Tuesday Morning Reads – 9/23/14
The top for the market is officially in. Marketwatch.com has three articles front and center that explain how easy it was to be long all these years and how the market has finally topped. I beg to differ on all accounts, but I'll save that for later.
Here is some of what I'm reading today:
Market Update $SPY $QQQ $NYMO
There seems to be a strong potential for the market heading to the 50DMA sometime this month. Yet, in the grand scheme of things I still remain bullish. If you look back at a longer-term chart, the month of September has just been a consolidation month, where we see some of the excess removed from the market. The daily chart is seems to indicate be a prolonged bull flag from the SPY rally in August. There are many stocks that have been sold, mainly the high beta stocks, to allocate for Alibaba. But, many hedge funds did not end up getting a big stake in Alibaba. In my opinion, this means that the money will come back to work soon; it will come back to the tech sector.