Until there is any sense of leadership, and not pandering, in Washington, I do not see how any good news can be deemed relevant.
For fuck sake, Roubini (Dr. Doom) even stated Bernanke ultimately did the right thing in his speech at Davos.
I happen to completely agree with Cramer on this point, WTF is President Obama thinking? (Unless there goal was to game the Treasury market and create demand for T-bills.)
This decline is squarely on the shoulders of Washington, from the President to the Senate. The uncertainty they have created, is causing this.
Many argue the market had a big run, but when factor in this quarter's earnings, valuations are not grossly overvalued as pundits are making them out to be. Its simply not the case.
And 'the smell' continues...
Echo,
ReplyDeleteLooking at charts- hard to believe we will not rally, simply on oversold conditions.
bought CSCO (cloud post)
watching PBR (not sure why it is so beaten up here)
Seems we had to test 1085/1100 before challenging 1150 again?
So far, the behavior looks like it did 880?
your right. there is a strong case to be made to rally from oversold condition, adding that the SP500 is near its 100SMA support. along with a valuation thesis.
ReplyDeletebut i don't know how strong it will be due to the uncertainty created by Washington. (its simply is amazing how Obama and the Sentate have been acting, simply for mis-direction)
CSCO - sitting on interesting support and very oversold. looks like a buy at these levels.
PBR - oil looks is oversold here. if it bounces PBR may follow. But i would still want to get PBR in the mid/high 30s