| trend | adx | psar | pps | macd | macd trend | sto | sto trend | |
|---|---|---|---|---|---|---|---|---|
| SPY $118.70 | ||||||||
| VIX 23.60 | ||||||||
| TLT $92.79 |
Both AP and Reuters are blaming the downward move on the Greek debt crisis. but honestly? I don't believe it for a moment.
The downward move brings SPY, trackig blue-chip stocks, to last Wednesday's levels, and TLT, tracking long-term Treasury bonds, to a stunning 1.2% gap up to a level last seen in December 2009.
If I were to believe that the Greek debt crisis would put extreme downward pressure on U.S. interest rates, then the markets would make sense in terms of TLT, but not of SPY, since low interest rates are stimulative. (Also, you can't go below zero on rates, yes?)
So it's a muddle. As Master Trader Yoda said, "Ask not. Do or do not. There is no ask."
Good advice.
Martin Pring's detailed deconstruction of the economic cycle: What sorts stocks to look for at each stage of the recovery. A masterful analysis.
Indicator Exchange-Traded Fund Symbols:
EEM - emerging markets
EUR/USD - euro/dollar currency pair
GLD - gold
JNK - high-yield corporate bonds
SPY - blue-chip stocks
TLT - Treasury long-term bonds
USD/JPY - dollar/yen currency pair
USO - crude oil
VIX - fear index
Abbreviations:
psar - Parabolic Stop and Reverse
adx - Average Directional Index
pps - Person's Proprietary Signal
ma20 - 20-day moving average
macd - Moving Average Convergence-Divergence
mfi - Money Flow Index
sto - Fast Stochastic
About the glance: The colors indicate the state of each signal.
- trend: Determined by the 5-day moving average, green for up, red for down, yellow for sideways
- adx: orange for above 30-up, blue for 20-down, purple for in the middle. Red is most prone to whipsaws
- psar, pps, macd: green for bull mode, red for bear
- sto: green for overbought, red for oversold, yellow for the neutral zone.
New to private trading? Here's a look at How to Become a Private Trader.
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