42 replies to this topic

[redfoliage2]

Currently bears are having the control and trying to crash the market.   Let's see if SPX 4000 can hold here ..............................

[redfoliage2]

With SPX 4000 holding it's very likely to see a bounce to SPX 4165 by the end of Wed. ..............................

Edited by redfoliage2, 10 May 2022 - 08:53 AM.

[redfoliage2]

CPI MOM down from 1.2% to 0.3%,  CPI YOY also down from 8.5% to 8.3%, indicating inflation generally topped.  So the Fed unlikely to go as aggressive as some were afraid of   ...........................

[redfoliage2]

The market is likely to have a ST/IT rally from this place.....................

[redfoliage2]

Look at SPX EOY price targets by the Wall Street major players this is deep discount to buy stocks, especially with inflation generally topped :

https://www.cnbc.com...st-survey-cnbc/

[redfoliage2]

 Maybe the market is waiting for tomorrow's PPI that is likely to show the same changes as in CPI today ...............................

[redfoliage2]

It looks like nowadays only day traders, big and small are there operating the market.  Big day traders are mostly Algos, they buy dips overnight/early morning on the index futures market and then sell bounces later in the day creating huge intra-day spikes .....................

Edited by redfoliage2, 11 May 2022 - 01:26 PM.

[redfoliage2]

But in the longer term I see we are likely at a bottom as a famous market adage goes "frequently violent spikes usually associated with market bottoming  ......................"

[redfoliage2]

A strong reversal took place in the afternoon.  The rally was finally launched as PPI also indicated that inflation has topped, if the market yesterday was not convinced by CPI numbers that indicated inflation topped ........................

Edited by redfoliage2, 12 May 2022 - 09:45 PM.

[redfoliage2]

Today the market went on a consolidation at highs, which is actually bullish indicating the rally still has more to go .................