Monday Morning Chartology + Cyprus run down

The Morning Call

3/18/13

The Market

           

    Technical

      Monday Morning ChartologyThe S&P shows no sign of rolling over; hence, a challenge of 1576 seems a lock.  On the other hand, it can’t generate the momentum to catch up with the Dow---which leaves open the question on whether it can surmount 1576.

           

GLD remains well within its short term downtrend.  It does appear to be trying to develop a support level---something that bears watching.

         
The VIX (11.30) remains within its short and intermediate term downtrends though it is also near its all time low (9.83).

         

            The life expectancy of a four year old bull market (short):

            http://www.thereformedbroker.com/2013/03/14/jeff-kleintop-on-four-year-old-bull-markets/

            Update on ‘the best stock market indicator ever’ (short):

            http://advisorperspectives.com/dshort/guest/John-Carlucci-Best-Indicator-Ever-Update.php

    Fundamental

    

            Dominating the headlines today will be the bail out (in?) of the Cyprus banking system.  Here from Goldman Sachs is everything you want to know about what just happened (medium/long):

            http://www.zerohedge.com/news/2013-03-18/goldmans-cyprus-post-post-mortem-depositor-%E2%80%9Cbail-in%E2%80%9D-%E2%80%93-andor-%E2%80%93-wealth-tax

            Plus an opinion (medium):

            http://www.zerohedge.com/news/2013-03-17/rape-cyprus-european-union-imf

            Monday morning humor (4 minute video):

            http://www.zerohedge.com/news/2013-03-15/friday-humor-are-you-better-trader-5th-grader

     Investing for Survival

            Introducing the Bitcoin, a new currency outside the government’s purview.  This is not a solicitation just an article on how it works.  It is long but a must read:

            http://evoorhees.blogspot.com/2012/04/bitcoin-libertarian-introduction.html

            News on Stocks in Our Portfolios

 

Economics

   This Week’s Data

   Other

            Corporate profits are mean reverting (short):

            http://theshortsideoflong.blogspot.com/2013/03/chart-of-day-corporate-profits.html

Politics

  Domestic

How to define affirmative action or diversity (medium):

http://www.nationalreview.com/articles/342913/new-affirmative-action-victor-davis-hanson

  International War Against Radical Islam

Steve Cook received his education in investments from Harvard, where he earned an MBA, New York University, where he did post graduate work in economics and financial analysis and the CFA Institute, where he earned the Chartered Financial Analysts designation in 1973. His 40 years of investment experience includes institutional portfolio management at Scudder, Stevens and Clark and Bear Stearns. Steve's goal at Strategic Stock Investments is to help other investors build wealth and benefit from the investing lessons he learned the hard way.