Correction?

[Tomanyiron]

We are overdue for a correction, (not even sure if this is one yet). But everyone should know that markets don't go up forever. That’s why they call it a “correction”. If we have a major one, everyone will finally realize what happened. Two words: monetary policy.

[cashworth]

Inflation - up (maybe higher than expected)
Margin Debt - way up - https://ycharts.com/indicators/finra_margin_debt
Reverse Repos - setting new highs regularly - almost $1T per night now!!!
Interest Rates - near zero, watch what happens if they even mention raising them
10yr Treasury Yield - falling, super low
Fed Balance Sheet - https://www.federalreserve.gov/monetary ... trends.htm - plot their purchases against SPY, see who's pumping

The finance sector is a dumpster fire even though SPY is up 16% YTD, QE is still pumping, but cracks are forming. Yet, people want to blame their neighbors who vote for a different political party. Bob the Trump supporter is not the one pulling the rug, its the Hedge Funds stripping away trillions while the SEC fines them less than $1 per criminal transaction that netted them $100.

[seawatcher]

Big rebound and hope it continues this afternoon. Any indicators this will continue tomorrow?

[wingchaser]

GAP UP Candlestick Formations for (both) SPX (C Fund), as well as ^DWCPF (S Fund)...

Yes, I came off of the Russell 2000 (from an analysis perspective) thru some urging...

indicates strong upward movement in the relative short-term. What’s needed (here) is for (both) indices to push thru their All-Time HIGH’S for a sustained rally to ensue.

Best of Luck (everyone) in all you choose to endeavor!!!

[wingchaser]

The finance sector is a dumpster fire

Of note (here), is the fact that I nailed 10% the last two (2) days on

FAS - Direxion Daily Financial Bull 3X Shares

in my ROTH IRA, though it could have been that the sector was beaten up (recently). I attempt to jump in & out of the HOT sector’s in a given moment for either Daily or Swing Trades.

Best of Luck (everyone) in all you choose to endeavor!!!

[VAmanBulls]

Well my previous prediction in this post was correct. The big correction was noting but a fear reaction and we are back to new record highs. Earnings season is off to a great start. Outstanding. This is a big week for earnings and I don't expect it to be anything but great also. Stocks follow earnings. The S&P P/E ratio now is like 34. That's pretty high man, but the low interest rates makes it a non-factor, for now. I expect a sell-off when interest rates start to climb again. But remember you youngsters, don't miss a 40% gain to prevent a 10% correction loss. Stay motivated TSPers and Ride that Bull!

[daemon]

Well my previous prediction in this post was correct. The big correction was noting but a fear reaction and we are back to new record highs. Earnings season is off to a great start. Outstanding. This is a big week for earnings and I don't expect it to be anything but great also. Stocks follow earnings. The S&P P/E ratio now is like 34. That's pretty high man, but the low interest rates makes it a non-factor, for now. I expect a sell-off when interest rates start to climb again. But remember you youngsters, don't miss a 40% gain to prevent a 10% correction loss. Stay motivated TSPers and Ride that Bull!

I hope you are right VAman. However IWM and Transports are still struggling (2 leading market indicators). If they were in line with the S&P I'd agree with you but I think the main S&P is being held up by just a handful of tech stocks. The equal weight S&P (I follow RSP for this) is lagging and is not as strong indicating breadth is very poor.

[wingchaser]

I love LONG LOWER SHADOW CANDLESTICK PATTERNS,

https://www.angelbroking.com/knowledge- ... andlestick

except when they “pop” @ the end of a recent upsurge, as evidenced today. This can, oftentimes, signal a downward trend in the short-term interim. I may have made my 2nd IFT today (prior to noon) had Operational Issues @ my Agency not become so prevalent. It would have “locked” me into the G Fund, but only for a maximum of a few days, as we are @ the months’ end...

Best of Luck (everyone) in all you choose to endeavor!!!