Posts filed under “Markets”

Chart of the Week: % of NASDAQ Issues on MACD Buys

We see the number of Nasdaq issues on a MACD Buy signal have
been falling:

% of NASDAQ Issues on MACD Buys

Source: Redwood Technimentals

The percentage of NASDAQ issues on MACD buy signal dropped below
50 % (orange circle) – Technimentals Kevin Lane notes that “given the other
deteriorating internals we would suggest that further corrective activity is
ahead of us.”


Random Items:

From Bubble to Bubble 

The CEO’s Secret Handbook 

Who should be responsible for Corporate Pensions?

Economists believe Economy will improve in 2nd half of 2005 

GDP: Measuring
Consumption or Production?

A shrink shrugs at market trauma

The Mess That Greenspan Made 


Quote of the Day: 

"In investing, the return you want should depend on whether you
want to eat well or sleep well."

~J. Kenfield Morley

Category: Markets

Method to the Madness: Alpha Chasing Beta

Category: Investing, Markets, Trading

Apprenticed Investor: Tracking Elephants, Part I

Tscm_1The latest "Apprentice Investor" column is up at Its called  "Tracking Elephants, Part I." 

Don’t be fooled by the title to this piece: "Tracking the Elephants" could just have easily been named "The non Technicians Guide to Technical Analysis (in two parts)." The idea was to reveal to fundamentalists a few of the more significant ways they can use charts to improve their results.


Here’s the ubiquitous excerpt:

"Here’s an interesting question: If you could look at one and only one source before buying your next stock, which would you choose: a fundamental analyst’s report (with no charts in it), or the chart of your choosing?  While I like having access to both, I cannot ever imagine buying something without first looking at the chart.

And so we wade into the ongoing battle between technical and fundamental analysts. Frankly, it’s one of the sillier debates in investing. But I’ve heard so many bad arguments and misleading theories about technical analysis that I decided to weigh in."

Before we wade too deeply into the controversy, ask yourself: "Why do I need to choose?" Why wouldn’t you use any tool that can be shown to have value? You wouldn’t build a house using only a hammer, but no drills or saws. Why limit yourself away from a tool that can assist you as an investor?

In the column, I used a chart of Ford — but it could have been just about any company , from JDSU to Lucent to World Con or Enron.

Ford’s Downtrend
click for larger graph


Prior columns can be found here.

To keep the column a modest length, a discussion about Janus Funds
selling of AOL Time Warner was edited out.  For your reading
pleasure, that section is here.


Audio clip: Adobe Flash Player (version 9 or above) is required to play this audio clip. Download the latest version here. You also need to have JavaScript enabled in your browser.

Read More

Category: Markets, Podcast, Technical Analysis

Why Politics Matters to Investors

Category: Markets, Politics

Will Rallying Oil Set a Bear Trap?

Category: Commodities, Markets, Psychology, Trading

Chart of the Week: Crude Oil at new Highs (6 Months)

Category: Commodities, Investing, Markets

Around the World in a half dozen links

Category: Markets, Weblogs

How Much Does Sarbanes-Oxley Cost?

Category: Economy, Finance, Investing, Markets, Politics

Apprenticed Investor: Lose the News

Category: Financial Press, Investing, Markets, Psychology

Chart of the Week: Dow Jones Trading Range

Category: Markets