Click Here to Subscribe Now! Try a 3-month trial for only $68

Quote of the Day

Tuesday, April 17, 2012

April 17, 2012 -- "The Constitution is not neutral. It was designed to take the government off the backs of the people." William O. Douglas (1898 to 1980) Supreme Court Justice (1938 to 1975).

..........................................................................

 

Below a P&F chart of my PTI. The PTI recorded a double X top, and then headed down, but it held above critical support where the arrow is pointing. My PTI is now "suspended" between the high and the recent low. As long as the PTI does not issue a decisive sell signal, I'm taking the position that it remains bullish. A sell signal would come if my PTI hits the lower box where the arrow is pointing. In the absence of such a sell signal, I take it that the PTI remains in a bull trend.

 

 

 

 

TODAY'S MARKET ACTION:

 

My PTI was up 6 at 6393. The moving average at 6369, so my PTI is bullish by 24.

 

The Dow was up 194.13 to 13115.54.

 

Transports were up 75.48 to 5310.13.

 

Utilities were up 2.74 to 458.98.

 

NASDAQ was up 54.42 to 3042.82.

 

S&P 500 was up 21.21 to 1390.78.

 

There were 2352 advances and 698 declines on the NYSE.

 

There were 90 new highs and 22 new lows.

 

Total Volume on the NYSE and associated exchanges was 3.4 billion.

 

Bonds: Yield on the 10 year T-note was 2.00. Yield on the long T-bond was 3.144. Yield of the 91 day T-bill was 0.081%.

 

Dollar Index was up 0.01 at 79.55. Euro was up 0.04 at 131.43. Yen was down 0.47 at 123.83. Currency Prices as of 1 PM Pacific Time.

June gold was up 1.40 to 1651.10. May silver was up 0.30 to 31.67.

 

May light crude was up 1.27 to 104.20.

 

My Most Active Stocks Index was up 13 at 308.

 

The Big Money Breadth Index was up 10 at 1032.

 

CRB Commodity Index was up 1.28 at 302.04.

 

The VIX down 1.18 at 18.37.

 

Permanent Portfolio Fund (PRPFX) was down 0.05 to 48.05 (previous day closing). YTD Return: 4.25%.

 

Late Notes -- A strong day all around. New highs to new lows were four to one on the Big Board. Dow closed near the high with NO late sell-off. Today the return of the Apple, up 29 points.

 

Almost all gold shares were up today, which was a novelty. Most building stocks were up -- comes the dawn!

 

Musing --With the market now so erratic and difficult to follow, I note that most of the advisories that I read or trade with are in a high state of nervous frustration. The problem is that they can't discern any steady trend to follow. I've stated that times like these do occur, and that when they do, it's best to come out and admit your consternation.

 

In this business no one can be right all the time, and when the stock market is this confusing, it's best to come out and say it. I'll admit that the stock market has me confused (and this has been the case over 50 years of writing maybe 60% of the time). It happens, and we just have to be honest and live through it. There's no "faking it" in the business of investing.

 

At this time, I feel happiest and most confident sitting on the sidelines. To own stocks I have to be bullish, and my various technical guides must be bullish. I don't see any great bargains in the stock market today, so this is a move that I've decided to skip. When the batter is up next, I'll probably take a swing or two.

 

.................................................

 

A few e-mails that I appreciated:

...............

 

Dear Mr. Russell,

 

Thank you very much for bringing my new book to the attention of your readers.  As a result of your recommendation to buy it, The New Depression has shot far up the Amazon rank of bestselling books and, as of this morning, is still climbing.  In fact, Amazon has temporarily sold out. 

 

As I have written to you before, I believe that, more than any other single factor, your endorsement of The Dollar Crisis in 2003 turned it into an international bestseller; and that has made it possible for me to continuing writing. 

 

I am deeply grateful.

 

With very best regards,

 

Richard Duncan

 

...............

 

Dear Richard,

I went to a gun shop in Culver City to buy the first gun of my life, a Smith and Wesson snub nose 38 ... $500 W/ TAX ... THE store was PACKED... men, women etc.

My salesman told me it is like that every day and barriers to entry are impossible due to Fed & Local laws.  Wow.  He said never come in on Saturday, it is a Zoo.  The LAPD recommended having a weapon at home as invasions are epidemic, but are never put on the news as it would be bad for business...you are sounding better than ever.

Your pal..

Freddie............out