Doing Little

I am not planning on making any big moves as this market scares the hell out of me. While everything is not fine it is difficult to know when problems will arise again. It could be a day or it could be a year. Barring any major news the market should continue to make more upside attempts over the next few days before testing the downside again. Have a good night.

2 comments:

Anonymous said...

Stocks surged around the world Monday after the EU and IMF announced a $1 trillion bailout package for Greece and the rest of the Europe's so-called PIIGS. U.S. stocks followed suit early Monday as gold slipped, the dollar tumbled vs. the euro and other "risk-aversion" trades were unwound.

But the danger is far from over, says Richard Suttmeier, chief market strategist at ValuEngine.com, who notes the Dow lost in eight days almost all of the roughly 1400 points it gained in the 10 weeks from Feb. 8 to April 26.

Such a rapid decline is "telling you the fundamentals do not support higher stock prices," he says. "Over the long run, the fundamentals and the technicals favor lower stock prices."

How much lower? Repeating his warning from March 10, Suttmeier believes the Dow is fairly valued at 8500 and believes we'll see that level before we see Dow 11,500.

Random Thoughts said...

Little Late

Mammary Monday - Marielle Jaffe