Seeking Alpha

InTheMoneyStock...'s  Instablog

InTheMoneyStocks.com
Send Message
InTheMoneyStocks.Com is a research and consulting company focused on mathematical proprietary techniques along with a key understanding of price, pattern and time. Through understanding geometry and other technical analysis methods, InTheMoneyStocks.Com prides itself on avoiding Wall Street hype... More
My company:
InTheMoneyStocks.com
My blog:
Pro Traders Rant and Rave Blog
  • Stocks Rally, Gold Drops, Bonds Soar, Something Has To Give 0 comments
    Jul 19, 2011 3:37 PM | about stocks: ZSL, WYNN, TLT, SINA
    The major stock indexes are surging higher this afternoon. The NASDAQ composite is leading the charge as the tech heavy index is trading higher by 2.17 percent. The strange thing about today is that everything is rallying higher. Bonds are soaring higher with the major stock indexes. Even the U.S. Dollar Index has rallied higher off of the morning lows.

    The popular iShares Barclays 20 + Year Treasury ETF is trading higher by $1.54 to $96.80 a share. Rarely, will the bond market and the stock market trade sharply higher together.

    Gold and silver are also declining sharply lower this afternoon. The SPDR Gold Shares(NYSE:GLD) is trading lower by $2.15 to $154.42 a share. The iShares Silver Trust(NYSE:SLV) is declining lower by $1.40 to $38.05. Gold and silver were both slightly extended and overbought on the daily chart.

    The U.S. Dollar Index futures(DX U1) has also rocketed off of the morning lows. Around 10:10 am EST the U.S. Dollar Index futures were trading as low as $75.18 per contract. Since that morning low, the U.S. Dollar Index futures have rallied higher by 0.40 cents to $75.60 per contract. Normally, when the U.S. Dollar Index rallies higher the major stock indexes will deflate and decline lower. That is not the case this afternoon as everything is rallying higher.

    There are a few leading stocks that are failing to participate in today's large stock rally. Wynn Resorts Ltd.(NASDAQ:WYNN) is a leading stock that reversed lower after a sharp gap higher open. This stock is making a sharp outside day pattern on the daily chart. Traders must use caution when trying to buy this stock now, the current pattern usually indicates further downside.

    Sina Corp.(NASDAQ:SINA) is a leading Chinese internet stock that is also making a reversal on the daily chart. SINA stock is trading lower by $1.34 to $119.66 a share. Traders should watch for more of a pullback in this stock before committing to buying this stock. Stocks that fail to rally higher on strong trading days are often warning traders that they may need to pullback and consolidate before trading higher again.



    Nicholas Santiago
    InTheMoneyStocks.com
    Stocks: ZSL, WYNN, TLT, SINA
Back To InTheMoneyStocks.com's Instablog HomePage »

Instablogs are blogs which are instantly set up and networked within the Seeking Alpha community. Instablog posts are not selected, edited or screened by Seeking Alpha editors, in contrast to contributors' articles.

Comments (0)
Track new comments
Be the first to comment
Full index of posts »
Latest Followers

StockTalks

More »

Latest Comments


Posts by Themes
Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.