Market Outlook – 9.5.16

Michael Murphy
2016-09-05
05
Sep 16

The S&P 500 looks like it is finally ready to break out to new highs over 2200. As the underinvested and bearish hedge fund managers get back from the Hamptons, the high fractal dimension on the daily chart can power a move that will put tremendous pressure on them. I expect this upswing will last to the September 21 turn date, although I’d rather see a decline into that date to set up a surprise October rally.

160902 2 sep3esD

Gold bounced off $1,306 and touched its 38.2% retracement level on Friday. The fractal dimension dropped through 55 on Thursday and the trend changed to up. This move should take gold over $1,350, on the way to $1,400.

160902 4 sep3gD

Bitcoin showed some strength over the weekend, and is back over my buy limit. The 38.2% retracement of the drop from June 18 to August 2 is at $613. A break over that level would be very meaningful.

160904-bitcoin-graphicClick for larger graphic

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RICHARD
RICHARD

1st?
What a boring life I lead

MR. DAVID KISTLER
MR. DAVID KISTLER

Are you expecting this bull market to end sometime in Q4 2016? If so what is your plan then?

SATYDAVE4
SATYDAVE4
STEVEN
STEVEN

MM, is tech support still working on returning either the orange “I read this already” boxes or the ability to respond directly to a thread? Both are missed………

DRCHARLS
DRCHARLS

Sixth
Doc.

STEVEN
STEVEN

Thank MM. And I second the concern JINRNO!

oldster3
oldster3

*****Michael Murphy User ID: 7191 @ 2016-09-05 12:43 Comment # 229202 *****
—– You couldn’t be more Wrong-Headed……shame….That’s why I use “The Cheap Investor” and Harry Boxer’s service…..You could have saved your customers tons of money — but, chose to do otherwise…….
+
Good Luck to all here, I’m gone……

Donald Galamaga
Donald Galamaga

Good Morning all. Gold Silver CDE PZG etc, Happy

Wendy L.
Wendy L.

Yes always bother me someone posted $7-$10 NUGT when gold, gdx, silver nugt etc are on the uptrend although not the best values to enter this time.. Happened when they touched apparent bottom earlier this year as well. Wonder how many are you who missed the boat due to this reason.

PS: I am not in full positons on NUGT and DSLV this time. FYI.

fubar
fubar

I’m pretty happy with NUGT. Invested 3 trading days ago,
up 35%!

StephKam
StephKam

@oldster3, Oh don’t go — we love you so. We don’t care if you aren’t always right (who is?), you add interest to our conversation here, and focus on technicals to what would otherwise only be a gaggle of hopes and guesses, and sometimes also a touch of humanity to attitudes that seem to ignore it. You say you’re still subscribed… so stay. FWIW, I was otherwise occupied (new roof) when LABU went below 40 and by the time I saw it decided to hang on for now. I will certainly exit if it takes out last week’s low (don’t… Read more »

Curious1
Curious1

Michael Murphy: comment 229211,
Yea, but they have been looking for a while, what is the progress?
Are we stuck with no threads, and no comments section, and no deadline to get back to what we had? It appears so.

Curious1
Curious1

Hillary’s Four (4) Minute Cough Speech: 10 doctors express their concern

Trump tweet: “I think that both candidates, Crooked Hillary and myself, should release detailed medical records. I have no problem in doing so! Hillary?”

Read more at http://www.wnd.com/2016/08/10-prominent-doctors-question-hillarys-health/#fQxjQdts4IyFAlfw.99

Chris
Chris

BCRX has a cure for Ebola!!! Sept. 07, 2016 (GLOBE NEWSWIRE) — BioCryst Pharmaceuticals, Inc. (NASDAQ:BCRX) today announced positive results from a proof-of-concept study of its broad spectrum antiviral, BCX4430, for the delayed treatment of Ebola virus infection in rhesus macaques. The goals of this 28-day study were to assess the effect of different dosing regimens of BCX4430 administered by i.m. injection on survival in rhesus macaques with established Ebola virus disease. The study consisted of three treatment groups of six animals each treated with different BCX4430 dosing schedules and one control group of six animals. “USAMRIID was pleased to… Read more »

Donald Galamaga
Donald Galamaga

Good Morning all. Aralez scores a drug from Merck. Does this change the SELL after approval this Sept of the coated aspirin pill?
http://finance.yahoo.com/news/aralez-acquires-united-states-canadian-123400653.html

Edward
Edward

@ Donald, I would like to know the answer to your question as well.

lawrence naresh
lawrence naresh

mm , please let us know if we should buy stock of any of the drugs mentioned above that have got approvals …maybe a quick buy and sell ?

