One of the very few short positions that is behaving itself these days is Akamai. I shorted this one a week ago or so, based on its trendline break. You can see what it did a few years ago in similar circumstances:
Slope of Hope Blog Posts
Slope initially began as a blog, so this is where most of the website’s content resides. Here we have tens of thousands of posts dating back over a decade. These are listed in reverse chronological order. Click on any category icon below to see posts tagged with that particular subject, or click on a word in the category cloud on the right side of the screen for more specific choices.
It’s Different This Time. Honest!
Consolidate or Retrace Here (by Springheel Jack)
I mentioned yesterday morning that statistically we were likely to be close to a period of retracement or consolidation on ES/SPX, and that has now most likely started. On ES a candidate short term double-top has formed and ES has broken below both the 50 and 100 HMAs. The 200 hour moving average is the other support level to note and that is now in the 1538 area. That's particularly worth noting today as the double-top target on a clear break below 1547.50 is the 1537.50 area which is a close match with the 200 HMA:
What Did That Two Points Cost?
Well, your federal government spent several billion more dollars today propping up the market, and for their money (actually, your great-grandchildren's tax dollars), they got two points on the Dow. I just calculated what that is in percent terms, but the result is shown using negative exponents, and I don't want to bother figuring out the value. Suffice it to say, the nimrods at the Fed are willing to pay any price to get a new record on the Dow, day after day.
I have little or nothing new to say about the market, but I feel compelled to say something, particularly with the dearth of non-Tim content, so here we go:
First, here's the Dow. The picture speaks for itself, and today's spinning top doesn't exactly suggest lots of underlying strength.
Yin & Yang, Dow & Gold
As human beings we try to intellectualize and get to the bottom of
things. We seek to find meaning in everything. There must be a reason for what is happening at any given time.
Take for example the Dow’s stellar performance and gold’s lousy
performance even as monetary policy has gone reckless on a global
scale. This goes against everything that humans who deal with the
financial markets think they know. But what if we are just getting back
into symmetry?
Dow & Gold, daily chart
