The Market Is Tired . . . Of The News Cycle September 27, 2013
Posted by Tom in Thoughts.Tags: market analysis, market commentary, stock market commentary
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Tried of the news? Yeah, me too. And sometimes it may be a good idea just to turn it down, maybe not off, but just not soooo much of it. I think this market is tried too. As evident of the fact that the broad NASDAQ Composite Index moved just 7 points from last Fridays Close to this Fridays Close, that’s 0.18% . . . not much by anybody’s measure. This looks like a waiting game: the market is waiting to see just how dumb Congress can be and the rest of the world is waiting to see how the US market reacts.
Right now we don’t see much action in the Buying or Selling areas and the VIX (options index of puts to calls and sometimes called “The Fear Index”) is actually rather low. Perhaps the market is complacent, can’t believe it or is just waiting. So with very little movement I’ve decide not to post the normal price chart . . . . it just moved sideways this week in a narrow range anyway.
But let’s take a look at “Money Flow”:
The pie chart rather confirms my feelings. I don’t see wholesale concerns here, there is not much in the way of Distribution of stocks in the S&P 1500 Index, and a fair amount of “Neutral” up there. So let’s just see how this plays out. The end of the 3rd quarter is on Monday and lots of folks will be happy if they can get by Monday without something hitting the fan. Looks like we survived September (what was that about a crash in September?, oh well).
Not much else to say, so I’ll leave you with have a good week and try not to get involved in the news . . . just observe, don’t judge, don’t get involved. Trade what you see, not what “should happen”. Good Trading. ………. Tom ………….
pie chart by http://www.HighGrowthStock.com; used with permission.
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