TevisM
TevisM

@Chris

You nailed in on the WATT put! Thank you.

Wendy L.
Wendy L.

XLE – appears about to break to the upside imo. Maybe to higher $70s or lower $80s imo if the trend continues.

Donald Galamaga
Donald Galamaga

@Chris, Looks like a bit of dilution taking place with KNTNF. On the other hand, it also appears that production of gold is underway in several places. Might just catch a following wind of gold prices as this rolls out: K92 Mining Announces Conversion of 2,500,000 Class A Preferred Shares by CRH Funding II Pte. Ltd., Acceleration of Expiry Date of Warrants and Extension to Gold Delivery Date BY Marketwire – Canada — 2:43 PM ET 09/06/2016 VANCOUVER, BRITISH COLUMBIA–(Marketwired – Sept. 6, 2016) – K92 Mining Inc. ( KNTNF (the “Company” or “K92”) is pleased to announce that CRH… Read more »

BTGOLD
BTGOLD

“theeconomiccollapseblog dot com” . . . ummm …. yeah, that’s where I will get objective & factual analysis about the state of the economy. a little bit old this: http://www.marketminder.com/a/fisher-investments-subprime-auto-loans-not-another-2008/71f1ff91-bfd8-4034-9dd5-11b73cbc8c78

William Klawonn
William Klawonn

I have not been around for a while. I am focused on WMIH. WMIH should now be on your watch list. It has taken longer than expected. WMIH had an acquisition lined up in the middle of 2015, but it fell through. All indications are that they are working on something else that – according to things that were said at the ASM – may well happen this year. No promises, of course, but the stock is gradually ticking up. It is now in the Russell 2000 and institutional holdings have increased. I am not a chart person, but am… Read more »

Arnold
Arnold

WK: Welcome back. IFNY – No news that I’m aware of, but that’s probably not a good sign. I’ve felt for over a year that it’s probably a hopeless investment for (current) public shareholders. Even if it survives, the lion’s share of the production interest will have to be given to private investors and/or development and production partners. Hudson (?) may be limited to holding <10%, but they'll probably still be paid with zillions of penny shares that they'll use to overhang the market.

shawn
shawn

Nice to hear from you William Klawonn. What do you anticipate happening to our escrow/LT positions in Washington Mutual? Thanks for you opinion, I will take it as just that, an opinion.

William Klawonn
William Klawonn

shawn: I think that – depending on the resolution of the employee claims and the potential for the MARTA claim to be re-filed (note that I seriously doubt, but cannot be sure, that the MARTA claim will be re-filed) – the best available information indicates there may be anywhere between $20m and something more than $100m left for escrows. That would be $2 to $10+ for a “P” escrow. For there to be more than that, new money would have to come from somewhere, and there have been theories about that, but no one can say for sure if that… Read more »

Donald Galamaga
Donald Galamaga

Good afternoon all. That Apache discovery (APA) in West Texas is really major. Interesting lesson, always look for equities that might supply or be related to the big news. My pleasant surprise this morning is the Texas Pacific Land Trust (TPL), which leases land in that area from an old railroad trust. I have a few shares. The mandate of TPL is to slowly go out of business over time getting rid of old railroad land. They retire a few hundred shares every year. Worth a long term look, IMHO.

Chris
Chris

At the open this morning, someone placed about $190,000 on a bet that WATT would continue to drop, buying 900 Sept 17.50 puts between 1.70 and 2.10. So far, that’s been a good bet.
Someone also bot 500 Sept $15 Puts between 50 and 70 cents (around $3,250) but it looks like they may have closed those out around 10:45 a.m. for abut $4100.
I am sure there are a lot of disappointed WATT owners as the stock is down over 20% since Wednesday morning.

Curious1
Curious1

The ‘word’ is that TEVA will update the EPI-Pen generic status on Friday, in their conference on generics. This is from multiple individuals as sources, and is credible to me.

fosterg
fosterg

Oldster, I also would be sorry to see you go. if you dont mind answering a question, do your sources still think gold will take a big downturn before heading up? So far Edelson seems to be wrong and maybe got us in too late.