http://stockmarketchartanalyst.blogspot.com/
What a week it was!...Not many expected the market to rally like it did (least of all me), but there was good money to be made last week if you went with the trend...
So...All of a sudden, we're getting great news from just about every economic report put out by the government, with upward revisions to previous months numbers...LOL...
I guess the powers that be didn't want the market to tank below critical support levels it was flirting with at the end of the previous week, so the Plunge Protection Team was ordered to work overtime...For those of you who don't know what the PPT is, there are four links at the bottom of this post that will give you an idea of what they do...
Basically the PPT (mainly Goldman Sachs and JP Morgan) buys S&P eMini Futures as a way to prop up the market...The Dems really don't want to see the market crash just before a mid-term election, so they're pumping up the propaganda machine by putting out rosy economic reports with even rosier revisions to previous months numbers...And they have ordered the PPT to keep the $SPX well above 1010. by any means necessary...Everyone knows that if the $SPX breaks below the 1010. support level it will dump fast and furious towards the 875-925 zone...
So with the PPT and the propaganda machine running at full tilt the next two months before the election, anything can happen and it's a fools game to try to make predictions about the market's future movements because of all of this...
But let's take a look at last week's technicals anyway...There are two daily charts and a weekly chart below that have my comments on them that are self explanatory...The Economic Calendar below the charts shows that there are not many potentially market moving reports due out next week...It is one of the slowest weeks for economic reports in quite a while, and there are also very few important earnings reports due out next week...And that makes me wonder what the catalysts will be that can move our markets in the coming week?...Maybe news from Asia or the Euro zone?...
Below the charts are some news releases put out this week that show how bogus some of the economic reports were, and that the real numbers were not as rosy as the propaganda machine would have us believe...
Here's the daily chart with my primary indicators on it...
I just saw my blog on a 19 inch monitor for the first time at a friends house (I have four 23 inch monitors), and noticed that the right side of the charts are cut off...Next time I post charts, I'll have to pick a smaller size before I start to put comments onto them...http://images.investorshub.advfn.com/images/uploads/2010/9/4/jpfmuCCI.JPG
For those of you with 19 inch (or smaller) monitors, I've included the URL to the images above the charts...
Here is another daily chart with my secondary indicators...
http://images.investorshub.advfn.com/images/uploads/2010/9/4/kulepRSI.JPG
Here is the weekly chart that has done a 180 degree flip-flop, from being extremely bearish two Friday's ago, to being way more bullish than bearish at the end of this week...
http://images.investorshub.advfn.com/images/uploads/2010/9/4/cnoetWEEKLY.JPG
Here is a chart pattern the Bulls would like to see develop this fall:
http://images.investorshub.advfn.com/images/uploads/2010/9/5/[jlusIHS.JPG
As I already mentioned, the Economic Calendar for next week is a light one...The market is closed on Monday in observance of Labor Day...The only red star for an American report is the International Trade numbers that come out an hour before the opening bell on Thursday...
Here are some interesting articles that came out this week, most of them relating to the jobs situation report for August...My only comment is that the unemployment rate ROSE from 9.5% to 9.6% in August, and they go into more detail in the first two articles...
Don't kid yourselves folks!...One up week because of good news out of China, and some manipulated manufacturing and jobs reports at home do not make for a strong recovery...Reality will settle in again soon in my opinion...The huge move up on Wednesday, Thursday, and Friday is NOT sustainable!...It moved much too far - too fast, and it can drop back down to where it came from just as quickly or faster...It's all up to which strings the puppeteers feel like pulling next week...
Happy Trading! next week...
and to all of us Americans,
have a Safe and Happy Labor Day!!!...
zigzagman
Tom
Here are some interesting articles from this week that describe how bogus the economic reports were this week, especially the jobs numbers:
The Long Road to Recovery:
http://www.caseyresearch.com/displayCdd.php?id=527
7 Weak Spots In The Employment Report:
http://www.businessinsider.com/the-7-weak-spots-in-the-employment-report-2010-9
5 Key Lessons in August's Jobs Report:
http://finance.yahoo.com/news/5-Key-Lessons-in-Augusts-Jobs-usnews-1660270043.html?x=0
Despite hiring, US unemployment rate seems frozen:
http://finance.yahoo.com/news/Despite-hiring-US-apf-780694354.html?x=0
ICI Mutual Fund Statistics:
http://blogs.decisionpoint.com/chart_spotlight/2010/09/ici-mutual-fund-statistics.html
Here are four links that describe the PPT:
Do a Google Search for yourself to see how many hits there are about this subject...I just picked a few at random, because I've done my research on the subject over a number of years:
http://en.wikipedia.org/wiki/Working_Group_on_Financial_Markets
http://www.thenewamerican.com/index.php/economy/commentary-mainmenu-43/2715-stock-rally-due-to-ppt-conspiracy
http://www.zerohedge.com/article/cnbc-guest-says-absent-plunge-protection-team-stepping-market-would-fall-wien-kernan-disgust
http://tobefree.wordpress.com/2010/05/08/secrets-of-the-plunge-protection-team-reagans-executive-order-12631-working-group-on-financial-markets-author-warned-in-2004-get-out-of-the-markets-before-the-inflated-derivative-bubble-burs/
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