WEEKLY MARKET DIGEST: GREEK EXIT ON THE TABLE, KURODA UPSETS THE APPLE CART, 100 DAY MOVING AVERAGE CHASE $GLD $SLV $USO $DIA $SPY $QQQ $TBF $TBT

WEEKLY MARKET DIGEST: GREEK EXIT ON THE TABLE, KURODA UPSETS THE APPLE CART, 100 DAY MA CHASE $GLD $SLV $USO $DIA $SPY $QQQ $TBF $TBT

(The Weekly Digest reproduces the morning capsules made available every morning before the market open in the Real Time Feeds to the paying subscribers. ) 

GREEK DEFAULT ON THE TABLE AS IMF WALKS OUT, PERIPHERY YIELDS RISING

A Greek default is officially on the table as IMF walks out of negotiations.

Yields in periphery are rising; German 10 year bund is at 0.88%, Spain 10 year bono is at 2.21%, and Portugal 10 year note is at 2.96%.  Greek 10 year note is now at 11.29%.

the momo crowd continues to aggressively buy commodities including gold, silver, copper and oil.  However, Smart Money is selling commodities this morning.

May Core PPI came at 0.1% vs. 0.1% consensus.  Core PPI is an important part of our models as producer prices often precede consumer inflation.

Our very, very short-term early stock market indicator is negative, please note that it is Friday and Fridays often lead to short squeezes because shorts generally do not like to take heavy short positions into the weekend.  If a short squeeze develops, it has potential to be vicious on the upside.

Gold futures are at $1177, silver futures are at $15.83, and oil futures are $60.02.

S&P 500 resistance levels are 2111, 2132, and ; support levels are 2063, 2038, and 2017.

DJIA futures down 71 points.

ROBUST RETAIL SALES, CHASE BY 100 DAY MOVING AVERAGE SELLERS

May Retail Sales ex-auto came at 1% vs. 0.7% consensus.  This indicates that the U. S. consumer is doing well.  Retail sales carry heavy weight in our models because the U. S. economy is 70% based on consumer spending.

Most of yesterday’s big stock market rally was chase by technical investors who had just sold or short sold because S&P 500 had fallen below the 100 day moving average.  This is a perfect illustration of the folly of blindly following moving averages.

There is optimism over Greece, Greek stocks are surging.

OPEC countries pumped a record amount of crude oil over the last month.

The momo crowd continues to aggressively buy commodities including gold, silver, copper and oil.

Interest rates are pulling back after yesterday’s spike up.

Our very, very short-term early stock market indicator is mild positive but a serious downside probability remains high after the chase is over.

Gold futures are at $1180, silver futures are at $15.94, and oil futures are $60.81.

S&P 500 resistance levels are 2132, 2150, and 2200; support levels are 2100, 2063, and 2038.

DJIA futures are up 32 points.

KURODA UPSETS THE APPLE CART, BUND TOUCHES 1.06%

Bank of Japan governor, Kuroda, sent markets into a tizzy by stating that the yen should not weaken further against the dollar.  Traders have responded by aggressively selling the dollar.

Interest rates in Europe are spiking.  German bund touched 1.06%.

Weaker dollar is encouraging aggressive buying by the momo crowd in all commodities including gold, silver, copper and oil.

Our very, very short-term early stock market indicator is mild positive but there is considerable risk of a major down move after the initial short squeeze is over.

Gold futures are at $1191, silver futures are at $16.15, and oil futures are $61.63.

S&P 500 resistance levels are 2100, 2111, and 2132; support levels are 2063, 2038, and 2017.

DJIA futures are up 47 points.

INTEREST RATE TANTRUM HITTING EMERGING MARKET BONDS, S&P 500 UNDER 100 DAY MOVING AVERAGE

Interest rate tantrum is showing up most aggressively in outflows from emerging market bonds.  S&P 500 closed below 100 day moving average.  This should be insignificant with the exception that many people blindly believe in it and act on it; for this reason at times it becomes a self fulfilling prophecy as believers sell the stock market.

Saudis are trying to prop up the oil market with positive statements regarding oil demand.

There is a fair amount of short covering in gold and silver.

Our very, very short-term early stock market indicator is neutral.

Gold futures are at $1179, silver futures are at $16.01, and oil futures are $59.80.

S&P 500 resistance levels are 2100, 2111, and 2132; support levels are 2063, 2038, and 2017.

DJIA futures are down 6 points.

CHINA BUBBLE TAKES ON MORE AIR, SHARP DROP IN TURKEY AND INTEREST RATE CONCERNS IN THE U. S.

Overnight China reported weak trade data.  This indicated a weak economy.  Shanghai market bubble took on more air on the theory that weaker the economy, more intervention from the government.  Chinese investors have tremendous faith in their government’s ability to prop up the market.

In Turkey elections, the ruling party did far worse than expectations.  Turkish lira and stock market have dropped sharply.

In the U. S., after Friday’s strong job report, there is apprehension about rising interest rates and how the stock market will react to them.

The momo crowd continues to aggressively buy gold, silver, and oil; however there is no buying by the Smart Money.

Interest rates are hanging near their highs.

Our very, very short-term early stock market indicator is neutral.

Gold futures are at $1171, silver futures are at $16.02, and oil futures are $58.52.

S&P 500 resistance levels are 2100, 2111, and 2132; support levels are 2063, 2038, and 2017.

DJIA futures are down 21 points.

 

You are receiving less than 2% of the content from our paid services …TO RECEIVE REMAINING 98%, TAKE A FREE TRIAL TO PAID SERVICES.

