Market Observations 06/13/06
No reprieve in sight... another major yield curve inversion with the 6 mo going over the 30 year today. With the bond & dollar propped up, the DJUA ain't doing that bad these days.
Foreign & emerging markets, commodities, basic materials, gold (-7.5% closing below $600, its biggest single day drop in 15 years), energy and crude (-2.5% at a 3 week low) all clubbed down today.
2/3rds of global markets are now in a 10% correction, 8th straight down session for the NAZ. 7th day down for small caps.
RUT and DJIA YTD in the RED, financials clubbed -2%, broker dealers -4.8% going -1.5% into the RED YTD. NYSE, RUT, MID, OEX, XAU & XOI CRUSHED today.
The indices all closed below the Lines in the Sand for a second day: NDX 1555, SOX 455, NAZ 2135, XOI 1035, RUT 695, MID 740, TMWX 12550, SP500 1245, OEX 572, NYSE 7925, DJIA 10875, XAU 133.
Intel at a 3 year low, Jabil Circuit lowered Q3 guidance, stock punished 25%, tech now -9.5% YTD. Just look at a chart of the HGX housing index to see where we are headed.
We are adjusting support for the big four: DJIA 10650, SP500 1210, NDX 1500, NAZ 2050. One more day closing below the lines in the sand, and a CPI is +0.3% or higher, and things could get very very ugly.
The potential for a very BLACK day looms large, and yet we sense a potential bounce coming off of 1503 NDX, but don't hang your hat on it. We think the 3 down has a ways to go.....unless...
We also see an alternative pattern which indicates the markets could be a massive one down since April (Tech & Oil) and May (everyone else).
The 1 down may bounce for the 2 up, but then the 3 down would be absolutely tremendous. The silver lining: maybe theres a bounce left to short into???
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!!!
Foreign & emerging markets, commodities, basic materials, gold (-7.5% closing below $600, its biggest single day drop in 15 years), energy and crude (-2.5% at a 3 week low) all clubbed down today.
2/3rds of global markets are now in a 10% correction, 8th straight down session for the NAZ. 7th day down for small caps.
RUT and DJIA YTD in the RED, financials clubbed -2%, broker dealers -4.8% going -1.5% into the RED YTD. NYSE, RUT, MID, OEX, XAU & XOI CRUSHED today.
The indices all closed below the Lines in the Sand for a second day: NDX 1555, SOX 455, NAZ 2135, XOI 1035, RUT 695, MID 740, TMWX 12550, SP500 1245, OEX 572, NYSE 7925, DJIA 10875, XAU 133.
Intel at a 3 year low, Jabil Circuit lowered Q3 guidance, stock punished 25%, tech now -9.5% YTD. Just look at a chart of the HGX housing index to see where we are headed.
We are adjusting support for the big four: DJIA 10650, SP500 1210, NDX 1500, NAZ 2050. One more day closing below the lines in the sand, and a CPI is +0.3% or higher, and things could get very very ugly.
The potential for a very BLACK day looms large, and yet we sense a potential bounce coming off of 1503 NDX, but don't hang your hat on it. We think the 3 down has a ways to go.....unless...
We also see an alternative pattern which indicates the markets could be a massive one down since April (Tech & Oil) and May (everyone else).
The 1 down may bounce for the 2 up, but then the 3 down would be absolutely tremendous. The silver lining: maybe theres a bounce left to short into???
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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