Up and down. Up and down. Range bound, range bound. This is getting silly……..and old.
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.
Past Pluperfect
Having endured the nonsensical rally from yesterday, I was pleased to see us sink again today, because the broken trendlines are absolutely picture perfect in form. It’s because of these trendline failures that I was comfortable pushing into more short positions during the strength.
Clinging to Averages
Interesting how the overall market, represented here by SPY, is so cleanly range-bound by its moving averages. The 50/100/200 are shown below, and with a lack of major news to jolt the market up or down, we’ve been spending the past few weeks bouncing with eerie predictability.
MSCI World Indices Weakening
The following daily chart of the MSCI World (ex USA) Index shows that price has dropped, once again, to just above the 1800 level (as of last Friday’s close).
The MACD histogram and RSI indicators are hinting that price is attempting to stabilize on this short-term timeframe and may reverse its decline that began in early July.
The Market Has Gone Nowhere for a Year
So, as the bulls pat themselves on the back for holding all the way down last year for a 20% draw down so that they can “enjoy” the rally we got in 2019, I hope they don’t hurt their arms and shoulders from all their back-patting. But, they may be in for a dose of realism when they realize that the market has now been completely flat for the last twelve months.
Allow me to show you a simple fact that should make bulls feel like they have exerted a lot of energy and worry, only to be completely flat over the last year. (And, yes, I am going to use a date from the middle of this past week for a reason). On August 14th of 2018, the SPX closed at 2839.96. And, now, one year later, on August 14th, 2019, the SPX closed at 2840.60.
(more…)Annoyance Deluxe
I remain relatively light as this silly rally plays itself out. Please take note of each of the resistance levels I’ve highlighted below.
High Yield Corporate Bonds: Breakout Or Breakdown?
The High Yield Corporate Bonds ETF (HYG) is at an interesting juncture.
There are, potentially, two uptrend lines that one could apply to form a large long-term triangle pattern on the following monthly chart. In turn, two possible triangles and two apexes emerge.
Price has been bouncing in between both apexes (and upper edge of this triangle) since February of this year. Attempts to fully break out and move higher have failed repeatedly since then.
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