Category: CPMKTE

Ratios to Reason $SPX

A weekly look at 5 indicators that depict the current market environment. $BPSPX:$VIX = 97.31 $BXM:$SPX = 70.22 $CPMKTE:$CPMKTB = 39.67 $SPXA50R:$VIX = 87.58 $SPXHILO:$VIX = 15 The only glimmer of bullish hope my indicators offer is a 50% increase in the $SPXHILO:$VIX since my last analysis here. Otherwise, the bear market remains intact, and…


Cash Is King

Market conditions continue to deteriorate as panic spreads around the globe. My SPX indicator made a new O, signaling increased volatility and fewer stocks in bullish formations. Buyers should step to the sidelines and wait till the current rush to safety subsides. The buy write index continues to outperform the underlying SPX, reinforcing my bearish…


Ratios to Reason $SPX

In an effort to create more structure for this blog, I’m re-posting 5 charts that depict various trends within the $SPX. In the future this selection will be posted during the weekend. $BPSPX:$VIX = 139.61 $BXM:$SPX = 68.88 $CPMKTE:$CPMKTB = 41.34 $SPXA50R:$VIX = 122.16 $SPXHILO:$VIX = 10.9 Why am I regurgitating this mass of pretty…


Stocks ‘N’ Bonds

A few things to watch in the coming week. Despite today’s pullback, my primary indicator remains bullish, so I’m buying the dip. The SPX buy write is lagging the underlying index, so the bulls are looking good for now. The spread between equities and bonds looks ready for a breakout, potentially to the upper Bollinger….


Tuesday’s Tidbits

Hooray, an up day! Here are some things to consider. My bullish SPX indicator lives to see another day, perhaps it’ll make a new X by the week’s end. FINALLY, the BXM/SPX spread is heading lower, and that is a sign of more aggressive risk taking which is good for equities. Due to the overbought…


Monday Mutterings

I hope to God that the chart below is a misprint and not a premonition. If bonds make a move like that, this crisis is going to take a turn for the worst. Though we closed positive Friday, my indicator fell, suggesting a bearish divergence in an uptrend. Buy on the dip is still in…


Tale Of The Tape

This market continues to exhibit an upward bias, so keep buying the dip. Risks remain high. The markets haven’t looked this bullish and stable since Obama was elected. The spread between Buywrite and Buy ‘N’ Hold indexes made a new low and violated the lower Bollinger Band, signaling a potential trend change. The falling spread…


State Of The Market

A few market signs for the lost. The following precipitous graph is an example of the impact the financial crisis is having on the real economy. The BDI indicates how much shippers get paid for carrying freight. Due to the unwillingness of banks to write letters of credit for merchandise, shipping is mired in a…


Turkey Talk

A few ratios and some interesting developments. US Equity / US Bonds have reached a prior level of support. Watch for resistance. Another day of advancing volume significantly outweighing declining volume. The US Dollar looks ready to break its recent and sharp uptrend, implying slowing momentum. Silver is putting in a nice base, and is…


3 Ratios To Watch

American Equities vs. Bonds are rallying in a downtrend, but approaching resistance. The stabilization of Miners vs. Gold reduces deflationary worries. Relative to gold, the 30Y is bouncing off long term resistance, but remains in an uptrend. Signs of stabilization are emerging as these ratios exhibit mean reversion. If volatility can stabilize, we may be…