Tuesday, February 18, 2014

The Weekly Outlook - Holidays & World Markets

***** It 's always more difficult to look forward after a long holiday weekend. Markets may be open in other parts of the world, but act more dependent on the reports and market action in the USA. I suppose that is not surprising from a world leader point of view, but if you consider that there are companies creating products and services in other parts of the world which should influence their own market action, it's is surprising how low in volume they really are. It's as if those countries' products and services are dependent on how USA is doing economically but I doubt if all products and services on the world open market are solely dependent on USA orders. So I think it more psychological.

People like good news and if they get bad news they try to see the good in it. People who don't listen to the news also have a better outlook and people who do think crimes are much more prevalent than they are actually.  That is proven but it does not answer why the markets are slow overseas when the  USA markets are closed. Obviously there are more overseas investors in the USA than overall in the world? Does that make any sense? In many ways it does

When we consider that we, here in the USA, are brought up with the obvious that the better opportunity lies with innovation and investments, then it makes sense that more Americans will take advantage. Not all people can become innovators, starters of good services or products, but all can in some level participate in the production of those through the markets. Therefore, we have more people individually or institutionally investing. The world marvels at how we do it, but that is what the good part of capitalism brings us: opportunity to be participant innovators and producers via our investments.

Banks don't produce much at all, they are lenders and collectors, therefore they can only give us low profits on our money; but companies can thrive or fail big or small (provided government does not interfere) so we can make it big or we can fail equally as big. What is nice is that the markets can afford us the opportunity to do so. In other words, if you wish to have it safe, you won't find it in the markets. Like this country, markets were not designed to keep us or our money safe; they were designed to give opportunity for all who wish to take the gamble that better things can be achieved.

We have the advantage that most people who emigrate here are looking for those type of opportunities. In fact the places where most people tend to go give them what they are seeking. Those who like to be safe tend to stay with the collective thinking and much like banks, those countries will not or cannot give those opportunities except to the very few; hence, and perhaps the reason why less activity is noted in world markets while we are closed for action.

Happy Trading, Living and Dancing
Anni


The Daily Pick - $DJIA $SPX $NDX


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Monday, February 10, 2014

The Weekly Outlook - Week of 2-10-2014

*****No article published with this outlook


The Weekly Outlook  - $DJIA $SPX $NDX


©DayTrading with Anni 2007 - 2014 All Rights Reserved

Tuesday, February 4, 2014

The Weekly Outlook - The Pricing Dilemma

**** The past few years, since 2009 to be exact, we have seen a rise in the markets to new highs. Along with that rise I have also witnessed that there are less of the major players volatile enough to trade in a reasonable price range. In other words either the volume has dried up or the prices have risen so much that it makes it impossible for most non-professional traders without big accounts to trade them.

Time was that we traded $GOOG, $AMZN  at much lower prices along with others like $AZO, $ISRG, $MA. I remember $CME, $CAT $FCX  $MON to have nice ranges, and along with good volume to move them more than a few dimes a day. Now they have lost daily volume and ranges became tight. I suppose it's the price you pay for good rise in the markets, yet I wonder if it's really good for us.

Given the premise that the markets predict the future economy, then we are either heading for hyper- inflation and a much more divided society that gives socialists strength. The two-class system that they like to create  dependence and true elitism,  can only be thwarted by a strong middle class. The market was an opportunity  for the  middle class as well as the super rich, and even the savvy poor,  to have a chance to grow wealth at a better pace than bank interest rates. Now, however,  I wonder how many are investing or better put, how many can invest even if they are not scared off by the past decade and half of events.  

If there is a conspiracy to divide the society it is certainly helped by the over exuberant rise of the market this past year and hyper - inflation would just price most of the people out of it completely, creating a much more divided society; resulting in perhaps near total disappearance of the middle class along with the USA.

I'm sure not everyone will see it my way yet I wonder if it were not better to have let the 2007 crisis play itself out naturally, rather that a government fueling the fire to create what we have now. Debt and inflation;  most of which they hide from reports. We may have had the survival of the fittest to carry on but from the ashes would have risen much more opportunity in my humble opinion.

So as you may dread a correction in the markets, I assure you it 's for the good. Look at history; it has always come back stronger. The unfortunate part of the scenario now is that once the government involves itself especially like it had for the past 7 years, they have a harder time not to step in once again.


Happy Trading, Living and Dancing
Anni

The Weekly Outlook  $DJIA $SPX $NDX  was posted on YouTube on Monday  we have now reached the regions  I have mentioned and further downside is possible.

©DayTrading with Anni 2007 - 2014 All Rights Reserved