Heavyweights MSFT And AAPL Last Week Rallied To New Highs But Only To Then Reverse Lower – Potentially Ominous Ahead Of Earnings

posted in: Credit, Equities, Technicals | 0

Several leading stocks such as MSFT and AAPL posted new highs last week and then reversed lower. This took place just ahead of 2Q earnings results and indices such as the Nasdaq 100 and the S&P 500 have had massive … Continued

Nasdaq 100 Defends 50DMA But Unconvincingly, Bulls Can’t Afford Weekly Chart To Take Over

posted in: Equities, Technicals | 0

The top five in the Nasdaq 100 are done reporting 2Q.  They have had their post-earnings reaction – mostly positive.  This is occurring even as the index just got repelled at six-month channel resistance.  If bulls do not put their … Continued

Peek into future through futures

The following are futures positions of non-commercials as of April 21, 2015.  Change is week-over-week. 10-year note: Are bond vigilantes expecting a hawkish tone from the FOMC next week?  The latter meets on 28-29.  For the most part, macro data … Continued

Buyback-induced breakouts — signal or noise?

posted in: Economy, Equities, Technicals | 0

GE stages massive breakout Friday on back of massive buyback announcement S&P 500 companies splurged $565 billion on share repurchases in 2014 As/when buybacks dry up, support zones become more vulnerable Before last week, GE shares had been on a … Continued

Peek into future through futures

The following are futures positions of non-commercials as of March 31, 2015.  Change is week-over-week. 10-year note: At some point, the streak had to end.  For 12 months to February, U.S. non-farm payroll grew 200k-plus month-over-month.  Consensus was for that … Continued

Dow induction alone does not ensure peak in share price

posted in: Equities | 0

AAPL set to join Dow brings out ‘this is top’ talk Historically, tough to argue Dow inclusion ensures top If AAPL peaks, it will be for other business-related reasons AAPL (127.14) is slated to replace T in the Dow Jones … Continued

U.S. exports can least afford to weaken further, given increasing role in GDP

posted in: Currency, Economy, Technicals | 0

Growth rate of U.S. exports decelerating since 2Q14 At north of 13 percent, exports’ share of GDP remains very high Surging $ no good news for exports; some signs of fatigue, but buck’s momentum intact The advance estimate of real … Continued

Capex hopefuls cannot catch a break

posted in: Credit, Currency, Economy | 0

Setback in orders for business-capex proxy; down four consecutive months Inventory-to-order ratios, nowhere near previous peaks, trending higher Zero-bound suppressed rates probably impacting incentive to borrow The much-anticipated capex boom in the U.S. will just have to wait a while … Continued