Sunday, November 08, 2015 9:02:11 PM
You’d be adding to your stock holdings, chasing hot tips and dreaming of riches.
Yet as always, counting your chickens before they’re hatched is a big mistake. Even more so because all available evidence tells me that U.S. and European stock markets are now a recipe for disaster.
All you have to do is look beyond the illusion of the major indices to see why. Since the August low in global stock markets, the rally that has occurred …
FIRST, has been accompanied by declining volume. When a market rises and volume simultaneously declines, it’s a bearish sign.
SECOND, most stocks traded — both here and in Europe — are actually declining. There are very few leaders pushing the major indices higher. In fact, as I pen this column, here in the U.S. …
Of all publicly traded stocks …
— 44.63% or fully 6,442 are now down at least 10% year-to-date.
— While a whopping 36.9% or 5,204 are down more than 15%.
And only 32.5% are actually up for the year.
Put another way, 77.5% of all publicly traded U.S. stocks are either flat for the year or down more than 10%.
THIRD, of the stocks that are actually advancing, their numbers are also shrinking. Also a very bearish omen.
FOURTH, most other indices are actually down for the year. The Dow Transports are down 10.2%. The Dow Utilities, down 3.5%. The Russell 2000, down 2.5%.
Meanwhile …
FIFTH, total margin buying of U.S. equities — according to latest data (Sept. 30) — stands at a whopping $454 billion, just a tad below record highs.
Given the internally fractured soul of the markets, enumerated above, such massive leverage by investors and institutions is a recipe for disaster. Even the slightest move down can end up causing panic liquidation.
Given the internally fractured soul of the markets, even the slightest move down can end up causing panic liquidation.
SIXTH, earnings expectations are largely being slashed, the dollar is starting to soar (a negative for corporate earnings going forward) and several other indicators I monitor …
All tell me the stock market is about as risky now as it ever gets."
Thank you, jd...
Indices w/stocks above their respective MA200:
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=115760998
Recent VXX News
- Form 424B2 - Prospectus [Rule 424(b)(2)] • Edgar (US Regulatory) • 03/11/2024 09:25:11 PM
- Form 424B2 - Prospectus [Rule 424(b)(2)] • Edgar (US Regulatory) • 03/11/2024 09:21:10 PM
- Form 424B2 - Prospectus [Rule 424(b)(2)] • Edgar (US Regulatory) • 03/11/2024 09:15:52 PM
- Form 424B2 - Prospectus [Rule 424(b)(2)] • Edgar (US Regulatory) • 03/11/2024 08:14:45 PM
- Form 424B2 - Prospectus [Rule 424(b)(2)] • Edgar (US Regulatory) • 03/11/2024 08:10:31 PM
- Form 424B2 - Prospectus [Rule 424(b)(2)] • Edgar (US Regulatory) • 03/11/2024 07:47:15 PM
- Form 424B2 - Prospectus [Rule 424(b)(2)] • Edgar (US Regulatory) • 03/11/2024 07:27:52 PM
- Form 424B2 - Prospectus [Rule 424(b)(2)] • Edgar (US Regulatory) • 03/11/2024 07:23:47 PM
- Form 424B2 - Prospectus [Rule 424(b)(2)] • Edgar (US Regulatory) • 03/11/2024 07:11:54 PM
- Form 424B2 - Prospectus [Rule 424(b)(2)] • Edgar (US Regulatory) • 03/11/2024 07:11:42 PM
- Form 424B2 - Prospectus [Rule 424(b)(2)] • Edgar (US Regulatory) • 03/11/2024 07:08:25 PM
- Form 424B2 - Prospectus [Rule 424(b)(2)] • Edgar (US Regulatory) • 03/11/2024 06:54:20 PM
- Form 424B2 - Prospectus [Rule 424(b)(2)] • Edgar (US Regulatory) • 03/11/2024 06:54:05 PM
- Form 424B2 - Prospectus [Rule 424(b)(2)] • Edgar (US Regulatory) • 03/11/2024 06:25:46 PM
- Form 424B2 - Prospectus [Rule 424(b)(2)] • Edgar (US Regulatory) • 03/11/2024 05:27:03 PM
- Form 424B2 - Prospectus [Rule 424(b)(2)] • Edgar (US Regulatory) • 03/11/2024 05:00:45 PM
- Form 424B2 - Prospectus [Rule 424(b)(2)] • Edgar (US Regulatory) • 03/11/2024 04:52:11 PM
- Form FWP - Filing under Securities Act Rules 163/433 of free writing prospectuses • Edgar (US Regulatory) • 03/11/2024 03:34:14 PM
- Form FWP - Filing under Securities Act Rules 163/433 of free writing prospectuses • Edgar (US Regulatory) • 03/11/2024 03:30:31 PM
- Form 424B2 - Prospectus [Rule 424(b)(2)] • Edgar (US Regulatory) • 03/11/2024 03:21:02 PM
- Form 424B2 - Prospectus [Rule 424(b)(2)] • Edgar (US Regulatory) • 03/11/2024 03:10:38 PM
- Form FWP - Filing under Securities Act Rules 163/433 of free writing prospectuses • Edgar (US Regulatory) • 03/11/2024 03:03:20 PM
- Form 424B2 - Prospectus [Rule 424(b)(2)] • Edgar (US Regulatory) • 03/11/2024 02:47:16 PM
- Form 424B2 - Prospectus [Rule 424(b)(2)] • Edgar (US Regulatory) • 03/08/2024 08:47:00 PM
- Form 424B2 - Prospectus [Rule 424(b)(2)] • Edgar (US Regulatory) • 03/08/2024 08:19:13 PM
NanoViricides Reports that the Phase I NV-387 Clinical Trial is Completed Successfully and Data Lock is Expected Soon • NNVC • May 2, 2024 10:07 AM
ILUS Files Form 10-K and Provides Shareholder Update • ILUS • May 2, 2024 8:52 AM
Avant Technologies Names New CEO Following Acquisition of Healthcare Technology and Data Integration Firm • AVAI • May 2, 2024 8:00 AM
Bantec Engaged in a Letter of Intent to Acquire a Small New Jersey Based Manufacturing Company • BANT • May 1, 2024 10:00 AM
Cannabix Technologies to Deliver Breath Logix Alcohol Screening Device to Australia • BLO • Apr 30, 2024 8:53 AM
Hydromer, Inc. Reports Preliminary Unaudited Financial Results for First Quarter 2024 • HYDI • Apr 29, 2024 9:10 AM