Monday Morning Chartology-8/16/10
Steve Cook on Disciplined Investing

Have You Seen This?


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Have You Seen This?

Tomorrow morning I leave for retreat at which I will be completely out of touch.  Next communication will be next Monday.

The Market

      Monday Morning Chartology

    Unfortunately, the S&P charts looks like the index is forming the right shoulder of a head and shoulders--which is not positive for stocks.  Since I will be out of touch, what I would be looking for before doing any buying would be a bounce but from a lower level (at least in the lower quadrant of the current trading range 1009-1149) then a break through the down trend line off the recent high.


    It appears that gold has re-set itself back to an up trend.


    The VIX has regained the short term support level but remains in an intermediate term down trend.


    Best investments in deflation (medium)

    Best investments in inflation (medium):

    Earnings yield versus bond yields (chart):


   This Week’s Data

    The New York Fed reported its August manufacturing index at 7.1 up from June’s 5.1 but below expectations of 8.0.


    Everyone’s scaling back their 2010 forecast for growth (medium):

    Container shipping volumes remain robust (chart):

    Some reflections on M2 (short):

    Rick Santelli on Fed ‘tinkering’ (7 minute video):



A not very positive essay on Keynesian economics (a bit long but today’s must read):

Posted 08-16-2010 8:33 AM by Steve Cook