Business • Better to be Bored than Broke….
Better to be Bored than Broke….
08/29/2012 3:14 AM CULLEN ROCHE
The latest random thoughts from Richard Russell:
“I’ve given up on the odds of the Dow and the Transports bettering their May highs. This, I think, is the main fact that we should deal with. This, from a Dow Theory standpoint, tells us that the market will do one of two things: it will mark time or it will go down. The only thing worse than being bored in the market is to lose money. Therefore, I personally will stay on the sidelines until the market tells me something — something more than it has so far. I don’t mind being bored, but I do mind losing money stupidly.
Meanwhile the whole world waits on Bernanke and his speech Friday at Jackson Hole. My guess: he’ll try to talk the market up while doing nothing. Good luck to me, my subscribers, and Ben Bernanke. I’d rather be bored than broke.
Dangerous market – Joe Granville notes that he got a major sell signal on August 17. The Dow on that day rose to a record new high of 13,275.20, with half the Dow Industrial stocks closing down on that day. Joe says, “I saw it as the most bearest upside non-confirmation ever recorded.” I would heed Joe’s warning. This market is being held up by a few choice Dow Industrial stocks. Like Joe, I do not trust this market. It’s being held up by a few stocks in the hope that Bernanke will save us. If the Jackson Hole speech on Friday is a disappointment, watch out. But we already have our danger signals.”
Statistics: Posted by yoda — Wed Aug 29, 2012 8:38 am
View full post on opinions.caduceusx.com