Authored by Pater Tenebrarum via Acting-Man.com,
Read Part 1 here...
Contradictory Signals
Special antennae that help traders catch upcoming opportunities. Available from the same outfit that sells the soup-cooling spoon (Acme Inc).
As the Dow is quickly approaching the 25,000 level, some might find it hard to remember that in the very near past, the Dow traded sideways for 21 months!
Any reason the Dow didn’t make any progress for over a year and half? Could part of the reason be a key Fibonacci extension level?
The global stock market is just a few days from entering the history books, largely thanks to the constantly priced in tax reform. As SocGen calculates, and barring any end of year sell-off, the MSCI World index is set to record it first ever year of posting a positive total return in every single month and will hit a remarkable sequence of 14 months of positive returns.
"Recovery" is a funny word that seems to mean very different things to different people...
Industrial Production rose just 0.2% in November (below the 0.3% rise expected) but October was revised higher from 0.9% to 1.2% amid storm reconstruction.
And so while The Dow Jones Industrial Average has 'recovered' its way to new record highs way beyond Dec 2014 levels, actual Industrial Production continues to lag...
In the most interesting exchange during Janet Yellen's final news conference, CNBC's seemingly flustered Steve Liesman asked Janet Yelen a question which in other times would have led to his loss of FOMC access privileges: "Every day it seems the stock market goes up triple digits on the Dow Jones: is it now, or will it soon become a worry for the central bank that valuations are this high?"