Bad Week for the Markets
by JDH on September 27, 2014
When I was a boy, my mother would send me down to a corner store with $1 and I’d come back with 5 potatoes, 2 loaves of bread, 3 bottles of milk, a hunk of cheese, a box of tea and 6 eggs. You can’t do that now… Too many security cameras.
– Anonymous
It was a bad week, but now what?
The bars at the bottom of the chart show the Net Hew Highs, and not surprisingly every time the indicator goes negative there is a correction (because there are more new lows than new highs). It’s happened four times this year, with corrections of 6.1%, 4.4% and 4.5%. If the current correction goes to 4.5%that would put the index around 1,930, and would break the bottom of the channel.
But, of course, Friday was better than Thursday, and it’s quite possible that this is as low as it will go, and it’s now back to the upper end of the channel.
Makes sense, because with mid term elections in November the Powers That Be don’t want a stock market crash.
So, let’s assume it’s all good, and it’s onward and upward from here.
Until it isn’t.
See you next week.
Bad Week for the Markets
by JDH on September 27, 2014
When I was a boy, my mother would send me down to a corner store with $1 and I’d come back with 5 potatoes, 2 loaves of bread, 3 bottles of milk, a hunk of cheese, a box of tea and 6 eggs. You can’t do that now… Too many security cameras.
– Anonymous
It was a bad week, but now what?
The bars at the bottom of the chart show the Net Hew Highs, and not surprisingly every time the indicator goes negative there is a correction (because there are more new lows than new highs). It’s happened four times this year, with corrections of 6.1%, 4.4% and 4.5%. If the current correction goes to 4.5%that would put the index around 1,930, and would break the bottom of the channel.
But, of course, Friday was better than Thursday, and it’s quite possible that this is as low as it will go, and it’s now back to the upper end of the channel.
Makes sense, because with mid term elections in November the Powers That Be don’t want a stock market crash.
So, let’s assume it’s all good, and it’s onward and upward from here.
Until it isn’t.
See you next week.