Monday Morning Chartology--4/22/13

The Morning Call

4/22/13

The Market

           

    Technical

     Monday Morning Chartology

 Friday the S&P bounced off the lower boundary of its short term uptrend on decent volume.  Given how oversold it was, that is no surprise.  Also given the term of this trend, it will likely take a couple of tries before a successful challenge is made---if indeed one occurs.

           

            The break in GLD is pretty dramatic.  It is well below the lower boundaries of its short term downtrend and its intermediate term trading range.  GLD got close to the lower boundary of its long term uptrend.  I anticipate a re-test of that trend line; and if it holds, our Portfolios will likely start re-building this holding.

            http://www.zerohedge.com/news/2013-04-21/swiss-vote-gold-repatriation-gold-only-valuable-asset-snbs-balance-sheet

            The VIX is going nowhere really.  It remains in both its short and intermediate term downtrends.  That is a positive for stocks.

  

            Update on ‘the best stock market indictor ever’ (medium):

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

    Fundamental

    

            Growth indicators continue to deteriorate (short):

            http://advisorperspectives.com/dshort/guest/Chris-Kimble-130420-Commodity-Update.php

     

      News on Stocks in Our Portfolios

 

McDonald's (MCD): Q1 EPS of $1.26 in-line. Revenue of $6.61B beats by $0.02B.

Rockwell Collins (COL): FQ2 EPS of $1.17 in-line. Revenue of $1.13B in-line. 

Kimberly-Clark (KMB): Q1 EPS of $1.48 beats by $0.15. Revenue of $5.32B beats by $0.04B

Schlumberger (SLB): Q1 EPS of $1.01 beats by $0.02. Revenue of $10.67B misses by $0.08B

Microsoft (MSFT): FQ3 EPS of $0.72 beats by $0.04. Revenue of $20.49B misses by $71M

Nucor (NUE): Q1 EPS of $0.26 in-line. Revenue of $4.55B misses by $0.06B. 

Economics

   This Week’s Data

   Other

Politics

  Domestic

Grade inflation in US colleges (medium):

http://www.aei-ideas.org/2013/04/is-there-a-conncetion-between-college-grade-inflation-and-the-higher-education-bubble/

  International

            The new Cold War (medium & very interesting):

            http://www.zerohedge.com/news/2013-04-19/guest-post-cyber-war-new-cold-war

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