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Market Musings

The IBD market call remains "Uptrend Under Pressure." 

Rising inflation probably postpones any interest rate reduction in the next six months. The real CPI is much higher than the make-believe data from the BLS.

Full-time jobs are disappearing but part-time and government jobs are not.

Are you not reminded of the "Emperor has no clothes!"

Iran's threat to take direct action against Israel probably helped unsettle the market on Friday. Some analysts believe that all the remaining Israeli hostages are dead. 

The STI (Simple Timing Indicator) which is the number of "A" rated stocks in the IBD database  has fallen close to the red line suggesting caution.

The Russian-Ukraine conflict continues to drag on. Many U.S. politicians are becoming alarmed at the conflicts cost to U.S. finances.

Rebuilding our military weapon stockpiles is going to be expensive and will take time.

In the meantime, the undocumented invasion continues at the U.S. borders and it is becoming a major wakeup call in the upcoming elections.

Do not forget that about 25% of the stock markets value is held by only 5 stocks ... danger ahead?

Have we reached the Minsky moment?  The dollar's reserve status is slipping away taking the U.S. economy towards a slippery slope.

Gold made another new all-time high this week.

Dare I say that it will be at least another year of dismal U.S. and world economic growth.

And that is if we don't enter a major military war with either Russia or China.

Do not be surprised if the NASDAQ falls through 8,000, the SPX to 2,500 and the DJIA sees the 25,000 level.

Remember -- "Only purchasing power counts!"

It is difficult to find long-term trading opportunities with the future so uncertain. 

By any reasonable measure, this market is dangerous.

Be careful ....

To review the 04/12/2024 FlowChart, click here.
   

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