Stephen Sutherland Blog

Stock Market Summary 19.05.12

2012-05-19T10:16:57+00:00

Stock Market Summary 19.05.12

Yesterday’s market action was neutral.

The market continued heading south. The Nasdaq Composite shed a further 1.2% and volume was heavy across the board due to options expiration.

Russia, global materials and India all outperformed. One glimmer of hope is that in the last few days, there has been more outperformance in these sectors than underperformance - a bullish divergence.

Leading stocks behavior was positive.

Nine of the last eleven trading days have been negative, I still expect a relief rally soon. The heavy sell off has resulted in indexes, sectors and stocks technically damaged which means they will need time to mend and heal. Will the market drop more from here?

Even though its already had big falls, it could drop further but my opinion is that the worst is probably over and if we haven’t already hit a bottom, we probably will very soon. With me being a long-term investor, I see these setbacks as a temporary inconvenience and part and parcel of the long-term investing game.

Until the next time my friend.

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Stock Market Summary 18.05.12

2012-05-18T10:47:05+00:00

Stock Market Summary 18.05.12

Yesterday’s market action was negative.

The Nasdaq Composite plummeted 2.1% in heavy volume signaling institutional selling.

Russia underperformed and global materials and India outperformed. Leading stocks behavior was neutral.

In summary nine of the last eleven trading days have been market loss days. As I mentioned yesterday, with having so many down days in such a short period of time, I’m expecting a relief rally soon.

Yesterday investors fear heightened and from a contrarian point of view, that’s good. The financial media are extremely bearish, which is another good sign that a reversal is near.

Indexes and sectors, for example semiconductors, are at or approaching their 200 day moving averages which should provide solid support and are often a perfect place for institutional investors to step in and aggressively buy.

Until the next time my friend.

If you would like to get more detail about what you’ve just heard, you can request a FREE Telephone Consultation (£1,997 value) by simply contacting us.

In your free over the phone consultation, you’ll learn about a first class investment opportunity– aimed at affluent people who have Stocks and Shares ISAs, a personal pension or a SIPP.

As well as booking your free session, you can also obtain a copy of my book Liquid Millionaire (RRP £21.97) for just 99p. I have just 99 copies to give away so be quick.

The number of telephone consultations (and free book giveaways) available is always limited.

You can email us or call 0800 170 7750 if you prefer.

In both cases you are under no obligation to do anything, buy anything or sign up for anything.

Stock Market Summary 17.05.12

2012-05-17T14:44:57+00:00

Stock Market Summary 17.05.12

Yesterday’s market action was negative.

The market continued its downward trajectory, helping the Nasdaq Composite to lose a further 0.7%. With volume coming in on the heavy side it signalled institutional selling.

Russia outperformed, global materials matched the market and India underperformed.

Leading stocks behaviour was positive.

In summary eight of the last ten trading days have been negative days. With having so many market down days in such a short period of time, I’m expecting a relief rally soon.

Because the Nasdaq has support at the point it is currently trading, the relief rally should come soon.

Ideally when the market makes a fight back off its lows, we’ll see it successfully follow through helping to confirm that the market is on its way back up.

Until the next time my friend.

If you would like to get more detail about what you’ve just heard, you can request a FREE Telephone Consultation (£1,997 value) by simply contacting us.

In your free over the phone consultation, you’ll learn about a first class investment opportunity– aimed at affluent people who have Stocks and Shares ISAs, a personal pension or a SIPP.

As well as booking your free session, you can also obtain a copy of my book Liquid Millionaire (RRP £21.97) for just 99p. I have just 99 copies to give away so be quick.

The number of telephone consultations (and free book giveaways) available is always limited.

You can email us or call 0800 170 7750 if you prefer.

In both cases you are under no obligation to do anything, buy anything or sign up for anything.

Stock Market Summary 16.05.12

2012-05-16T09:20:08+00:00

Stock Market Summary 16.05.12

Yesterday’s market action was negative.

The Nasdaq bearishly reversed giving back earlier session gains, ending the day with a 0.3% loss in above average volume. It also broke through its first key support level of 2900.

India outperformed but global materials and Russia underperformed.

Leading stocks behavior was positive. A greater number of leading stocks gained in heavy volume versus those that fell in heavy volume. When you see this happening on a market down day, it’s called a bullish divergence.

In summary with leading stocks acting better, it could be a sign the market is close to a bottom. It’s also comforting to know that the Nasdaq has a thick wall of support just below where it is currently trading. The market will eventually bounce back and as long as you share my belief and keep thinking long-term, you’ll cope much better during this difficult market period.

Although correction periods are not pleasant to sit through we must remember they are needed every so often to flush out the weak hands. As long as you remain in the game and have faith and patience they always eventually pass.

Until the next time my friend.

If you would like to get more detail about what you’ve just heard, you can request a FREE Telephone Consultation (£1,997 value) by simply contacting us.

In your free over the phone consultation, you’ll learn about a first class investment opportunity– aimed at affluent people who have Stocks and Shares ISAs, a personal pension or a SIPP.

