By Bob Stokes
4/27/2012 4:00:00 PM
Shortly after the fourteenth European debt crisis summit concluded and there was an "extraordinary shift from negativity to optimism," the November 2011 Global Market Perspective flatly said "The current level of unpayable debt is too big to bail." Yet financial journalists and many of the economists they interview have been busy talking about rising markets and recovering economies. Some were even saying that Europe's debt crisis was "under control." It seems not...
Filed Under: debt downgrade, European debt crisis, european markets, European Union (EU), eurozone, Greek debt, International Monetary Fund (IMF), Short Term Update, soverign debt crisis
Category: European Markets
By Bob Stokes
4/9/2012 4:45:00 PM
Some market participants are saying that the correction may have a little more to go, yet they also think a pullback will be shallow and the market will soon continue its climb. In other words: the quotes above represent the language and market sentiment of the 1990s. We know how that decade turned out...
Filed Under: Dow Industrials, financial forecast, history, investor psychology, mania, Nasdaq Composite, S&P 500, sentiment, Short Term Update
Category: Stocks
"How 'Bout Them Apples?"
A compelling chart of Apple stock makes a rare appearance in EWI's March 9 Short Term Update (online now)
By Nico Isaac
3/12/2012 6:00:00 PM
We -- along with the rest of Planet Earth -- have been talking a lot lately about Apple, the world's largest publicly traded company. If only there was an app that could predict the future of Apple itself... well, perhaps you've just found one. To be exact, it's not an app -- it's technical analysis of Apple stock. Here, our own March 9 Short Term Update presents this rare chart of AAPL versus its Relative Strength Index -- a momentum indicator -- since August 2011
Filed Under: Relative Strength Index (RSI), Short Term Update
Category: Stocks
By Bob Stokes
3/9/2012 5:45:00 PM
Excitement over Apple shares has coincided with a stock market rally that just turned three years old. And some say that this rally leader could reach $1,000 a share. What does our analysis reveal about "Applemania"?...
Filed Under: herding, investor psychology, Short Term Update, steve jobs, Traders
Category: Stocks
By Bob Stokes
2/10/2012 6:00:00 PM
What is the "single most reliable indicator of an impending change of direction for a market"? Read what Robert Prechter has to say...
Filed Under: Elliott Wave Theorist, financial forecast, S&P 500, sentiment, Short Term Update
Category: Stocks
By Bob Stokes
2/6/2012 2:30:00 PM
A bullish consensus appears to be crystallizing. But that doesn't mean one should take a contrarian view for its own sake. One must look at the entire market picture, and ask, "Where are we in the market's main trend?" and "What are other indicators revealing?" We've asked and answered those questions...
Filed Under: bull market, Elliott Wave Theorist, financial forecast, herding, investor psychology, sentiment, Short Term Update
Category: Stocks
By Bob Stokes
1/26/2012 5:15:00 PM
Even as prices rallied, the percentage of S&P 500 stocks below their 10-week moving average indicates the advance has been weaker than many investors may realize. Take a look at the chart...
Filed Under: breadth, Elliott Wave Theorist, financial forecast, S&P 500, Short Term Update, technical analysis, technical indicators
Category: Stocks
By Bob Stokes
12/22/2011 5:15:00 PM
The investment strategy of portfolio diversification remains virtually unquestioned. Read why you should question this strategy...
Filed Under: all the same market theory, diversification, Dow Industrials, risk management, Short Term Update
Category: Stocks
By Bob Stokes
12/19/2011 5:00:00 PM
Decades of observation and analysis reveal that stock (and other financial) market prices unfold in patterns -- specifically, as fractals. What is the market's price pattern showing us now?...
Filed Under: Dow Industrials, Elliott wave, Elliott Wave Theorist, market forecasts, Robert Prechter, Short Term Update
Category: Stocks
Stocks vs. Bonds: T-bills, Anyone?
Many shun Treasuries, but few realize that in 2011 they matched the S&P 500
By Vadim Pokhlebkin
12/14/2011 5:30:00 PM
U.S. Treasury bonds, notes and bills have long been the wallflower of the investment world: too old-fashioned, too boring -- and, most importantly, with yields stuck near zero, not very good "earners." Despite all that, EWI's president Robert Prechter has long recommended T-bills (along with cash and other "cash equivalents") as the ultimate capital safety in these uncertain times. Prechter's conservative investment stance has paid off -- and in more ways than one. Reports our own December 9 Short Term Update...
