Patience Pays: SP500 Levels, Refreshed...

I have been seeing/hearing a lot of “technical” notes/noise today. What that generally means is that people are in trouble, looking for a lifeline. So, be patient … and you’ll get your price.

 

In this morning’s Early Look, I issued 2 levels of immediate term TRADE support (801 and 760). Since that dotted red line in the chart below was broken to the downside (801), I have done nothing but sell. I think you’re going to get paid to wait for the 755-763 range that I have outlined in green below. That’s my new buy/cover range in what is turning into a very trade-able range bound market.

 

The US Dollar is up again today – that’s bad for the US stock market. The USD runs into immediate term resistance at 86.46, and is bumping up against the 86 line here intraday. If I see a VIX over 47, the USD pushing up at 86.50, and the SP500 at 760, you can proactively predict what I’ll be doing – buying/covering.

 

This is a Bear Market, and it should be proactively managed accordingly.

KM

Keith R. McCullough
CEO & Chief Investment Officer

Patience Pays: SP500 Levels, Refreshed...  - SPX


Cartoon of the Day: Bulls Leading the People

Investors rejoiced as centrist Emmanuel Macron edged out far-right Marine Le Pen in France's election day voting. European equities were up as much as 4.7% on the news.

read more

McCullough: ‘This Crazy Stat Drives Stock Market Bears Nuts’

If you’re short the stock market today, and your boss asks why is the Nasdaq at an all-time high, here’s the only honest answer: So far, Nasdaq company earnings are up 46% year-over-year.

read more

Who's Right? The Stock Market or the Bond Market?

"As I see it, bonds look like they have further to fall, while stocks look tenuous at these levels," writes Peter Atwater, founder of Financial Insyghts.

read more

Poll of the Day: If You Could Have Lunch with One Fed Chair...

What do you think? Cast your vote. Let us know.

read more

Are Millennials Actually Lazy, Narcissists? An Interview with Neil Howe (Part 2)

An interview with Neil Howe on why Boomers and Xers get it all wrong.

read more

6 Charts: The French Election, Nasdaq All-Time Highs & An Earnings Scorecard

We've been telling investors for some time that global growth is picking up, get long stocks.

read more

Another French Revolution?

"Don't be complacent," writes Hedgeye Managing Director Neil Howe. "Tectonic shifts are underway in France. Is there the prospect of the new Sixth Republic? C'est vraiment possible."

read more

Cartoon of the Day: The Trend is Your Friend

"All of the key trending macro data suggests the U.S. economy is accelerating," Hedgeye CEO Keith McCullough says.

read more

A Sneak Peek At Hedgeye's 2017 GDP Estimates

Here's an inside look at our GDP estimates versus Wall Street consensus.

read more

Cartoon of the Day: Green Thumb

So far, 64 of 498 companies in the S&P 500 have reported aggregate sales and earnings growth of 6.1% and 16.8% respectively.

read more

Europe's Battles Against Apple, Google, Innovation & Jobs

"“I am very concerned the E.U. maintains a battle against the American giants while doing everything possible to sustain so-called national champions," writes economist Daniel Lacalle. "Attacking innovation doesn’t create jobs.”

read more

An Open Letter to Pandora Management...

"Please stop leaking information to the press," writes Hedgeye Internet & Media analyst Hesham Shaaban. "You are getting in your own way, and blowing up your shareholders in the process."

read more