The market continues its choppiness. So who do we listen to for advice? It's difficult to trust the politicians, because they don't know any better. Ask a Democrat, and he'll tell you things will get better as soon as the Jobs Bill gets passed. Ask a Republican and he'll tell you things are bad and will get worse until all regulations are eliminated and spending is cut. The only question is: Do you bet on red or on black - or is that red or blue? What about analysts? Over 90% of them are saying "buy buy buy", but let's face it: 90% of the stocks are not buys. As for the media, their tremendous lack on independent thought (like FOX and MSNBC) makes them untrustworthy. So take a step back, loosen up. And guard your money and time.
The market is currently in a box. We're fine as long as we stay in this box or breakout to the upside. Note where we are in the box: closer to the top than the bottom. That should clearly tell you whether or not you should be buying on Monday.
Gold's enjoying a nice uptrend. So why isn't silver? Is that a sign of impending drop or pop?
It is troubling that financials haven't rallied the way the rest of the market has. This is especially for Bank of America, but I do see some optimism for the stock. As long as it stays above $6. A number of weeks ago, I stated that drop below $6 was a warning shot. It still is.
Last, but not least, Rick Perry's presidential prospects took a nose-dive on inTrade during his brain freeze. I'd hate to see a candidate lose on something like this. I'd rather Perry lose on the issues - like dissolving the department of Education, Commerce, and what was that third one? If anything, these three departments need a clearer direction. Education needs to recognize Common Core Standards and dump Race To The Top. Energy needs a policy. Commerce needs to work with Education to ensure that today's kids are adequately prepared for tomorrow's businesses. Dissolve these three departments and it's "anything goes". Not to say that nothing positive will result, but such a move would lead to an extremely Darwinian dynamic. The last time that happened was 2008. Institutions were not adaptable enough to the changing climate and many good businesses and enterprises failed. Something should be in place to reduce the severity of boom-bust cycles (which exist everywhere). And no, the answer isn't 9-9-9. We're talking apples and oranges if you're bringing that up. ... Anyway, inTrade puts Rick Perry's chances of securing the nomination at 4%. Not good, no matter how much shine FOX News will put on it.
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