Filed Under: Elliott wave, Elliott Wave trading, Nasdaq Composite, S&P 500, Short Term Update
Category: Stocks
By Bob Stokes
11/18/2011 4:30:00 PM
When a well-known chart pattern becomes "obvious," it's wise to remember that it can turn out to be obviously wrong. Very recently, a pretty "triangle" pattern turned ugly. Elliott wave analysts were not surprised because...
Filed Under: Elliott wave, S&P 500, Short Term Update, technical analysis
Category: Stocks
By Bob Stokes
10/21/2011 5:30:00 PM
The October 21 triple-digit stock market surge led a major financial website to ask:"Could Today's Market Leap Have Been Predicted?" (Smartmoney) The short answer is "Yes." In fact, it was.
Filed Under: Dow Industrials, Elliott wave, investor psychology, market forecasts, Short Term Update
Category: Stocks
Need an Expert Guide for Navigating Near-Term Market Opportunities?
Why the editor of EWI's Monday-Wednesday-Friday Short Term Update Steve Hochberg called for the recent market drop days before it happened
By Andrea Dibben
9/23/2011 2:15:00 PM
Sometimes you make a snap decision -- and then cringe when looking back. If only someone would have tapped you on the shoulder and said, "Hang on, don't do that!"
Filed Under: Elliott wave, Short Term Update, volatility
Category: Stocks
Will The Fed's "Operation Twist" Turn The Economy Around?
Why is Ben Bernanke's goal lower interest rates when EWI's Short Term Update's chart shows that 10-year bond yields are already at a five-decade low?
By Nico Isaac
9/20/2011 3:30:00 PM
Get out your dancing shoes, cuz this Wednesday (September 21) the Federal Reserve Bank is widely expected to "do the twist" -- "Operation Twist,"that is. The strategy (named for the Chubby Checker tune), was first introduced in the 1960s as a tried -- and failed -- method of using monetary policy to turn (or twist) the yield curve in a favorable, i.e. economic growth-inducing, direction.
Filed Under: Bernanke, central banks, credit crisis, debt, Elliott wave, Robert Prechter, Short Term Update, Treasury bonds, U.S. Federal Reserve (the Fed), U.S. Treasuries
Category: U.S. Economy
By Nathaniel Williams
8/29/2011 4:45:00 AM
Aug. 26 brought another round of disappointing news for real estate, which has prompted some to suggest it's time the Fed intervened. But what's most ironic is that the Fed denied the housing bubble's existence in the first place...
Filed Under: Bernanke, housing prices, Short Term Update, U.S. Federal Reserve (the Fed)
Category: U.S. Economy
By Nathaniel Williams
8/22/2011 5:00:00 PM
While the mainstream media unsuccessfully picked their brains for an explanation to Hong Kong's recent downturn, readers of EWI's Asian-Pacific Short Term Updatedidn't need one: They were prepared several days in advance. Here's how...
Filed Under: Bear market, Fibonacci, Keltner channels, Short Term Update
Category: Asian Markets
By Bob Stokes
8/15/2011 5:15:00 PM
There's a bigger head and shoulders pattern -- one that has been forming for years. Where's the market in this larger pattern?...
Filed Under: Bear market, head and shoulders pattern, New York Stock Exchange (NYSE), Short Term Update, technical analysis
Category: Stocks
By Bob Stokes
8/4/2011 1:15:00 PM
The August 3 Short Term Update talked about what can happen after prices plunge through the neckline of the classic "head and shoulders" pattern: "Sometimes the size of the ensuing decline can be approximated." The latest Update will provide you with a price target and up-to-the-minute charts...
Filed Under: New York Stock Exchange (NYSE), Short Term Update, stock indexes, technical analysis, trendlines, head and shoulders pattern
Category: Stocks
By Nico Isaac
6/22/2011 1:00:00 PM
More than a month has passed since silver prices endured a 30% crash from their April 26 peak to their early May low. Yet, the mainstream financial "investigation" as to what caused the metal's abrupt drop is no closer to being closed. According to the latest theory, silver's rout was the result of some UFO-like conspiracy; as in, Unintended Falling Object.
Filed Under: Elliott wave, Short Term Update, silver
Category: Gold and Silver
By Bob Stokes
2/17/2011 5:30:00 PM
"Fantastic Four" is the number of times the precious metal has approached a line of resistance that goes back several years. The fourth time is happening now; and a quadruple climb of this kind is unusual indeed. Our Elliott wave expert provides this commentary...
Filed Under: Elliott Wave Principle, gold futures, investor psychology, momentum, Short Term Update, silver futures, technical analysis, technical indicators, trendlines
Category: Gold and Silver