The week has ended with a fourth day of narrow range trading. Three of those days were on low volume (including today). Yesterday was high volume - distorted by options expiry.The RSI is flat lining at 66.9 - high, but well under the American Index S%P500 which is at an insanely high 76 and has been around those levels for some time.
Breadth was good.
Nothing much more to say.
The trend is up - and doesn't look like reversing, yet.
Those volume figures are a worry. :)
The U.S. market is still in Cloud Cuckoo Land.
Here's a snippet from Dave Rosenberg, my favourite huggie bear:
Reading a Bloomberg news story this morning, we were reminded that you have to go back 40 years to see the last time the U.S. stock market surged as much as it has in the past six months with such little volatility and opportunities to buy on dips along the way. In other words, this is not a normal market by any means, having been a virtual straight line up ever since Mr. Bernanke announced QE2 in late August. And the same institution that conducted the survey above also just published a report concluding that the Shiller cyclically-adjusted P/E ratio is a relic and not to be relied upon as a valuation tool — perhaps because it is now suggesting that the market is 30% more expensive relative to historical norms.
Sweet dreams
Red
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