After Losing 98% of its Value, Is this Retailer Worth a Trade on the Long Side?
At just under $2.00, RSH finds itself down 98% from its all-time highs in the late 90s. We’ve talked a lot about old-line retail on this site and in emails, with these discussions largely centered around the likes of BBY,…...
Some Additional Evidence that Suggests Fear Levels May Have Recently Become too High
More on the sentiment side of things today. The chart below shows the proportion of Rydex assets that sit in money market funds as vs. total assets at the fund family. The higher the %, the more people are fearful…...
Did Sentiment Get Too Bearish, Too Quickly Yet Again?
Had struggled to find anything that was suggestive of excess bearishness recently until stumbling across this last night, which I pulled from SentimenTrader. The chart below shows the net long or short position that Hulbert Financial Digest newsletter writings are…...
Post Bubble Analog Suggests Housing Stocks Closer to Full Valuation than Nat Gas
In this post we highlight our post bubble analogs to see how close housing-related stocks and Nat Gas have come to lessening the valuation gap they’ve recently exhibited vs. where other bubbles have tended to trade some ~375-400 weeks after…...
Are YHOO’s Weaknesses Now Its Strengths?
We’ve mentioned YHOO bullishly on the site two times in recent months. Here, we noted YHOO was likely to grow closer with AAPL over time given the combination of the latter’s disdain for GOOG and flop in Maps on its…
Analog & Systematic Model Updates
The chart below shows our 4th/5th consecutive annual gain analog updated for Friday’s closing value on the Dow. At its intra-day low on Friday the Dow had corrected ~830 bps off its mid-September high of 13,600 and at its closing…...
How Far Might AAPL Fall from its Once Mighty Tree?
We’ve been bearish on this name for some time now and noted the following in our last post about it on October 6 when it stood at $658: “…we view the technical set-up in the stock as being as precarious…
Despair in Semi Space Creating Short-Term Opportunities
Have noted the potential upside in an AMD / INTC pair trade in the past right here. Initial thought was to put a 10% stop on that trade, long AMD and short INTC. Nearly immediately after putting it on we…...
Correlation vs. Causation – Why Has This Industry’s Relative Strength Been So Dependent on the USD Since 2000?
The chart below plots the ratio of the the S&P500 Food Retail Index vs. the SPX since 2000 in black. In green, it also plots the path of the USD over the same period. Why are these two items so…...