Today's Comments (Short Term Outlook)                             Printer friendly

Enough already Stocks stayed consistent yesterday, rising early and closing weakly.  This is getting old, as is the triangle / pennant formation. The S&P 500 has stayed within the triangle formation and we are now seeing a trading range between 1340 and 1370.  If the S&P is ever going to test that January low, let's get the breakout out of the way.  Then maybe we can start looking for a playable rally.  But for now, I am still looking for that next move to be down.  I think I have bored you with this breakdown talk enough for now.                                     Chart provided courtesy of www.decisionpoint.com  Instead, I'll bore you with the oversold rally we could be seeing in bonds.  The AGG (F-fund) finally showed signs of life after a 4-week  pullback.  The 9-cent, 0.75% gain yesterday was one of the largest one-day gains that I can recall. The inflationary concerns are not a good sign for bonds, but we still have a Fed determined to cut rates aggressively.  This should keep bonds in play a while longer.                                     Chart provided courtesy of www.decisionpoint.com  I have to cut this short again today.  Sorry about that.  I have been on vacation this week and haven't been home much.  We'll get a fresh look at this market next week, hopefully after we get some sort of breakout confirmation today.  Have a great weekend!  Have questions?  Visit our message board for answers.  Would you like to be on our email alert list?  We will send you an email when there is a change to our asset allocation or market outlook.  Your email address will never be given out.  Read our privacy policy.  By signing up you agree to the TSP Talk Terms of Service.  More details below **. Are you bullish or bearish?  Join the Weekly Sentiment Survey. Like what you're reading?  Tell a Friend about us.