The equity rally that began on February 11th has brought bad news to the shorts. Obviously. They have two choices: (1) stay short, which means holding a losing trade, or (2) cover, which will add more fuel to the rally, … Continued
Is the S&P 500 index (2035.94) resting or struggling at resistance? Either way, the rather lethargic action the past few sessions is not completely out of the ordinary given the move it has had off February 11th lows. From low … Continued
“When the facts change, I change my mind. What do you do, sir?” The above remark is often attributed to John Maynard Keynes, the British economist, although some dispute it. Regardless who said it, it is a nice quote. More … Continued
In the latest reporting period, SPY, the SPDR S&P 500 ETF, shorts stayed put. In fact, at 280.4 million, short interest fell a tad period-over-period – now at a two-month low (Chart 1). Odds favor shorts are about to get … Continued
Kudos to equity bulls for what they have achieved so far in the current run. And what a run it has been! Off the February 11th intra-day low, the S&P 500 large cap index is up nearly 10 percent, the … Continued
In the prior reporting period (Jan 15-29), short interest on XLE, the SPDR Energy ETF, collapsed just north of 17 percent to 40.7 million (Chart 1). During the period, the ETF dropped 8.1 percent through the January 20th intra-day low, … Continued
SPY, the SPDR S&P 500 ETF, has essentially gone sideways since January 20th. That was the first low of the year after a 12-session, 11-percent waterfall drop. A subsequent eight-session rally had the ETF rally to $194.58, before it again … Continued
The stock market got off on the wrong foot this year… which is probably an understatement. Using the January 20th intra-day low, the S&P 500 large cap index lost nine percent in 12 sessions, the S&P 400 mid-cap index 13.1 … Continued
To say that energy stocks are back in favor will be an exaggeration, but they have perked up of late. Off the January 20th intra-day low, XLE, the SPDR Energy ETF, has rallied north of 16 percent. That is in … Continued
The following are futures positions of non-commercials as of January 26, 2016. Change is week-over-week. 10-year note: Two important developments took place this week in central banking. First, the Fed. This week’s FOMC meeting was a non-event. No interest-rate decision … Continued