Although the financial sector closed positive on Tuesday, the corresponding Bullidex fell .62%, to close at 159. Higher prices mask the internals of the sector, which is decreasing in bullish breadth relative to volatility. This divergence suggests that the rally is false, and that shorting XLF or FAS is a good idea. The XLF remains…
It has been a wild week thus far, here are some internals. Banks are back into a bullish position, goddamn whiplash got me. There was a new X made in my primary market indicator, which is a great sign for equities. Risks are still high, but if the dollar continues to fall, this should continue…
My indicator was down today, but not broken. One sector is in critical danger. The financial sector made a new O today, indicating an increasingly volatile and bearish environment. The buywrite/index ratio is rising (bearish), but it approaching a falling 10sma (bullish). This breakout in the HUI/GOLD is bullish for gold stocks, so I’m buying…
Here is a long term look at how bad this market is for investors. Nothing is going up and the volatility is high. Banks are making a run to 0. The only potential silver lining is the catastrophic ratio between down/up volume, but I wouldn’t wanna try and call this capitulation ahead of time. All…