Thought Exchange

Tagged: IYT RSS

• Pete 1:33 PM on September 20, 2010 Permalink
  Tags: DIA ( 7 ), IYT   

  A Dow Theory buy signal? 

  Marketwatch.com reporting:

  Not to be left out of today’s burst of optimism on Wall Street, the venerable Dow Theory is close to issuing a buy signal.

  That’s because, assuming the stock market holds onto its mid-day gains, both the Dow Jones Industrial Average (DJIA) and the S&P 500 (SPX) will close above their rally highs set on Aug. 9.

  If they do, that will constitute a buy signal according to TheDowTheory.com, edited by Jack Schannep. The crucial levels to watch, on his interpretation, are 10,698.75 for the Industrials and 1,127.59 for the S&P 500.

  ——————————————————

  Richard Russell, editor of Dow Theory Letters, adheres to a more strict interpretation of the Dow Theory, and is therefore not quite ready to say that even a short-term buy signal has been generated. That’s because the Dow Transports as of mid-day trading in New York remain about 1% below their early August high (which came in at 4,516.35).

  Pete, and John are discussing. Toggle Comments

   

  • John 1:40 PM on September 20, 2010 Permalink | Log in to Reply

    Schannep is top rated at CXO advisors being 65 % correct by their count while Russel is rated below Cramer (47%) at 40% right.

    • Pete 2:05 PM on September 20, 2010 Permalink | Log in to Reply

      Interesting that both are following the same Dow Theory but having such different results. Cramer at 47% rating has amazing marketing behind him, imagine he upped it to 50% then he would be ‘never be wrong’ marketing he he

• Pete 12:46 PM on July 27, 2010 Permalink
  Tags: IYT, SPY ( 28 )   

  David Rosenberg – “We’re All Chartists Now” 

  David Rosenberg writes:

  There is no denying that the technical picture has improved. In particular, 1040 has proven to have been major support for the S&P 500. The new high list continues to grow rapidly while the new low list is fading fast. The 200-day moving average, which looked to be faltering two months ago, is back to an up-slope for all the major averages, including the transports and small caps.

  . . .

  To repeat, the technical picture has improved. The data have really been unimpressive even if not horrendous. And I think we have the potential for a lot of disappointments in earnings to come as the plays on “domestic demand” are in the offing.

  Some things to note. First, at the lows, perma bulls like Barton Biggs turned bearish. Now at the highs, perma bears like Richard Russell appears to have turned bullish. To be sure, the market downdraft in June was never confirmed by the transports, but did they confirm the move in the industrials to recovery highs in April.

  More 200DMA talk and funny how Mr. Rosenberg is watching other pros for sentiment.

  Teresa Lo, and Pete are discussing. Toggle Comments

   

  • Teresa Lo 1:55 PM on July 27, 2010 Permalink | Log in to Reply

    Biggs was actually on Bloomberg a couple of days ago, saying he’s now long. Hope he’s not selling low, buying high!

    • Pete 2:14 PM on July 27, 2010 Permalink | Log in to Reply

      Bloomberg Barton Biggs in case anyone missed it. Click video tab on top.

      • Teresa Lo 2:27 PM on July 27, 2010 Permalink | Log in to Reply

        In the podcast version, he came out swinging with some quip about he changed in mind because the facts changed. More like he changed his mind because the price changed? He-he.