Bears are making a killing. Stocks have come under renewed selling pressure. The S&P 500 is very close to losing 20 percent on a closing basis. Amidst this, fresh from a 50-basis-point emergency cut of last week, the FOMC meets … Continued
Last week, all major US equity indices lost north of 10 percent and were down a lot more at session lows Friday. If there is any consolation in this, amidst the carnage, bulls stepped up to defend important support. Some … Continued
Foreigners, who had been cutting exposure for a while, have been warming up to U.S. stocks of late. Bulls obviously would like this to continue. Historically, foreigners’ activity and the S&P 500 have shown a tendency to move in tandem. … Continued
Following futures positions of non-commercials are as of February 11, 2020. 10-year note: Currently net short 398.9k, up 40k. The Fed for all intents and purposes has been preparing the markets for more liquidity to come. Since late September last … Continued
Bulls put foot down. Bears had an opening but were unable to make much out of it. Another opportunity to take on the snorting bulls may be just around the corner. Since the S&P 500 large cap index (3297.59) peaked … Continued
Mid-January, Nasdaq short interest rose to a four-plus-year high. In 14 months, the index rallied north of 52 percent. Shorts find this, among others, a compelling reason to build positions. Ironically, they may also end up helping longs defend support … Continued
Elevated multiples have not bothered equity bulls. In recent months, the Fed too has come to their aid. Investor optimism is dangerously elevated going into the 4Q19 earnings season. The 4Q19 earnings season kicks off this week. Banks and brokers … Continued
The Nasdaq rallied to yet another record high Tuesday. It is up over 16 percent since early October. Shorts are leaving, but not in droves. Since the end of September, Nasdaq short interest is down 1.8 percent, and remains elevated. … Continued
Tech is on fire. In less than two months, the Nasdaq is up north of 12 percent, and up nearly 40 percent in 11 months. Bears, who for a while now have doubted the sustainability of this move, have helped, … Continued
Following futures positions of non-commercials are as of November 12, 2019. 10-year note: Currently net short 148.8k, down 82.7k. TLT (iShares 20+ year Treasury bond ETF) peaked at $148.90 on August 28, ending the week at $137.76. Since that peak … Continued