Monday, June 02, 2014

The $NYSI gave a buy signal on Tuesday and has not looked back, even if we turn down next week it would take a few days to revert to a sell signal.

Last week we talked about the "Bollinger Squeeze" on the SPY, and how it, SHOULD, go HIGHER, although I had some reservations, mainly the double top. OBVIOUSLY, it moved higher, and has now closed OUTSIDE the bollinger's for five straight days, which reminds me of that movie, it was, aaaahhhhh, Oh, yea, "THE YEAR OF LIVING DANGEROUSLY". Definitely NOT for the faint of heart if you plan on going long at this point, but NOTHING compared to what I will show below.

Since it's the end of the month I thought I'd show the MONTHLY results rather than the weekly, the big winner this month in my 73 markets I monitor was the XIV, which, PROBABLY, means that the VXX was the WORST market. That was followed by India, EPI, and Putin, RSX, ALTHOUGH, he broke his streak of wins over Obama this week as the SPY FINALLY beat it, finishing up 1.63% on the week and 2.32% on the month.
I have to do a little RAG here because, well, I just HAVE TO, one of the perma bull's on "Fast Money" was CROWING about the IDIOTS that sold in May and went AWAY, well, YA KNOW, the last I looked, TODAY was the fricking last trading day in MAY, IE, IT'S STILL MAY YOU FRICKING IDIOT!!!!!!!!!! PLUS, he was also CROWING about the SPY being up a WHOOPING 2.32%, while the last I looked, and what HE DIDN'T MENTION, was that lowly BONDS beat his fricking ass, TLT finishing up 2.95% for the month, tying the EEM. SIGH, if you are going to be a fricking PERMA ANY THING, at least bring up ALL the facts, I don't exactly consider getting beat by bonds a WIN for ANY THING! We won't know if sell in May was right or not until the results for June are in.
ANYWAY, our best sector was IYT, flying higher by 5.93%, with XLK, SMH, XLB, XLV, IYR and XLY all beating the SPY. The DIA were up a WHOOPING 1.15%, which surprised me, I thought they were up more, with the IWM bringing up the rear in our major markets, up .79%, which is just a gnat's ass away from selling in May and going away and not missing ANY THING!
But WAIT, I forgot to mention the REALLY big winner in our major markets, they were, TA DA DA TA DA:

The NasDOGS, QQQ, up 4.49% on the month, as the risk on stocks took a late turn and carried it higher, with a lot of help from AAPL.
As you can see the NasDOGS had a bollinger squeeze as well going into this week, accept they had already closed OUT SIDE the bollingers for three consecutive days and tacked on ANOTHER four days this week, closing on Friday with an ominious looking HANGING MAN candle, closing right on the prior high and swing high from March 7th. I mean, they haven't really broken out to NEW highs, YET, and with seven closes out side the bollingers already, well, it wouldn't be a WILD guess to say they MIGHT need a little rest here. They don't have to go DOWN, they can just go side ways for awhile and will probably work it off. The "indicators" on the bottom chart, for the most part, are not wildly over bought, the MACD is in the clear and blasting higher, the Woodies CCI is still on a buy, the only thing that's over bought is the 60 and 13 period STOCH's, VERY over bought at 96.54 and 97, BUTT, these things can stay that way for long periods of time, and really won't be dangerous until they cross back below the 80 level.

TA DA, the VXX DID win in the loser's list, good for it, definitely keeping up it's reputation as the single worst asset to INVEST in in the markets, most of the loser's were the inverse funds, with some of the Udder Worldly countries, and GDX, DBA, UNG, GLD, SLV, DBC, all commodity based as the World Wide Economic boom evidently doesn't need any commodities, with XLU showing up down at the bottom, although it is the best performing sector Year to date.

Some of the more notable markets that have a death cross, 20ma below 50ma, are the SMH, XLY, XLF, IWM, SLV, GLD, UNG and GDX, XLY is right on the verge of making a positive cross.

WOW, I hope some one caught some of these HUGE winner's in the S and P this month, NFLX up almost 30%, sigh, I mean, I only use options on some thing like that and the damn spreads are wider than my STOP, hahahahahahaha, kind of a fair mix of industries in there, meaning stock specific and most likely earnings related. Learn more about PEAD, POST EARNINGS DRIFT, over at the "StockBee" blog, I know AAPL did a great job of that.

Some surprises on the loser's list, to me at least, like WFM, PETM, a little surprised at X, COH, FSLR, DNB, I thought IBM was WAY up for the month, some NOT so surprising ones were CLF, BTU, SPLS, NEM, I forgot that WLT was NOT in the S and P, hahahahahaha, I'm laughing because I guess even Guy Adami gets it wrong once in a while after it tanked another 4% today after he recommended it the other day, may be last night.

CRM had an ugly, UGILLY, day today, and Carter Worth mentioned a HUGE head and shoulders on it on "Options Action" tonight, it's working on a bollinger squeeze and opened OVER the upper band today and completely collapsed. It this thing gets under the Neck Line around $50, well, it, COULD, be pointing to an Equal Move scenario that points all the way down to the $36 "area". The last month has been kind of a side ways bear flag as well, I mean, hhhhhmmmmmm, nothing is ever for certain of course, but, well, I'm just kind of Hhhhhhhhmmmmmmmmm-ing to myself.

And, OH, by the way, did any one mention we had a NEGATIVE -1% GDP print this week, which was a full 50% LOWER than those fantastic Economist had predicted???????? NATURALLY, in the NEW WORLD ORDER of things, the markets went to Da Stinking MOOOOOOOOON on the news, as it insures the FED keeps the 1% well funded, but one of these years, JUST MAYBE, things may actually get back to normal, hopefully in what little time I have left in my life.

Interesting article by the great Carl Swenlin about the cash flow divergence between the mutual funds and market melt up, decisionpoint/2014/05/rydex-cash-flow-undermines-market-rally.html

Breaking news, I guess Mickelson got a stock tip while putting out on the seventh green, that fricking SEC will probably put him in jail like poor little Martha Stewart, and let Icahn off scott free:

Federal investigators are examining stock trades of Carl Icahn, Billy Walters & Phil Mickelson.


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