ETF Prophet

Here we are again, back at major resistance levels that marked multiyear highs in the S&P 500 last May and DOW 13k.  We had a small sell the news reaction to the Greece bailout news but the bears still failed to keep the bulls down. I would guess many are getting cautious after a seven [...]

Underlying support is strong, and mild dips were gobbled up. Dow 13,000 and the 2011 S&P highs are magnets to draw in prices for next week. On Tuesday morning, we’ll likely be reacting to a Greece resolution or more meetings.  Some sort of deal will give the market short-term bounce, but may invite some profit [...]

After a quick test of yesterday’s low the buyers took over on a reported ECB involvement in the Greece bond swap deal to be completed this weekend.  We also have a good AMAT report after hour to help the technology sector.  The bulls are back in charge.  A intraday retrace of about 10points tomorrow or [...]

The dip-buyers pushed us above recent highs twice during the day on Europe optimism but were turned back by the close. We even went out close to the lows even though we still manage to hold above a 1% loss and held on to yesterday’s low. After going up for 10 straight days into a [...]

Early morning sell off was again bought by late day bargain hunters.  The bears were barely able to hold on to a 2pt drop in the S&P.  Intraday ranges had stayed around 8-10pts with the VIX continuing to hover below the 20 level.   If there was a Greek deal tomorrow morning, will the bears step up [...]

There was a brief dip in the first hour but the buyers didn’t wait long.  Breadth was quite strong, while volume was light.  Key big-cap momentum favorites were running.  Moody’s downgrade after close is causing a mini sell off.  Will the bears be able to keep the market down tomorrow? 

It’s been a while but we saw the worst action of 2012 that still failed to mark a 1% drop in the SPY.  The first dip of 5-8% are usually buyable (not saying we will get that into option expiration week), but it’s the subsequent rebound that will set the tone.  Earnings season is basically over [...]

The dip-buyers stepped in for a third straight day and closed us in the green.  Apple really picked up the slack today.  Its amazing to watch a stock with a huge market cap shoot straight up.  Is this some form of shorts capitulating?  The market continues to hold up well.  Same patterns of small ranges and buying early weakness [...]

Once again, the market recovered off a morning low.  As soon as we dropped below Tuesday’s low, the buyers jumped in buying Apple and other big-cap momentum names.  Breadth was solid by the finish.  With two days before option expiration week, will we finally get some weakness as the after hour earnings seemed a bit [...]

Buying the early dips continue to work and we ended up closing near the highs.  An extended market can become even more extended.  After all the going no where in the past 10 years, is it finally the bull’s turn?

Once again, the dip-buyers show their resilience.  Just about everyone recognizes that this market could use a rest, but buying the morning lows continue to work.  There isn’t much choice but to play along.  1350 to 1370 on the S&P500 are the next targets.

After 8 straight nonfarm payroll down days, it was probably a crowded short this morning on a very good number. The bears were over anticipating some sort of correction and helped with today’s breakout to the upside. There are barely any dips at all and performance anxiety are probably setting in on the fund managers [...]

While the indices had a mixed day, stubborn support prevailed again and prevented any real drop.  The Russell 2000 continued to probe new high while the S&P500 looked a little tired. We have the monthly jobs news in the morning, and that will be a major market catalyst.  On a good number, 1350 on the [...]

After the market went straight up for the entire month of January, we had four straight days of drip lower action to end January.  New month money came in today.  The past pattern probably calls for a consolidation or small upside day tomorrow. Friday’s outcome would depend on the reaction to the jobs number.  Greece [...]

Over the last eight trading days, the S&P 500 has traded in a very narrow range. For four days in a row, we have had downside action but the dipbuyers continued to bail us out and supported the low. With window-dressing pressures now over, will the new month money be enough to hold us up? [...]

The European sovereign debt issues triggered some selling at the open, but the market held up reasonably well.  Breadth managed to improve quite a bit from nearly 4-to-1 negative in the early going and excitement in technology spilled over.  The bears came close to taking out key support at 131 and 130 on the SPY, [...]

Volume was light and we drifted lower, but there was constant support under the surface.  Strength in small-caps and news that Facebook expects to announce its initial public offering next week ignited a wide range of internet names.  Until we can take out the low during the FOMC rate announcement   the bears will continue to [...]

After 3 weeks, we finally had our first day of decent selling.  Euphoria over the Federal Reserve’s low interest-rate announcement was reversed early on.  The Fed is back on the sidelines and major earnings mostly done.  What will be the catalyst for a further rally?  That said, the dip buyers must be salivating to buy [...]