As well as booking your free session, you can also obtain a copy of my book Liquid Millionaire (RRP £21.97) for just 99p. I have just 99 copies to give away so be quick.

The number of telephone consultations (and free book giveaways) available is always limited.

You can email us or call 0800 170 7750 if you prefer.

In both cases you are under no obligation to do anything, buy anything or sign up for anything.

Stock Market Summary 15.05.12

2012-05-15T09:07:51+00:00

Stock Market Summary 15.05.12

Yesterday’s market action was negative.

The Nasdaq fell 1.1% in average volume signaling institutional selling. When the big players sell it makes the market weaker and prone to more falls.

It was the eighth day of institutional selling since the Nasdaq topped out on the 27th March.

The global materials sector, India and Russia all underperformed. Leading stocks behavior was neutral.

The market remains weak but for now the Nasdaq still remains above its temporary floor of 2900. It’s currently trading at 2902 which means just a small drop today would violate this key support area. If it does drop below 2900, there is fresh support at 2888, 2878 and 2862. That means just a fraction below where the Nasdaq is currently trading, there is a thick wall of support.

When viewing a weekly chart of the Nasdaq, it looks like it’s built a bullish handle. Another positive comes from a contrarian’s standpoint to the present market sentiment. The messages from the mainstream media and financial media are extremely bearish which is unfortunately helping investors fear levels to escalate. This usually happens when the market is close to a bottom.

The key is to have faith that the market will eventually bounce back and keep thinking long-term. Using these two coping strategies will help you through this difficult market period.

Until the next time my friend.

If you would like to get more detail about what you’ve just heard, you can request a FREE Telephone Consultation (£1,997 value) by simply contacting us.

In your free over the phone consultation, you’ll learn about a first class investment opportunity– aimed at affluent people who have Stocks and Shares ISAs, a personal pension or a SIPP.

As well as booking your free session, you can also obtain a copy of my book Liquid Millionaire (RRP £21.97) for just 99p. I have just 99 copies to give away so be quick.

The number of telephone consultations (and free book giveaways) available is always limited.

You can email us or call 0800 170 7750 if you prefer.

In both cases you are under no obligation to do anything, buy anything or sign up for anything.

Stock Market Summary 12.05.12

2012-05-12T09:18:02+00:00

Stock Market Summary 12.05.12

Yesterday’s market action was neutral.

The Nasdaq finished flat for the day and volume was average. Since Monday’s heavy fall, the Nasdaq has not managed to claw those losses back however…

... in the last few days, we have seen the index consolidating and logging three very tight closes - which is bullish behaviour.

We’ve also seen the Nasdaq find institutional support at 2900 on two occasions this week, which means for now it appears we have found a temporary floor.

The global materials sector, India and Russia all underperformed. Leading stocks behavior was negative.

Even though the market remains weak, it looks like we may have found a floor. Correction periods are never nice times and can be stressful however they do always eventually pass. They also get easier to handle the more times you experience them. Faith is vital, patience essential.

Until the next time my friend.

If you would like to get more detail about what you’ve just heard, you can request a FREE Telephone Consultation (£1,997 value) by simply contacting us.

In your free over the phone consultation, you’ll learn about a first class investment opportunity– aimed at affluent people who have Stocks and Shares ISAs, a personal pension or a SIPP.

As well as booking your free session, you can also obtain a copy of my book Liquid Millionaire (RRP £21.97) for just 99p. I have just 99 copies to give away so be quick.

The number of telephone consultations (and free book giveaways) available is always limited.

You can email us or call 0800 170 7750 if you prefer.

In both cases you are under no obligation to do anything, buy anything or sign up for anything.

Stock Market Summary 11.05.12

2012-05-11T09:21:45+00:00

Stock Market Summary 11.05.12

Yesterday’s market action was neutral.

Once again the Nasdaq pulled back intraday but after reversing course managed to end the day almost flat.

At the moment the Nasdaq appears to be hitting some resistance around the 2950 level as yesterday was the third day in a row it was pushed down as it hit this level.

The S&P 600 ended the day in the black after reversing course intraday. On the downside we did see some selling in the final 30 minutes.

The global materials sector underperformed but India and Russia outperformed. Leading stocks action was positive. With the Nasdaq not making much ground yesterday, it was encouraging to see a greater number of top stocks rising in heavy volume versus ones that were falling. When this happens it is known as a bullish divergence.

In summary although the Nasdaq did not make much ground it does appear to have some solid support just below were it is currently trading. Ideally from this point if we do see the Nasdaq pulling back I would like to see the institutional investors stepping up to the mark and buying around the 2900 level.

Until the next time my friend.

If you would like to get more detail about what you’ve just heard, you can request a FREE Telephone Consultation (£1,997 value) by simply contacting us.

In your free over the phone consultation, you’ll learn about a first class investment opportunity– aimed at affluent people who have Stocks and Shares ISAs, a personal pension or a SIPP.

As well as booking your free session, you can also obtain a copy of my book Liquid Millionaire (RRP £21.97) for just 99p. I have just 99 copies to give away so be quick.

The number of telephone consultations (and free book giveaways) available is always limited.

