David Moenning's Daily State of the Markets: 4/24 Apr 24, 2009 09:31AM

Is There a Message Here?

If you haven't done so recently, pull up a daily chart of the Dow or S&P 500 over the past 3 - 6 months. What is now clear is the two blue-chip indices have been going sideways for the past couple of weeks. Thus, it is easy to argue that we have a consolidation phase going at the current time.

However, with the recent rally now on pause and just about every analyst still looking for a pullback of 5% or so, it is interesting that we haven't seen more downside pressure. Sure, we had a scary day on Monday as everyone freaked out about the banks again. But since then, the Dow has gained about
+1.5%, the S&P is up +2.4%, and the NASDAQ is back to within spitting distance of its cycle highs.

This despite the fact that we've had some bad news ...


David Moenning's Daily State of the Markets: 3/13 Mar 13, 2009 10:16AM

The List Gets Longer

Stocks enjoyed a third straight day of gains yesterday, during which the Dow has put on a nifty 623 points or +9.5% while the S&P has jumped an impressive +10.96%, and the NASDAQ has soared +12.46%. So, with tongue firmly implanted in cheek, we’d like to point out that at the current pace of about 208 points a day, the Dow could be back at new highs in just 33 more days.

Okay, that could be considered just a tad optimistic. However, the point to such a ridiculous statement is to counter the ongoing slew of complaints about the current rally. Just about everywhere you turn; some analyst can be heard telling us why the rally is nothing more than a bounce and that it can’t last – despite the fact that there is a long list of good things happening in the stock market these ...