Please click here to take advantage of a FREE  30 day trial.

Check out our enviable performance in both bull and bear markets.

FREE: SUBSCRIBE TO ‘GENERATE WEALTH’ NEWSLETTER

Related Posts

TRUMP ASSURES APPLE BUT MONEY FLOWS IN 11 POPULAR TECH STOCKS FLIP $AMD $AAPL $AMZN $FB $INTC $NFLX $NVDA $GOOG $MSFT $TSLA $BABA

Money flows give an edge to those who want to beat the market and lower their risk. There’s a big ...

WEEKLY MARKET DIGEST: OPPORTUNITIES AND PERILS FROM TRADE WAR AND HAWKISH FED $DIA $GLD $QQQ $SLV $SPY $TBT $USO

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

INVESTORS HAVE TO BE STUPID TO IGNORE FED’S HISTORY OF CAUSING PAIN $AMD $AMZN $FB $TSLA $SPY $QQQ

Investors would have to be stupid to ignore the Federal Reserve’s history of causing pain. But that is exactly what momentum ...

WEEKLY MARKET DIGEST: GOOD MOVE IN STOCKS BUT THE RISK IS RISING $DIA $GLD $QQQ $SLV $SPY $TBT $USO $AMD

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

WHAT TRADE WAR? NASDAQ IS BREAKING OUT $QQQ $SPY $IWM $SPX $DIA

A key to success in investing is paying attention to logic and good opinions. But don’t forget price action. There’s a ...

WEEKLY MARKET DIGEST: WHAT DO BLOWOUT JOBS REPORT AND TRUMP FLIP ON TRADE MEAN FOR INVESTORS? $DIA $GLD $QQQ $SLV $SPY $TBT $USO

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

WEEKLY MARKET DIGEST: REDUCING CASH AND HEDGES TO MAKE MORE INVESTMENTS $DIA $GLD $QQQ $SLV $SPY $TBT $USO

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

WEEKLY MARKET DIGEST: INTEREST RATES JUMP HURTING STOCKS AND GOLD, OIL BULLISH $DIA $GLD $QQQ $SLV $SPY $TBT $USO

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

THIS BREAKOUT SAYS THE BULL MARKET IS NOT ABOUT TO END $IWM $RUT $QQQ $SPX $SPY

This bull market in U.S. stocks is aging. How much more life is left in it? That is the key question. ...

WEEKLY MARKET DIGEST: INFLATION LESS THAN EXPECTED, TRUMP DRUG PLAN, REDUCING CASH $DIA $GLD $QQQ $SLV $SPY $TBT $USO

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

BULLS BREAK THE DOWNTREND, BUT WILL IT LAST? $SPY $QQQ $IWM $DJIA

The bulls have, for now, broken the downtrend in the U.S. stock market. The Dow Jones Industrial Average on Friday ...

WEEKLY MARKET DIGEST: POSITIVE SENTIMENT ON BUYOUT DEALS AND APPLE $AAPL $DIA $GLD $QQQ $SLV $SPY $TBT $USO

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

PAY ATTENTION TO THE DEVELOPING PATTERN IN THE MOST POPULAR MARKET TIMING INDICATOR $SPY $QQQ $IWM $DJIA

The most popular timing indicator in the U.S. stock market is the 200-day moving average. The indicator derives its power not ...

HOW INVESTORS COULD GET AHEAD OF TRUMP SCRAPPING THE IRAN NUCLEAR DEAL $HAL $XLE $OIH $RDSB $MRO $CLR $XOP $USO $GLD $GDX $SLV

Prudent investors get ahead of major events. One such event will be President Trump’s decision to either stay in the nuclear ...

WEEKLY MARKET DIGEST: BIG SELLERS IN TECH STOCKS, ARORA PORTFOLIOS CORRECTLY POSITIONED $DIA $GLD $QQQ $SLV $SPY $TBT $USO

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

THE BEST STRATEGY FOR THE OMINOUS STOCK PATTERN THAT JUST OCCURRED $CAT $MMM $FB $AAPL $AMZN $FB $NFLX $GOOG $SPY $IWM $QQQ

Tuesday’s ‘outside day’ started with optimism and ended with pessimism. An ominous pattern has occurred in the U.S. stock market. Investors ...

WEEKLY MARKET DIGEST: GOOD OUTLOOK FROM BEIGE BOOK UNNERVES THE MOMO CROWD ON STOCKS $DIA $GLD $QQQ $SLV $SPY $TBT $USO

Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights ...

INVESTORS SHOULDN’T GET AHEAD OF THEMSELVES ON GENERAL ELECTRIC $GE $SPY

There is a good reason not to pay attention to General Electric earnings and analysts who cover the company. Because if ...

HERE’S THE GOOD NEWS BEING SENT BY THE FEAR INDEX $VXX $VIX $SPY $FB $AMZN $MU $AAPL $NFLX $IWM $QQQ $GOOG

Wall Street’s fear index is based on expectations of market volatility. Professionals use and trade this volatility in a variety ...

DON’T PANIC OVER TRUMP’S MISSILE WARNING (BUT BE CONCERNED HE MIGHT FIRE MUELLER) $NFLX $FB $AMZN $MU $AAPL $GLD $GDX $SLV $GDXJ $SPY $QQQ $IWM

President Trump tweeted a warning to Russia about not shooting down U.S. missiles targeted at Syria. Chemical weapons were recently ...

Follow

Get every new post delivered to your Inbox

Join other followers