Charting Stocks

The Dow Jones Industrial Average rose almost 240 points (3.5%) today. As mentioned in a previous post, large daily percentage gains are more consistent with bear markets than bulls. Todays rally was led by banks and REIT’s,  two of the most beaten up and oversold sectors – also consistent with a bear market correction.
Below is [...]

Dow Jones in danger of breaking below 6,000 in 2009.
In our forecast for 2009 we mentioned that the Dow Jones could break below 6,000 this year. The probability of our prediction being correct was elevated last Monday as the Dow Jones closed below the 2002 lows. We took note of the bearish close but also [...]

The Dow Jones Industrial Average and the S&P 500 both closed below their 2002 lows.
ChartingStocks.net wrote in our 2009 forecast, contrary to Wall St consensus,  that we expect the Dow Jones to breach the 6,000 level this year and touch upon 5,800. The risk to our outlook would have come if the Dow Jones was [...]

The Dow Jones Industrial Average breached its November low, closing below 7500 for the first time since October 2002.
In only 18 months, the index has given back all of the gains achieved over the previous 5 years.
The chart below shows the index taking out the 2002 lows, but keep in mind that this is a [...]

Gold’s recent price action suggests a breakout may be near.

After consolidating for almost a year, it appears that gold may be in the early stages of another advancement. The chart below illustrates the breach of the 1 year downtrend (Red line). The RSI (bottom section) suggests that the move may have more to go as [...]

2009 will be a year of complete destruction for the US economy. 5 Million will lose their jobs. The Dow Jones Industrial average will break below 6,000. Municipalities will fail. Insurers will fail. The unemployed and foreclosed American population will take to the streets and begin rioting. The Greatest Depression is upon us.
Sound far fetched? [...]

Up and to the Right
These figures are the seasonally adjusted (massaged by DOL) estimate for the initial claims for unemployment in the United States. Numbers below 300,000 tend to indicate a tightening labor market whereas numbers above 400,000 are associated with increasing unemployment.

The 2008 US dollar rally is losing steam and may be coming to an end. I know that the run up in the currency left many in the financial world scratching their heads. How can the currency of a collapsing economy strengthen? Why, when trillions of new dollars are being created out of thin air, [...]

Seasonably speaking, December is one of the best months to own stocks. For the past 20 or so years the average monthly return in the month of December has exceeded 3%. Considering how quick and intense this collapse has been, one must anticipate a counter-trend upward correction. Bear markets are notorious for these but you [...]

One of my favorite tools for gauging the social mood and economic pulse of the country is Google Insights.
Google allows you to to access their search data and research any keyword or search phrase you wish. You can view your results broken down by country, region, and even City. They also chart this data for [...]