Trade the Cycles: The Six Month Broad Market Walmart (WMT) Lead Indicator Is ULTRA Scary Bearish

Thursday, September 10, 2009

The six month broad market Walmart (WMT) Lead Indicator is ULTRA scary bearish, see http://bit.ly/nCMaM. SPX (S & P 500, http://bit.ly/i0nsT)/the market and nearly all sectors, stocks, and commodities (like the gold and energy sectors) are likely to get savaged over the next 6 to 12 months.

An important SPX (S & P 500, http://bit.ly/i0nsT) Wave B/Wave 4 Intermediate Term Upcycle since 3-6-09 (see http://tradethecycles.blogspot.com/2009/08/spx-s-p-500-cyclical-bear-market-since.html, The SPX Cyclical Bear Market Elliott Wave Count) might have peaked on 8-28-09, see the daily candlestick chart at http://bit.ly/i0nsT, or, should soon do so.

INTERESTING, "The “Real” Mega Bears" see http://bit.ly/AL8LQ. It supports the SPX (S & P 500, http://bit.ly/i0nsT) bounce since March 6, 2009 being a countertrend Wave B type of upcycle.

.......http://www.JoeFRocks.com/

NEM XAU HUI

SPX 1014 was Fibonacci 38.2% target (retraced 38.2% of decline from 1576.09). Add some for Fed pumping & SPX basically hit Fibo 38.2% target.

By Joe Ferrazzano, at 9:05 AM
I'm on Twitter at http://twitter.com/tradethecycles

By Joe Ferrazzano, at 9:06 AM
When market clearly breaks down, it's likely to fall very far very fast. It tends to fall faster, larger % declines, than it rises.

By Joe Ferrazzano, at 9:13 AM
Bernanke took the foot off the pedal today, which is BEARISH, see http://bit.ly/9lBIG

By Joe Ferrazzano, at 10:19 AM
This is the only update for today folks. Follow me on Twitter! at http://twitter.com/tradethecycles

By Joe Ferrazzano, at 2:19 PM
At some point (like now) massive propping by Fed becomes a house of cards, it has to INCREASE to be effective see http://bit.ly/9lBIG

By Joe Ferrazzano, at 10:59 AM
September and October tend to be the worst months for the stock market.

By Joe Ferrazzano, at 11:00 AM

Trade the Cycles