Saturday, February 6, 2016

Zuckerberg Shrugged. What's On Tap For Next Week?

Consumer staples, tobacco, brewers, telecom are the only sectors higher than they were one year ago, but they were all lower on the week except Telecom...money is crowding into a handful of defensive stocks that are stalling at 52 week highs. Beaten down cyclicals outperformed on short-covering (Materials +5%), which is ending...

The Zuckerberg Omen correctly signaled Tech obliteration. Now the second Hindenburg Omen was triggered yesterday. 

Everything is ready to go down at the same time...






Gamblers fled to Municipal Bonds this week as Municipal Bond Funds dominated the NYSE New Highs list for the week. With a smattering of Telecom stocks. 

I'm sure there will be no defaults, such as Puerto Rico indicated yesterday:






Consumer staples / S&P ratio:



Utilities / S&P: Utilities are playing catch-up...



AT&T / S&P:



Brewers:




The Zuckerberg Omen
When only two stocks are holding up the entire Nasdaq - one of which is Facebook - then momentum gamblers get monkey hammered:
% of Nasdaq above 200 dma:



The Hindenburg Omen Visualized
When each bounce is weaker than the last and includes fewer stocks, then shit breaks:
52 week range of average S&P stock