26 February 2014

SP 500 and NDX Futures Daily Charts - Ghosts of Bubbles Past

The New Homes Sales number came in much higher than expected this morning, and so stocks reversed from their initial slump. They rose to challenge the overhead resistance once again, only to fall back down in the afternoon.

Rinse, wash, repeat.

Be careful, because this is a piñata market, shaped like the bubbles past, an elevated construction with the consistency of papier-mâché, at which a crowd of those with the forethought of children are taking their swings, trying to release its hidden riches.

But, alas, this one comes with a plague of Pandora's woes inside.

Have a pleasant evening.