Daily Analysis

July 30, 2008 Another solid effort by the bulls today as they managed an impressive follow through from yesterday’s 2% bounce. But here’s the breakdown: the status quo that we have mentioned in previous articles (namely financial crisis, housing meltdown, and oil exuberance) hasn’t changed. There is no confirmation that another major bank won’t go

July 29, 2008 The beginning words in a famous poem by Robert Frost that we have all heard since childhood. And as we all know, the poem ends “I took the one less traveled by, and that has made all the difference”. So you’re wondering as to why we choose to mix poetry with the

July 28, 2008 A new week and more of the same from Wall Street. Oil showed some strength, in which if it decides to rebound or at the least give us a dead-cat bounce, after two weeks of solid declines, this would not be the most ideal of times for the bulls as it

July 25, 2008 A quiet day for the most part, though the NASDAQ was able to put together some respectable gains after what has been a solid week of earnings for companies in the index. The Dow and S&P saw a continuous decline for the day after opening up relatively strong. If the only bounce

July 24, 2008 If you were starting to feel the slight bit optimistic today, I’m sure you had the wind knocked out of you by the time the market closed. But to be completely honest, I’m surprised that the market made it as far as it did without the type of sell-off that we got

July 23, 2008 A couple of ways to look at the market today. Both a bullish and a bearish perspective. First, the bulls will argue that today’s rally is proof that we have finally hit bottom. Why? Each rally has been met with a solid follow-through, not to mention the rally yesterday, preceded by a

July 22, 2008 This is where the market becomes more and more difficult to interpret. If you read my post yesterday, I was in the camp of the bears heading into the market open. Funny though because in the back of my head I was aware that I was becoming almost too sure of it,

July 21, 2008 Let’s be honest – it would have been more exciting watching grass grow than to sit in front of a computer and watch today’s market action. Traders used the bullish open to fade it to the downside and from thereafter the market traded sideways for the remainder of the session. The real

July 18, 2008 This was the best week we had seen in the markets in quite some time. In fact it was the first week to finish positive in over seven weeks in the S&P. That is a long wait. Despite two very strong days on Wednesday and Thursday, the bulls weren’t too enthusiastic to

July 17, 2008 The rally from the past two days have been textbook so far. A strong rally followed up with a descent follow through. The question now becomes, is how much faith do we put in these two rallies. Absolutely none! Here’s why. The bears are going to short this rally – I’m pretty