The Bond Market is Telling the Fed Not Yet!

If an older water pump is turned off for an extended period of time, it will lose pressure and stop working. In order to get the pump going it needs to be “primed,” meaning water needs to be manually forced … Continue reading

On Bipolar Markets…

What a difference a few days makes! On Friday, the market looked ready to fall into the abyss. (Click here to read, “This Chart Sums Up the Last Two Weeks of Volatility.“) Today, we are seeing just the opposite, as … Continue reading

This Chart Sums Up the Last Two Weeks of Volatility

This picture, courtesy of Ed Matts at Capital Management, sums up the market activity of the past two weeks: The black hole at the end is accurate because, for the first time in a long time, there doesn’t seem to … Continue reading

These Momentum Darlings Just Gained the Freshman 15

Yesterday, we learned about the “momentum darlings” of 2014. You can review that here. Today, let’s look at what happens when a momentum darling heads off to college and Ms. Popularity suddenly finds herself surrounded by even more attractive, more … Continue reading

These Stocks are 2014′s Mean Girls

Every bull market has its “momentum darlings:” stocks that command insanely high valuations and outperform the rest of the market. Momentum darlings are like the popular girls in high school. Their attractiveness makes them popular and their popularity makes them … Continue reading

Inline Jobs Data, Bandwagon Selling, How Long Can It Last?

On Friday morning, the BLS reported that the economy created 192k non-farm jobs in March. This number was roughly in-line with expectations (195k) and in-line with the moving average (200k). You can read more about the banality of the jobs … Continue reading

More Mundane: the Jobs Report or Baseball in April?

Everybody’s favorite meaningless set of data was released this morning – the meaningless Non-Farm Payrolls and the meaningless Unemployment Rate. The US created a meaningless 192k jobs in March, which was in-line with meaningless expectations. This followed a gain of … Continue reading

Always watch 52-week lows for opportunity…

Naivety knows no bounds… “Want to Buy Stocks Making 52 Week Lows (Don’t)…” “Why you need to ignore 52-week lows…” “Never buy a stock making a 52 week low…” “Never buy a stock in a downtrend…” These are actual investing … Continue reading

Big Trouble in Big China, and a Big Solution

In the past week, we’ve addressed the upcoming issues that the Chinese economy faces. You can read the first two emails here… Big Trouble in Big China… Here’s What You’ll Need to Know Big Trouble in Big China, Part Deux … Continue reading

Bitcoin’s Downward Spiral

In late February, we discussed how the sudden closing of Bitcoin-exchange MtGox was a proverbial canary in the coalmine… you can read Is This the End of Bitcoin? here… After a brief bounce, Bitcoin (BTC) has remained on the same downward … Continue reading

The Market Faced Down an Enormous Wall of Worry. And Prevailed.

In the last year, investors have been bombarded with negative news story after negative news story. You can’t check your email or turn on cable news without hearing about the coming apocalypse. (Heck, even I’m guilty at times for pointing … Continue reading

The Author of “Moneyball” Has a New Book on How the Stock Market is Rigged. And Wall Street is Not Happy.

Wall Street is abuzz with the release of Michael Lewis’s new book, “Flash Boys,” detailing how a small group of traders figured out how the stock market was rigged in favor of high frequency trading firms and big banks. This … Continue reading