David Moenning's Daily State of the Markets: 2/3 Feb 3, 2009 10:32AM

Better Late Than Never

Although there were most certainly other stories worthy of mention yesterday, from where I sit at least, the game is still all about what’s going on in Washington. First, there’s the political fun and games over the not-so stimulative stimulus bill as Congress seems to be getting back into the swing of the game of partisan politics. And then there’s the main event – the “we’ll talk about it next week” solution to the credit crisis that may or may not, but probably will, include a “bad bank” solution.

To be sure, we got some interesting economic data yesterday, with some of it actually winding up on the positive side of the ledger. And as always, the earnings parade was fun to watch. Then, the fact that tech stocks simply went the other way during the Dow’s early morning dive is definitely worth noting. But, make ...


David Moenning's Daily State of the Markets: Aug 7, 2008 10:09AM

Technically Speaking...

Here's a link to listen to an Audio Version of the report:

There are times when the stock market is driven by technical factors such as a move above or below an important resistance zone, a break in a trend line, or an extreme overbought/oversold condition. However, the vast majority of the time markets move in the short-term in response to news or the overall market environment.

Recently, the bulls have enjoyed a combination of these factors. For starters, the financials benefited from both one of the most extreme oversold conditions ever seen and then an artificial trigger that forced the shorts to run for cover in epic fashion. And before you could add up the number of banks one couldn’t trade sans clothes on the short side (the answer is 19, by the way), the banks and brokers had blasted to impressive gains.

Then on the fundamental ...