Category: Markets, Video

Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data and lack of respect for scientific knowledge. Be sure to create straw men and argue against things I have neither said nor implied. If you could repeat previously discredited memes or steer the conversation into irrelevant, off topic discussions, it would be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.

19 Responses to “FusionIQ Market Overview”

  1. rdhall3637 says:

    Thanks for the overview Barry. This up move on the S&P has been a killer for most traders as they try to short it all the way up. Of course good luck finding a trader that will admit to that fact!

    No signs right now of a short anytime soon. We have been long since Dec 1st via SSO. We don’t try to predict the future, we just follow action and trade accordingly.

    http://stockcharts.com/def/servlet/Favorites.CServlet?obj=ID3274981

  2. SCIA says:

    BR, Any thoughts on why your 90/90 call didn’t work?

    ~~~

    BR: QE2 is the leading contender

    Keep in my mind, no indicator is flawless — all we can do is play the highest probability set ups

  3. JM3RR24 says:

    Barry,

    Please keep doing these, even if theyre from charts that are a few days old they’re very helpful.

  4. Ben says:

    I second that — These are very helpful

    Why don’t they ever cover this on Fast Money?

  5. Thanks

    I want to try to do at least one of these per week

    As to FM, dunno, you’ll have to ask them —

    My guess is they tend to be much faster hits/quicker segments than this — I spend a full 5 minutes going over these charts

  6. contrabandista13 says:

    Hey Barry… Enjoyed your presentation….. Many thanks, Eco

  7. maximo says:

    This is great, Barry! Looking forward to more of you videos.

  8. socaljoe says:

    Your long term charts are not meaningful. They need to be adjusted for inflation. The value of a dollar, your unit of measurement, has changed significantly over the last decade… it is a variable itself. Using nominal prices is equivalent to measuring a large distance with a continuously shrinking yardstick. The result is meaningless.

    ~~~

    BR: Incorrect. These are nominal returns, not inflation adjusted. Charts show the battle between supply and demand.

    The psychology is based on inflation adjusted sentiment — hence, we work with nominal charts.

  9. stockstudent says:

    BR, do you still see a 5-8% correction coming now, or is that off the table? thanks

  10. stockstudent

    Not due to the 90/90 day — that window is closed — right now, the basis for that call is gone.

    I still suspect a correction is due, but the markets seems to have other ideas. And i ddo not see anything else technical that is imminent, other than the weak volume and excess length of the rally

  11. realgm says:

    BR,

    As you mentioned in the video that the bank index had been hanging on, do you see any concern that it would lead the correction in the market?

    It looks like Portugal will be the next shoe to drop. From my understanding, these European countries under water would create issues for the Euro banks. Would the Euro banks dragged the US banks down along the way? The US banks had been able to get away with free money from the FED and fantasy accounting. I still wonder why the bank stocks can still be so strong.

  12. huesos says:

    Barry,

    What empirical evidence do you have that these “resistance” areas are anything but an absolutely meaningless number such as when you say, resistance is “x” and if the index clears x, next resistance is “y”. Isn’t this a statement virtually devoid of meaning? And please don’t explain by saying “traders believe they are important which makes them important” Is there any empirical evidence that demonstrates that if and when these so-called resistance lines are penetrated that there is a greater than random chance that whatever index is involved rises to the next so-called resistance level?

  13. macrotrader603 says:

    BARRY, very good video…thanks

    FXI has rolled over and is in a downtrend currently…unless its breaks $45 the downtrend is in effect…EEM has also been struggling to clear its recent highs, both bear watching

    @HUESOS, this isn’t a technical analysis class… guys that trade real money in the markets understand the importance of support and resistance…

    and yes counter trend traders fade support and resistance so when they are cleared, these traders have to close out their losing positions which creates more momentum, along with traders that are on the right side of the trade adding to winning positions…

    If you don’t believe in TA that’s fine, asking BARRY to explain it to you on this blog is like asking a calculus professor to prove that 2 + 2 = 4 … really, don’t be that guy HUESOS

  14. socaljoe says:

    Nominal long term charts are meaningless in an inflationary environment. The pattern of the chart is as much reflective of the compounding inflation over the period as it is of the nominal prices of the index. In the short term, the investment crowd may respond to nominal price, but over time the investors perceive the variation in real wealth. You will understand over the next decade when the nominal markets double but inflation will have cut their real value in half.

  15. macrotrader603 says:

    Wrong.

  16. macrotrader603 says:

    @SOCALJOE…that sounds good in an economics class, but I don’t know too many economics professors that are making millions in the markets…

  17. V says:

    @socaljoe. If you are long-term buy and hold, then sure long term a portion of your ‘return’ is eroded by inflation. However if you can minimise drawdown and have a strategy for earning a return in a down market you stand a somewhat better chance.
    In saying that you can’t be blind to CPI and money printing activities.