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I Thought The Stock Market Was Supposed To “Crash Like 1987”

I Thought The Stock Market Was Supposed To “Crash Like 1987”

It seems like just yesterday when everybody on CNBC was saying “here’s why the stock market could crash like 1987”. With that being said, the S&P has made a perfect 61.8% retracement of its current correction: Even if this is the start of a bear market, the S&P will bounce and retrace 50-61.8% of its […]
Weak Investor Allocations Continue To Weigh On Hedge Funds

Weak Investor Allocations Continue To Weigh On Hedge Funds

Hedge funds did a bit better last month in terms of performance-based gains, but unfortunately, investor outflows continued, according to data from Eurekahedge. Overall the Eurekahedge Hedge Fund Index was in the red for September while the broader world market was in the green. Hedge funds down 0.06% Preliminary data indicates the index declined 0.06% in September, while the […]
Post-Election Economic Forecast: Political Gridlock Will Be Good For Business

Post-Election Economic Forecast: Political Gridlock Will Be Good For Business

The economy will do well with government control divided between Democrats and Republicans. I didn’t always believe this, but a decade ago I was persuaded by the late economist William A. Niskanen. “Our federal government may work better (well, less badly) when at least one house of Congress is controlled by the opposing party,” he […]
Bitcoin Daily Forecast – Thursday, Nov. 8

Bitcoin Daily Forecast – Thursday, Nov. 8

Bitcoin markets did rally a bit overnight, but most of the session on Wednesday was rather quiet although above the $6500 level. That’s an area that was previous resistance, so it should now be supported based upon market memory. I believe that the market finding buyers in that area makes a bit of sense, and […]
3 ‘Strong Buy’ Stocks Soaring Post-Midterms

3 ‘Strong Buy’ Stocks Soaring Post-Midterms

America voted on Tuesday, and as the dust settles the results are coming clear. First, there was no ‘Blue Wave’ of Democrats sweeping the Trump Republicans out of office. Yes, the Dems made gains, but those gains were small by historical standards. We saw a closer split among the State governorships and a 10 to […]
US Equities Roar To Life After Elections

US Equities Roar To Life After Elections

The upside price breakout that occurred on November 7, the day after the US mid-term elections, is an incredible display of global investor sentiment regarding the GOP success in the Senate and the continued business-friendly expectations originating out of Washington DC. The move shows how clearly a global capital market shift is still engaged in […]
Pluralsight Could Falter When Lockup Expires

Pluralsight Could Falter When Lockup Expires

The 180-day lockup period for Pluralsight LLC (PS) ends on November 13, 2018. This date marks the point when the company’s pre-IPO shareholders and insiders may sell large blocks of currently restricted shares in the secondary market. With more than 36 million shares of PS subject to lockup restrictions – and just 20 million shares trading […]
USDCAD Daily Analysis – Thursday, Nov. 8

USDCAD Daily Analysis – Thursday, Nov. 8

USDCAD continued its sideways movement in a trading range between 1.3048 and 1.3169. The sideways move is likely consolidation for the uptrend from 1.2782. As long as 1.3048 support holds, the upside movement could be expected to resume and a breakout of 1.3169 resistance could take the price to 1.3250 area. Only a breakdown below […]
Profitability Regresses Toward The Mean

Profitability Regresses Toward The Mean

We analyzed on average 11,000 companies in 10 sectors to understand how ROIC for a company changes over time. We hypothesized that it is almost impossible for a firm to maintain a high level of profitability forever, neither to have losses forever. The results show that very profitable firms decrease in profitability and low profitability […]
Top 5 Charts Of The Week – Thursday, Nov. 8

Top 5 Charts Of The Week – Thursday, Nov. 8

This week we look at the following charts and themes: Crude oil breakdown – the technical picture looks bleak as headwinds mount Global institutional investor confidence – instos drop equity allocations to a 5 year low EM vs DM manufacturing PMIs – EM PMI rebounds to a 5 month high in October Economic Policy Uncertainty […]