Browsing: Greg Guenthner
Greg Guenthner, CMT, is the managing editor of The Rude Awakening. Greg is a member of the Market Technicians Association and holds the Chartered Market Technician designation.
Biotechs blasted lower all week. Semiconductors hit the mat. And the once high-flying Nasdaq lost more than 3% as of yesterday—topping off its worst run since last April. Greg Guenthner looks at the latest market sell-off and questions the mainstream explanation behind it.
As the business publication Quartz reports, "Cisco projects video to represent 71% of all mobile data traffic by 2019, up from about 55% last year, and representing the bulk of mobile traffic growth."
The median forecast of the 76 economists Bloomberg surveyed undershot the actual total by 75,000. And the highest estimate was still 49,000 short. Not even close guys. Try again next month.
Look, I'll be the first to admit I've skewered the "app" industry in the past. I still can't wrap my mind around the whole thing. But many of these companies have figured out a winning formula to hook a new group of "gaming" customers who never had previous interest in video games.
I do not think any of these tickers is headed for a nasty crash right now. But they could pull back a bit more than we'd like. So why stick around when we've got a pile of cash sitting there for the taking?
Many traders think every dollar in their account constantly has to be off chasing some trade. They’re wrong. Some of the best trades are the ones you don’t make. Always keep a lot of cash in reserve.
As Subramanian notes, “Wall Street sentiment is at bearish extremes with strategists recommending just a 52 percent stock allocation.” But she adds, “When investment strategists have been this bearish in the past, the S&P 500 rose 98% of the time, with average gains of 27%.”
Study bull markets. Study bear markets. It’s no coincidence many of these longer-term trends play out in similar fashion. No, it’s never exactly the same. But as Mark Twain said, even if history doesn’t repeat itself, it does rhyme.
Like any great investor, Ned Davis works with a set of rules. Nine to be precise. And today we’re breaking down the first four. So pay attention! These are the rules you must master if you want to succeed—no matter if the market’s going up, down, or sideways.
Every recent market pullback--even the smaller ones--has telegraphed a major move higher for small-caps. And that's where we stand today. They're ready to sprint higher after a minor pullback.