You can email us or call 0800 170 7750 if you prefer.

In both cases you are under no obligation to do anything, buy anything or sign up for anything.

Stock Market Summary 10.05.12

2012-05-10T09:41:25+00:00

Stock Market Summary 10.05.12

Yesterday’s market action was neutral.

For a second day in a row, the Nasdaq found support at 2900. Once again the tech heavy index bullishly reversed its downtrend during the session but still managed to end the day with a small loss.

It’s now tested 2900 three times since the 6th of March and the more times an index or stock tests a price point which proves to be successful, the price area strengthens in terms of support. This means for now 2900 appears to be a solid floor for the Nasdaq and for now an ideal point for institutional investors to load up on stock.

The S&P 600 also has plenty of support just below where its currently trading.

The global materials sector, India and Russia all underperformed. Leading stocks behavior was neutral.

Even though the market is weak, it looks like we may have found a floor just below where we are currently trading. As I mentioned yesterday, what is happening right now is perfectly normal and natural. Correction periods always pass and as long as you have faith and patience you’ll be fine.

Until the next time my friend.

If you would like to get more detail about what you’ve just heard, you can request a FREE Telephone Consultation (£1,997 value) by simply contacting us.

In your free over the phone consultation, you’ll learn about a first class investment opportunity– aimed at affluent people who have Stocks and Shares ISAs, a personal pension or a SIPP.

As well as booking your free session, you can also obtain a copy of my book Liquid Millionaire (RRP £21.97) for just 99p. I have just 99 copies to give away so be quick.

The number of telephone consultations (and free book giveaways) available is always limited.

You can email us or call 0800 170 7750 if you prefer.

In both cases you are under no obligation to do anything, buy anything or sign up for anything.

Stock Market Summary 09.05.12

2012-05-09T10:18:08+00:00

Stock Market Summary 09.05.12

Yesterday’s market action was neutral.

Yesterday I said: ’‘The support (for the Nasdaq Composite) starts at around 2880 and continues up to 2940. That means if the market does continue to fall, we should see institutional investors stepping in to buy stocks.’‘

It appears I may have been right because yesterday the Nasdaq was down as much as 1.9% before institutional buyers stepped in to aggressively buy.

The big players started their buying spree as soon as the Nasdaq hit 2900 and continued to purchase equities all the way up to the close. The Nasdaq ended the day with a 0.4% loss.

The global materials sector, India and Russia all underperformed. Leading stocks behavior was neutral.

It’s now more obvious that at the end of last week the market changed its personality. The correction that began on the 27th March is probably going to continue - but how long it will last and how deep it will be is anybody’s guess.

Even though it’s not pleasant in the short-term, what is happening right now is perfectly normal and natural. The key as always is to think long-term and remind yourself that correction periods always pass. Have faith, patience and you’ll be fine.

Until the next time my friend.

If you would like to get more detail about what you’ve just heard, you can request a FREE Telephone Consultation (£1,997 value) by simply contacting us.

In your free over the phone consultation, you’ll learn about a first class investment opportunity– aimed at affluent people who have Stocks and Shares ISAs, a personal pension or a SIPP.

As well as booking your free session, you can also obtain a copy of my book Liquid Millionaire (RRP £21.97) for just 99p. I have just 99 copies to give away so be quick.

The number of telephone consultations (and free book giveaways) available is always limited.

You can email us or call 0800 170 7750 if you prefer.

In both cases you are under no obligation to do anything, buy anything or sign up for anything.

Stock Market Summary 08.05.12

2012-05-08T09:22:26+00:00

Stock Market Summary 08.05.12

Yesterday’s market action was neutral.

After two days of institutional selling, the Nasdaq Composite managed to find some support at 2940, unfortunately the rebound wasn’t that impressive.

The Nasdaq has a thick wall of support below where its currently trading. The support starts at around 2880 and continues up to 2940. That means if the market does continue to fall, we should see institutional investors stepping in to buy.

The global materials sector matched the market, India outperformed and Russia underperformed.

Leading stocks behavior was neutral.

The market at the tail end of last week appeared to have changed its personality. It looks like the correction that started on the 27th March is going to continue - but how long it will last is anybody’s guess.

However, previous to the correction the Nasdaq had a 36% run from the 4th October 2011 and so far the correction is 5.6% in depth. With it running up 36%, it would be perfectly normal and natural for the correction to deepen before it eventually starts heading back in a northerly direction.

Until the next time my friend.

If you would like to get more detail about what you’ve just heard, you can request a FREE Telephone Consultation (£1,997 value) by simply contacting us.

In your free over the phone consultation, you’ll learn about a first class investment opportunity– aimed at affluent people who have Stocks and Shares ISAs, a personal pension or a SIPP.

As well as booking your free session, you can also obtain a copy of my book Liquid Millionaire (RRP £21.97) for just 99p. I have just 99 copies to give away so be quick.

The number of telephone consultations (and free book giveaways) available is always limited.

You can email us or call 0800 170 7750 if you prefer.

In both cases you are under no obligation to do anything, buy anything or sign up for anything.