both pointing to rising rates.
Existing Home Sales -2.8% @ 6.56M, the 5th straight monthly decline and the lowest in two years. YOY sales are down 5.2%. Unsold inventory +2.4% @ 2.91M, the largest supply since 1998. The mustard is coming off the hot dog slowly but surely.
Google reported they will have to find "other ways" to boost revenue amid slowing growth. The stock was punished -7%. Media reports indicated that Google's report led to the stock market selloff. We have one word for this - pathetic.
Recent DJIA History: 23 weeks ago, -270 breaking key support, 22 weeks +148, 21 weeks -281, 20 weeks -6, 19 weeks -77, (5 week loss -486). 18 weeks recovery begins +186, 17 weeks +128, 16 weeks +154, 15 weeks +79, 14 weeks +165, (5 week gain +712).
13 weeks -53, 12 weeks -99, 11 weeks +99, 10 weeks +8. 9 weeks -168, (5 week loss -213). 8 weeks +242 on a broadbased new year buy in, 7 weeks +0, 6 weeks -292, 5 weeks +240, 4 weeks -113. (5 week gain +77). 3 weeks DJIA +125, 2 weeks DJIA +196, Last week DJIA -52.
Mon, DJIA +36 leaking into the close on lower volume with decent internals. Today, DJIA -104 in a broadbased selloff on higher volume with horrible internals. This week DJIA -68, over the last 4 weeks DJIA +201, over the last 23 weeks DJIA +291.
All indices and sectors pounded down senseless. CAC, DAX, FTSE, Hang Seng & Nikkei 225 all down BIG.
Dollar down vs. Euro & vs Yen, XAU down & gold up @ 564.5, XOI down & crude up @ 61.88, CRB commodities up.
Yield curve MAJOR INVERSION bonds up BIG with the 30 yr yield falling @ 4.50%; 10 yr @ 4.54; 5 yr @ 4.59; 2yr @ 4.68; 6mo @ 4.74. In a full tilt boogey, 2yr is above the 30 year since 02/09, 2 trading days to go till inversion D day.
Looking ahead at potential market influences: Mar 1 Auto & Truck Sales, Personal Income & Spending, ISM Index; Mar 2 Initial Claims; Mar 3 ISM Services.
Yesterday: "Tomorrow we see potential for an upward revision in GDP & chain deflator, with a fall in existing home sales. However will this disconnected market react?
And a FAT Tuesday it was, coupled with the Google news, the market did not react very well. Lets see what tomorrow brings as today looked like the right side of a shoulder forming.
Keep it tween da ditches, we take it day by day and keep our eyes peeled to the sky, because it could be a name brand that pancakes us. Just my opinion, I could be wrong, this is The Nattering Naybob and your NOT!!!
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