4 replies to this topic

[ogm]

Don't get me wrong, but what does it say about the market and economy and so on ? Why are banks and brokers struggling on these breakouts ? Its not just subrime. Look at the brokers... their stock price performance says their profit machine is broken. And if their profit machine is broken, that means there are implications for financial markets. Another interestying thing... S&P PE of 18 doesn't exactly describe breakdown in the sectors. In reality most sectors are way over 20 P/E with average held down mostly by 2-3 sectors. One of these cheap P/E sectors is financials. Which is also the worst performer. Hmm. If that E Part is about to fall out, S&P will find itself at 20+ PE easily. The market is very frothy. And foreign investors seem to be piling in in droves and paying 20-25 P/Es for stocks that are posting 5-8% growth.

Edited by ogm, 19 July 2007 - 09:35 AM.

[eminimee]

I agree with you in most part...but short term...only taking out yesterdays low will be bearish...otherwise...we still have a shot at the top of a bigger wedge/channel...whatever.

And then we'll find out what the story is........

http://stockcharts.com/c-sc/sc?s=$BKX&p=60&yr=1&mn=0&dy=3&i=p56956432260&a=89765548&r=3876.png

[rkd80]

Tea,

ES bounced off 1565 like it was an eletric fence...no interest...

I agree with you in most part...but short term...only taking out yesterdays low will be bearish...otherwise...we still have a shot at the top of a bigger wedge/channel...whatever.

And then we'll find out what the story is........

http://stockcharts.com/c-sc/sc?s=$BKX&p=60&yr=1&mn=0&dy=3&i=p56956432260&a=89765548&r=3876.png

[hiker]

XBD BKX XLF...today's action tells me to favor shorts over longs in other sectors as well...XBD July highs are below June highs tho' overall chart remains bullish I am not long much...closed long held OIH long today, after taking heat recently...failed to surpass historic high..181.96 vs. 182.32...back in over high

Edited by hiker, 19 July 2007 - 09:59 AM.

[ogm]

Here is update on the Lehman chart. This chart should be a big red flag to the market. Sorry, hiker, I don't think this chart is bullish. I think its breaking down.

Edited by ogm, 19 July 2007 - 10:17 AM.