The Wall of Worry just keeps adding more bricks. Although there has been much talk about the impact of low oil prices on the U.S. high yield debt market and by extension the U.S. banks that did the lending, the bigger worry now is the stability of the European banking system. It is like 2011 all over again. Also, there continue to be signs of an insidious corporate “earnings recession.” Such headlines add to the steady stream of “worry bricks” that have so confounded disciplined fundamental investors for at least the past seven months or so. Read more about Sector Detector: Stocks rally off long-term support levels while the Wall of Worry rises ever higher

Stocks saw elevated volume and volatility last week, and the 100-day simple moving average on the S&P 500 proved to be the proverbial line-in-the-sand for bullish investors. I opined last week that the market seemed to have sufficiently cycled back down to oversold territory, so with a little more technical consolidation and successful testing of nearby support levels, the next move higher could easily commence at any time. So, the question remains as to whether that was the big new buying opportunity, or whether more backing-and-filling is needed. Read more about Sector Detector: August consolidation offers chance to buy top stocks from top sectors

Scott MartindaleThe sudden bearish turn last week in the market -- after hitting new highs the prior week -- has come fast and furious as selloffs are wont to do. And the pullback might have further still to go. But there are several reasons to expect a stabilization or bounce during this holiday-shortened week, and in any case I still expect that it eventually will turn out to be a great buying opportunity leading to higher prices later in the year. Read more about Sector Detector: Fast and furious selloff provides important market cleansing

smartindale / Tag: sectors, iShares, ETF, SPY, VIX, iyw, IYH, IDU, IYJ, IYE, IYK, IYC, IYZ, IYM, IYF, TFX, EIX, GAS, CELG, VMW, AXE, SOXX, BBH, FXU, FTEC, FHLC, FUTY, FSTA, FENY, FIDU, NFLX, DDD, ACT, JAZZ / 0 Comments

david trainerHigh dividend yields are not enough to warrant investing in the utilities sector.

Too many investors put their hard-earned money in utility stocks with the assumption that relatively high-yielding dividends from stable business make a good investment.

The real question that investors in any equity security must ask is: does my expected return from a stock justify the risk of investing in it? Read more about Utility Sector: Check The Ingredients Before Buying

dtrainer / Tag: DPL, FUI, FXU, IDU, PEG, PSCU, PUI, RYU, UPW, VPU, XLU / 0 Comments

ETF Periscope: Oil Speculators Get Spanked. Or Did They?

by Daniel Sckolnik of ETF Persicope

“It is better to travel well than to arrive.” -- Buddha

Watching crude oil take a serious plunge this week gave motorists a reason to cheer, but left oil traders with a strong, queasy feeling.

Well, at least some of them. Read more about ETF Periscope: Oil Speculators Get Spanked. Or Did They?

daniel / Tag: Crude Oil, DJIA, ETF, FXU, IAT, IEA, IYM, IYZ, NYMEX, RGI, RTL, S&P 500 Index, SPX, Strategic Petroleum Reserve, XLK, XLU / 0 Comments

Could I Interest You In a Slightly Used Parthenon?

by Daniel Sckolnik of ETF Periscope

“I do not believe in a fate that falls on men however they act; but I do believe in a fate that falls on them unless they act.” -- Buddha Read more about ETF Periscope: Could I Interest You In a Slightly Used Parthenon?

daniel / Tag: DJIA, ETF, EU, European Union, FXU, Greece, IAT, IMF, IYM, NASDAQ, RTL, S&P 500 Index, SPX / 0 Comments