Friday 7 March 2014

10am update - opening gains a little.. shaky

US indexes open moderately higher, although the price action looks a little...shaky. Most notable..the Transports, breaks a new historic high. Metals are sharply lower on the 'better than expected' jobs data, Gold -$17, Silver -3.0%. VIX breaks lower to 13.50s


sp'60min


Summary

*opening reversal.....hmm
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The Monday low of sp'1834 is now around 50pts lower, and equity bears look as weak as they ever have.
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Clearly 175k net job gains is the new 'superb' level in this economy, even though it takes 150/175k jobs just to negate the demographic change each month.

Effectively...we're flatlining in jobs...and GDP is flat/ moderately recessionary, if you strip away the QE.

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DRYS, I'm watching...

opens with a bearish engulfing candle on the hourly...


The $3.80s would be...an interesting level later this morning.
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First support for the indexes...1870 or so...that is not even 0.5% lower.
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10.09am.. Well, a weekly close in the 1870s will make for another week for the bulls, and sets up the 1900s...next week..or FOMC week.

The only hope the bears have is a sporadic news story from Russia/Ukraine, but the Crimea vote is not until March'16.


10.25am... Coal miners getting smashed... ANR, BTU.... -8%....I've no idea why, but then..the general trend has been dire for a few years now.