Dow Jones 10510.01 -12.80
NASDAQ 2068.38 +41.25
Merrill Lynch added to the buy on the dips spirit in US with a bullish call on the chip industry saying "We believe that the worst of the downturn is now behind us,"
But the Dow though was +ve most of the session ended the day down -12.80 as sellers got more vigorous in the cyclical, drug and retail sectors...still intact however after yesterday's upbeat rise...
This recent continuous +ve movements in US led some analysts pointing to signs suggesting stocks may be in the early stages of another bull market...
"The NYSE advance/decline line is in an uptrend and telling us that the average stock is higher now than it was at the end of last year. And that's taking place in the face of an earnings recession and in the face of heightened skepticism on the part of investors...There's evidence the Fed's stimulus is starting to work and the market is looking forward to better earnings in the fourth quarter and next year," said Clark Yingst, chief equity strategist at Joseph Gunnar
More interestingly Jay Suskind, director of trading at Ryan Beck & Co said that a positive is the fact the averages have spent time building a base over the past months. "The market is waiting for specific leaders to say they've turned the corner. And if the economy show signs it's picking up, people will [commit]..."
"Things have been so gloomy, (but) now many people sense the bottom is here and we'll start to drift upward," Michelle Clayman, chief information officer at New Amsterdam Partners (cnnfn)
The report on the manufacturing sector showed factory activity contracting for the 12th straight month, but this didn't cause all doom and gloom as it also lifted hopes for lower interest rates from a Federal Reserve...
Well as I said in my earlier posts, once again it's been proved that it's not one-way down street as most UK traders believed and caused the doom and gloom sentiment lasting for some time, this also seems to be changing since most of the rises in last few days are caused by short covering...
Things don't all look pink and gloomy, and it's too early to announce the start of a sustained long-term rally, but one sure thing is that the US has neither given up on their economy nor the stock market...thus not allowing their indices to retest their lows of the year
So it's still bounces both up and down but indicating the end of the bear market in the US, this certainly doesn't refer to a day or week but rather a period or process, it will proved to be right if the US indices don't make new lows...
Still for us the point is we should make the best use of these movements no matter what and in order to do this we need to keep an open mind and go with sentiment and momentum neither blindly short nor long...both can hurt a lot
Riz
NASDAQ 2068.38 +41.25
Merrill Lynch added to the buy on the dips spirit in US with a bullish call on the chip industry saying "We believe that the worst of the downturn is now behind us,"
But the Dow though was +ve most of the session ended the day down -12.80 as sellers got more vigorous in the cyclical, drug and retail sectors...still intact however after yesterday's upbeat rise...
This recent continuous +ve movements in US led some analysts pointing to signs suggesting stocks may be in the early stages of another bull market...
"The NYSE advance/decline line is in an uptrend and telling us that the average stock is higher now than it was at the end of last year. And that's taking place in the face of an earnings recession and in the face of heightened skepticism on the part of investors...There's evidence the Fed's stimulus is starting to work and the market is looking forward to better earnings in the fourth quarter and next year," said Clark Yingst, chief equity strategist at Joseph Gunnar
More interestingly Jay Suskind, director of trading at Ryan Beck & Co said that a positive is the fact the averages have spent time building a base over the past months. "The market is waiting for specific leaders to say they've turned the corner. And if the economy show signs it's picking up, people will [commit]..."
"Things have been so gloomy, (but) now many people sense the bottom is here and we'll start to drift upward," Michelle Clayman, chief information officer at New Amsterdam Partners (cnnfn)
The report on the manufacturing sector showed factory activity contracting for the 12th straight month, but this didn't cause all doom and gloom as it also lifted hopes for lower interest rates from a Federal Reserve...
Well as I said in my earlier posts, once again it's been proved that it's not one-way down street as most UK traders believed and caused the doom and gloom sentiment lasting for some time, this also seems to be changing since most of the rises in last few days are caused by short covering...
Things don't all look pink and gloomy, and it's too early to announce the start of a sustained long-term rally, but one sure thing is that the US has neither given up on their economy nor the stock market...thus not allowing their indices to retest their lows of the year
So it's still bounces both up and down but indicating the end of the bear market in the US, this certainly doesn't refer to a day or week but rather a period or process, it will proved to be right if the US indices don't make new lows...
Still for us the point is we should make the best use of these movements no matter what and in order to do this we need to keep an open mind and go with sentiment and momentum neither blindly short nor long...both can hurt a lot
Riz
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