Tuesday March 24, 2015

// March 24th, 2015 // Daily News

Money pours into stocks—does that signal a top?
Alex Rosenberg | @CNBCAlex
CNBC.com
As money surges into the market, is it time for savvy investors to cash out?
That’s what a report from TrimTabs suggests, at least on a near-term basis. The investment research company reported on Sunday that investors have added $46.8 billion to equity mutual funds and exchange-traded funds in March, the most for any month since October 2013.
“Fund flows data does not bode well for U.S. equities in the short term,” TrimTabs concludes.
Indeed, investors often take fund flows to be a contrarian indicator. The basic idea is that once everyone buys, there’s less money left to go into the market. Additionally, heavy buying could be seen as a sign of investor exuberance, indicating that stocks are in “overbought” territory.
Indeed, TrimTabs adds that flows into and out of leveraged ETFs (which move twice or three times as quickly as the underlying set of stocks) are “also worryingly upbeat,” with leveraged short ETFs redeeming assets for the second straight week, and leverage long ETFs issuing assets for the fourth straight week.
Still, not everyone finds the buying to be quite so worrisome.
“I don’t think it signals a top of any sort. It’s a lagging indicator. It’s garbage, as far as I’m concerned,” said David Seaburg, head of equity sales trading with Cowen & Co.
In fact, Seaburg says that many of the well-known indicators don’t work in such a central-bank-dominated trading environment.
“The old sort of indications of what signaled the top in the past are out the window,” he said. “Look how long it has taken us to get our arms around the volume. Markets that go up on low-volume days, does that mean it’s not a confirmed sort of rally?”

Today’s Inspiration

Higher Things

by Joyce Meyer – posted March 24, 2015

If then you have been raised with Christ [to a new life, thus sharing His resurrection from the dead], aim at and seek the [rich, eternal treasures] that are above, where Christ is, seated at the right hand of God. And set your minds and keep them set on what is above (the higher things), not on the things that are on the earth.
– Colossians 3:1–2

A confident woman does not live in “if only” and “what if.” The world is filled with people who feel empty and unfulfilled because they have spent their lives bemoaning what they did not have, instead of using what they do have. Don’t live in the tyranny of “if only.” If only I had more education, more money, more opportunity or someone to help me. If only I had a better start in life; if only I had not been abused; if only I were taller. If only I weren’t so tall. If only, if only, if only. . .

Where the mind goes, the man follows. Pay more attention to your thoughts and choose to think on things that will help you instead of hinder you, and God’s power will be released to help you be the confident woman God wants you to be. Think confident and you will be confident!

Lord, make me aware of where I am hanging on to old thoughts of “if only” or “what if.” Help me to focus on what will propel me forward and release Your power in me rather than what will hinder me. Amen.

Comments are closed.