US equities ended the week on a positive note, the SPX settling +44pts (0.9%) to 4712, which made for a net weekly gain of +173pts (3.8%). Meanwhile, WTIC settled +$0.73 (1.0%) to $71.67, which made for a net weekly gain of +$5.41 (8.2%).
sp’weekly1b
WTIC weekly
Summary
SPX: this week’s candle is powerful, negating the past two week’s of declines. Weekly momentum ticked upward, set to turn positive next Monday. I’d note upper bollinger at 4737, and that should be offering new hist’ highs in the 4740s next week.
WTIC: oil saw the first net weekly gain since mid October. Last week’s spike low of $62.43 appears secure. Soft target 74/75s, and I’d note the weekly 10MA in the $77s.
More broadly, giant psy’ $100 looks due by late spring 2022. JPM are seeking $125, and whilst that will be good news for the energy stocks, it will be an added cost pressure on almost everyone else… especially the transports.
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Dear Subscriber
… and that concludes another week at the world’s most entertaining, twisted, and rigged casino. Congratulations to the survivors!
I’ve been slating the ‘crash callers’ for a long time, and all they have seen was a couple of weeks of cooling to 4495. That sure didn’t merit any hysteria, but then… neither did the cooling in September.
To be clear as crystal…. I do NOT fear the QE taper… nor rate hikes. It remains the case that the ultimate equity sell signal is a rate CUT. It is ironic that most still don’t see that… even after all these years.
Yours truly is content to sit back and hold…
OXY, SLB, MRO, RIG, KMI, FCX, X, CLF, MOS, BAC, UEC, GOLD, NEM, AG, HL, KGC
Mr inflation is out there, and we should see a positive feedback loop into spring/summer 2022, which in theory… will see most commodities push broadly upward.
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Miscell C19 chatter…
Indeed, the restrictions lead to many having mental breaks, with a sig’ increase in drug related deaths, and mid/long term drug dependency.
… but hey, I’m aware that most don’t want to hear anything about that.
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I present to you…. a John Galt
There are tens of millions of others, and its a systemic problem for the mid/long term. https://t.co/g0Nw5QK5gQ
— Philip Calrissian (@Trading_Sunset) December 10, 2021
The John Galts are indeed a huge mid/long term issue, whilst Cramer is touting the strongest ever economy…
Whether you see the Cramer as deluded, or just plain lying, doesn't matter.
The US/global economy is systemically broken, as a result of the C19 mandates. Tens of millions of 'talent' are walking away John Galt style, refusing to play any more of the games. #DoNotComplyEVER https://t.co/0B1yxhVjB9
— Philip Calrissian (@Trading_Sunset) December 10, 2021
The notion the US economy is the strongest ever… is beyond ludicrous. Among a truck load of issues, the first that comes to mind are monstrous consumer, corporate, and govt’ debt.
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Always good from Heyling and Weinstein.
The mainstream don’t want to hear any talk of Vit’D, sunshine, Ivermectin, or leading a healthy/active lifestyle. Instead… all they have to offer – or rather promote, are leaky/non-sterilising vaccines, masks, and staying at home.
Early 2022 is going to be a very dynamic time, with Austria and Germany set to enforce vaccine mandates, and with another wave of millions who will effectively ‘give up on the society/species’… and walk away into the proverbial sunset.
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The weekend
I’ve entertainment via ‘Gold Rush’, ‘The Expanse’, maybe a movie, and if I can find the inspiration and energy, I’ve some weekend projects to work on. With just 14 trading days left of 2021… its time to rest.
As ever, feel free to message me via Disqus or email.
Sincerely, have a restful weekend, and goodnight from London
yours… Philip
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The weekend post will appear Sat’12pm EST @ https://tradingsunset.blogspot.com, and will detail six of the US equity indexes (monthly candle charts).