Last week the Fed Chairman Powell said that the economic reopening could cause inflation to pick up temporarily. He pledged not to raise interest rates even with the uptick of inflation. The stock market took it as an excuse and crashed the NASDAQ to down more than 10% from the 52-week high on Thursday. It […]
Last Tuesday the NASDAQ made a low that created an 8.26% correction measured from the February 26 2021 high. It spent the next three trading days trying to take out the Tuesday low and it was not able to do so. The DOW and S&P 500 both experienced less than 4% correction measured from high […]
Now the laggard DOW has gathered strength and closed at the upper channel line on the weekly chart. The weekly oscillators have turned up and is getting ready to march with the rest of the indices. The pundits are calling for the market valuation is too high, but the treasury sectary Yellen and other members […]
In the last few weeks we have blogged about the possibility of a 5-15% correction. When the market had its first swing down for about 4%, we were skeptical about the shallow correction and we were waiting to add more money into the second swing down. However, the super strength in the last two weeks […]
Last week the entire nation was gripped by the violent trading in GameStop stock. The volatility in the most shorted GameStop stock was super high. In the last six trading days, $GME stock traded between 42.32 to 483 defying the fundamentals of the company’s business. There are noted hedge funds took loss and covered the […]
Last week the NASDAQ and small cap Russell 2000 had a great week, yet the DOW is lagging, just can’t breakout the 31,200 level on closing basis. The weekly oscillators have turned down despite the DOW making a new intraday high last week. The DOW’s highest weekly closing occurred two weeks ago. Why the divergence?
