Written by Gary
Closing Market Commentary For 09-11-2013
Daily highs were made about 2 pm and began to slide in the opposite direction until the closing bell. Low volume and the HFT computers contributed to melting up and consequential melting down this afternoon. Trading remained in a narrow zone, mixed and lackluster -EXCEPT for the DOW.
Approaching the closing bell the DOW was up over 120 points and the small caps (NASDAQ) fell because of AAPL – very interesting and not that bullish. After market action was still inching upwards, not sure that will translate in the morning opening.
I wouldn’t call the afternoon melt up a surge, but the averages did indeed slither upwards which is a bit unexpected having strongly contemplated a consolidation. Also, the bulls would have rather seen the movement upwards AFTER a consolidation period, not on a weak financial footing and low volume. Challenging the historical highs while still financially fragile only sets up a possible negative ‘correction’ that has the markings of being rather ugly.
Any ‘strong’ movements up through a hard resistance on very low volume also indicates manipulation from DaBoyz and the HFT algo computers, NOT human investors. This is not a good setup for another run at new historical highs.
Now that a Syrian ‘war’ has been put aside and no talk from the Fed’s on possible tapering, we could see new highs sooner than expected.
At any rate, don’t place your bets just yet as there are some market moving financial news coming up in the next 2 days that has the potential to move the averages in way you can’t contemplate.
Pundits from both side of the markets, bear and bulls, are opining like there is no tomorrow and you just have to believe what they have to say. All of this talk is just that – talk. With so much uncertainty on the market’s technical side and some on the real world financial side like Dr. Ben’s free ice cream program. Investors have to seriously consider if this house of cards, built on massive debt, can continue to sustain itself. The ‘great recovery’, if you can really call it that, hasn’t been all that great and some say that we are going backwards. I can’t stop thinking that this market is going to fall apart and it isn’t going to be pretty I am afraid.
The DOW at 4:00 is at 15326 up 135 or 0.89%.
The SP500 is at 1689 up 5.14 or 0.31%.
SPY is at 169.44 up 0.53 or 0.31%.
The $RUT is at 1055 down 0.38 or -0.04%.
NASDAQ is at 3725 down 4 or -0.11%.
NASDAQ 100 is at 3180 down 5 or -0.16%.
The longer trend is up, the past months trend is bullish, the past 5 sessions have been positive and the current bias is positive.
WTI oil is trading between 106.58 and 108.05 today. The session bias is sideways and is currently trading down at 107.71.
Brent Crude is trading between 111.02 and 112.50 today. The session bias is negative and is currently trading down at 111.64.
Gold fell from 1368.19 earlier to 1357.67 and is currently trading up at 1364.60.
Here’s why copper has lost its indicator role
Dr. Copper is at 3.275 rising from 3.255 earlier.
The US dollar is trading between 81.94 and 81.15 and is currently trading down at 81.49, the bias is currently neutral.
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Written by Gary
