Is the DOW in trouble?

Watching the stock market action in the past week for me has been more exciting than watching the Australian Open. The most “entertaining” market is none other than the venerable DOW (see chart above) which comprises of the 30 largest companies in the US. Just one day after making a new high, the index fell [...]

2010 Bear Market Strategies

I was surprised when I found out that the top keyword search phrase for my blog this month was “2010 Bear Market Strategies”. Due to the lack of bearish articles on Australian sites, my little old blog appeared in the top 2 listings on the Google search results! For the few bears out there (according [...]

Meredith Whitney: Sell the banks

I noticed early this morning that some banks in the US finished in the red despite a very bullish day where the major market indices made new highs. When the Australian markets opened later in the morning, I noticed that the major Australian banks also registered big drops in price. At the time of writing, [...]

Flight to safety starting

In the last few days, the only “green” on my watchlist of Australian stocks were those of defensive stocks like utilities and consumer staples while the mining and banking stocks tumbled. Telstra, which was so unloved in the past months is finally making a strong comeback. For those public super funds who have to maintain [...]

Is China a leading indicator? Part 2

On August 20, I wrote my first post on this when the Shanghai Composite (SSEC) convincing broke through the multi-month uptrend line. Since then, the index has completed a failed retest of the trend line from the back side and has put in a lower high similar to Jan 08. This is very bearish and [...]

Is China a leading indicator?

China’s stock market started rebounding in November 2008, about four months before most other global markets which only started their rallies around March 09. I have been watching the Shanghai Composite Index (ticker symbol ^SSEC on Yahoo Finance) which has rallied about 100% since Nov 2008 and seems to have peeked around early August 2009. [...]

How your SMSF can profit when the market goes down

Stock investors can only profit when stocks go up in price. The only way for a stock investor to profit in a falling market would be sell short but most people are uncomfortable with short selling. Short sellers are perceived negatively and are frequently blamed by regulators and company CEOs for causing stock prices to [...]

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