Sigue con la misma idea q la semana pasada ....
Breakout or Fakeout?
After four straight sessions stuck at 2100 stocks seemed to breakout above Friday to a new record close of 2110. However, you can color me unconvinced.
Yes, I think this is a fakeout where stocks retreat back under 2100 in consolidation mode. I just don't think we have the right fuel to head higher at this time given how most every economic indicator is showing softer and softer results.
Granted the economic data still reads that the US economy is growing...but certainly not at the blistering 4-5% pace found in much of 2014. I think two'ish percent is the reality. Plus corporate earnings growth is nearly non-existent when you remove Apple's monster profits.
Disclaimer: The above is what I think "should" happen. Yet, I know that a long term bull market needs little reason to keep progressing upward. You could say that moving higher is the natural gravity of stock prices unless a stronger opposing force pushes them down. I just think those forces are in place to prevent an advance while not being a bear market either.
We know the score soon enough.
Best,
