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Central Bank Hypnosis

One look at the chart of the U.S. financial markets against the backdrop of economic paralysis and suffering, and one is immediately filled with a myriad of emotions. Sympathy for those that have been afflicted by the most recent pandemic; fear for the families whose prim...

Should We Really Be Concerned By Yesterday’s S&P 500 Pullback?

Despite yesterday’s bearish opening gap, the bulls closed it, taking prices higher in a very measured and cautious way. Then, the bears took over the reins and drove the index well below the levels at the start of the day. Have we seen a reversal? In short,...

New Day, New Test of the Great S&P 500 Bull Run

Egged on by the horrendous retail sales data, S&P 500 intraday decline has gathered steam yesterday. An 8.7% drop in consumer spending can’t be just waved off. Neither can the Empire State Manufacturing Index at -78.2. We have the impression that the world is w...

Cashing in Huge Profits Just Before Today’s Upswing

The S&P 500 upswing didn’t materialize on Friday, and our decision to go short has paid off handsomely. Taking stocks to new 2020 lows on both intraday and closing basis, the bears clearly had a field day. As the S&P 500 closed the week near its lows, which way...

The Strong Rebound That Fizzled Out

Just when you might think that the key action to comment on is Friday’s reversal, it’s the opening of today’s overnight session that gets the prize. The development is yet another Fed’s pre-FOMC move. This time, i...

Stocks Seem Not Convinced by Yesterday’s Surprise Cut

Stocks opened up on a bullish note yesterday, but the bulls gave up all of their gains and then some. This has happened despite the Fed’s surprise rate cut that intended to calm the markets. As stocks closed the day back below the key support, where does that l...

Peniaphobia Prevails

(Peniaphobia: fear of poverty) This weekend, newsletter writers the world over are scrambling to explain to their paid subscribers why they are now showing losses in portfolios that were supposed to be showing gains, and especially because it was only two weeks ago t...

Looking for Buying Opportunities After the Historical Selloff

As I write this, the market is officially in correction territory, with the S&P 500 off 14.5 percent from its all-time close on February 19. It took only six days, in fact, for the S&P to fall 10 percent from its high into a correction­­—a new record, according to data fr...

Is Crude Oil Firmly on the Upswing Now?

It appeared that the bears firmly took the reins of yesterday’s session, but most of their gains were history before the closing bell. Have we seen an important turning point for oil? Let’s start with the daily chart examination (charts cour...

Could silver break-out like it did in 2011?

Silver is expected to begin the 2020s newly burnished, through a combination of higher industrial and investment demand, and tightened supply owing to mine production issues and output cuts. If it does, it would be the continuation of a trend that started last year. 2019 ...
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