7-13-15 Comments

Watch lists are updated.
No surprise, I figured that I would wake up to an announcement of a Greek agreement. Now perhaps the market can pay attention to earnings season. The problems in Greece are not going to go away but perhaps the news will move off the front page. I keep in the back of my mind that Germany which is in the drivers seat right now has decidedly negative demographics going forward, similar to Japan in 1989 when they seemed invincible.

Most stocks on my watch list report earnings over the next two weeks so caution is advised if you are tempted to take a position.

The MarketSchool exposure model (MEM) is in correction showing zero recommended exposure. We shall see what happens going forward but as far as the MEM is concerned we are looking for a follow through day. IBD has retained a little bit of flexibility with their Market Under Pressure stance.

I guess the big question right now is should we be selling rallies or preparing to go long? I guess this question folds back on earnings reports as we go forward. Something like 23 of the 24 earnings reports reported so far have mentioned the negative impact of the US Dollar...