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Fed is done for the year


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#1 CLK

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Posted 24 July 2020 - 11:58 AM

Fed is done for the year and may marginally drift higher over next year, institutional investors are on their own now, PPT is non-existent.

 

https://www.federalr...ecenttrends.htm


Edited by CLK, 24 July 2020 - 11:59 AM.


#2 redfoliage2

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Posted 24 July 2020 - 12:06 PM

The key is the Fed rate, the market won't top till the Fed policy on the rate changes ..............



#3 CLK

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Posted 24 July 2020 - 12:10 PM

The key is the Fed rate, the market won't top till the Fed policy on the rate changes ..............

 

 

Maybe, but the balance sheet additions was probably what took the market this high, no support from them now,

all up to the fund managers, looks like they don't want to carry the market.



#4 Waver

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Posted 24 July 2020 - 12:33 PM

that link explains they are done printing?



#5 redfoliage2

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Posted 24 July 2020 - 12:48 PM

Just a ST pullback, the rally still has a long way to go as long as the Fed keeps the rate low.  I expect another big jump in stocks after this pullback is done when the politicians have the new stimulus bill passed ..................



#6 CLK

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Posted 24 July 2020 - 01:40 PM

that link explains they are done printing?

 

 

Note the graph, it has turned down just like in 2008, sideways from here mostly now.



#7 CLK

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Posted 24 July 2020 - 01:44 PM

Just a ST pullback, the rally still has a long way to go as long as the Fed keeps the rate low.  I expect another big jump in stocks after this pullback is done when the politicians have the new stimulus bill passed ..................

 

 

Yes, a new stimulus bill passed will bring the market back up. The Nasdaq looks like a monthly top so far, so don't know, could be a 10-15% correction. 


Edited by CLK, 24 July 2020 - 01:44 PM.


#8 pdx5

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Posted 24 July 2020 - 02:51 PM

The key is the Fed rate, the market won't top till the Fed policy on the rate changes ..............

You hit the nail! So long as interest rates are way below ridiculous low, money has no place to go.

CD, savings accounts, MM funds, are all guaranteed losers. All pay way below real inflation rate and are taxable income!

Not only that US $ is dropping, which adds to bullishness in stock market.


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#9 pdx5

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Posted 24 July 2020 - 02:54 PM

 

Just a ST pullback, the rally still has a long way to go as long as the Fed keeps the rate low.  I expect another big jump in stocks after this pullback is done when the politicians have the new stimulus bill passed ..................

 

 

Yes, a new stimulus bill passed will bring the market back up. The Nasdaq looks like a monthly top so far, so don't know, could be a 10-15% correction. 

 

Those news related events are temporary ups and downs. So long as yield everywhere is way below real inflation, new money has only one place to go for hope to match inflation....STOCKS!


"Money cannot consistently be made trading every day or every week during the year." ~ Jesse Livermore Trading Rule

#10 redfoliage2

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Posted 24 July 2020 - 03:06 PM

 

 

Just a ST pullback, the rally still has a long way to go as long as the Fed keeps the rate low.  I expect another big jump in stocks after this pullback is done when the politicians have the new stimulus bill passed ..................

 

 

Yes, a new stimulus bill passed will bring the market back up. The Nasdaq looks like a monthly top so far, so don't know, could be a 10-15% correction. 

 

Those news related events are temporary ups and downs. So long as yield everywhere is way below real inflation, new money has only one place to go for hope to match inflation....STOCKS!

 

This pullback was news-related and should be short-lived.  The news to focus for next week is the new stimulus bill.  On daily charts doji every where, meaning a bounce is in the cards for next week ...............


Edited by redfoliage2, 24 July 2020 - 03:12 PM.