We have no new trading signals for tomorrow. Big Picture Waking up in the morning has always been crap shoot over what has happened in global markets overnight. This has always been, up until most recently, the guiding factor in how our market will trade not only at the open, but more often than not for the rest of the day. This changed in a big way after the sharp market decline starting January 28th. Over the course of the ensuing six months the S&P 500 has recovered about 95% of it's early February decline, making it essentially break-even during that time, Meanwhile global market indices have continued their fall into clear and convincing bear markets. Emerging markets as well as a host of individual country indexes are all down over 20%. China is the worse, down over 33%. What gives? Either the world is leading equites down into bear markets that eventually will bring our market down, or. money is rushing into our markets as some sort of safe haven. Except when it comes to bear markets history tells us there are no safe havens other than sometimes gold. In our market, FB. NFLX and now TSLA have all exceeded 20% declines over just the past month. Tesla has fallen 20% from its highs in just the past week. Our former leaders are starting to follow the global bear and it seems more and more that it's just a matter of time before the last refuge, our domestic market, follows suit. I have been bearish for a long time, and other than about one week in early February, have either been premature, or just outright wrong. I'm pretty sure its the former, and in a way more certain than ever. Still take my bearish vision with a grain of salt, or the whole shaker if you must. But this is what I see and I am not about to pull any punches. Not now, as the precipice seems closer than ever. A Tale of Two Markets NYSE Weekly EEM Weekly
