Ken Tower
Ken Tower
again looking low market rally sell test thinking
We're thinking that yesterday's rally will probably go back down and test the low today... So, this afternoon, we're looking again probably for the market to sell off.
bears game implies lack reaction strong today traders
Today we should get some idea of just how strong the bears are. Yesterday's lack of reaction implies traders don't think the bears have much of a game here.
correction likelihood seeing strong
We had a really strong rally, ... and there's the likelihood of seeing a significant correction through the end of October.
decline good looking market people reaction terms torture water
Finally, the market got a reaction after that water torture of a decline in July. People reacted, which is very good in terms of looking for a bottom.
bullish continues leading led performance premature press rally relative sector tech
Financials led the sector rally yesterday. Tech has been getting a lot of bullish press recently, but its relative performance continues to suffer. It's premature to put this into the leading sector category.
bears bulls neither nor seem unless
Neither bulls nor bears seem to be making any headway, unless you look at the Dow.
demand prices supply
It's all about supply and demand, and if you've got no demand for stocks, prices are going lower.
both confidence consumer corporate economy level overall quite tone
It's not that everything is perfect. But the overall tone of the economy and the level of both consumer and corporate confidence is quite high.
bullish case dependent fed next partly rate rates stopping year
For many, the bullish case for next year is partly dependent on the Fed stopping its rate hiking. But historically, the Fed stopping isn't necessarily bullish for stocks. It's when the Fed lowers rates that it's bullish.
abandon basic beating early energy friday group industrial leadership reaching seems since stocks surprising tech took
It's not too surprising that tech stocks took a beating on Friday since they have not been a leadership group of late. While tech has been languishing, basic materials, energy and industrial stocks have been reaching new highs. These may be tiring, but it seems too early to abandon them yet.
chinese hold incredible people torture water
It's only Chinese water torture to people who hold the Dow. For those in the Nasdaq it's an incredible party.
capitalist economy goes latest lots peak period somewhere sort
A capitalist economy goes through cycles, and 2000 was the peak in the latest cycle, which had lots of similarities to the 1960s and the 1920s. Now we're somewhere in this sort of troublesome period like the 1970s.
again average below current high key link longer lots major remain stocks support term trends weak yesterday zones
Yesterday's high now become key resistance. Because the longer term trends all remain up, there are lots of support zones below current prices. The big Nasdaq stocks have been the weak link in the rally, as demonstrated again yesterday by being the only major average to fall.
again bulls energy led rally stocks technology time
This rally is very fragile, as it is being led once again by energy stocks and not technology or finance. This is no time for the bulls to relax.