Quote of the day

Floyd Norris, “More than almost any other dispute in economics, gold often seems to be a matter of theology. “  (NYTimes)

Chart of the day

This morning’s better than expected Jobs Report sent US Equity Indexes into or above key target areas that – if the momentum continues as it appears currently – will break price into New Recovery High territory which you’ll want to monitor closely.

Let’s take a look at the S&P 500, Dow Jones, and NASDAQ to compare current structure and what may occur on a breakthrough beyond these prior high resistance levels.

First, the S&P 500 Daily Chart:

Quote of the day

David Swensen, “A fiduciary would offer low-volatility funds and encourage investors to stay the course,” he said. “But the for-profit mutual fund industry benefits by offering high-volatility funds.”  (Justin Fox)

Chart of the day

I’ve written a few times about how looking at dividend yield could be misleading. One part of the reason is that some companies end up paying more than they can afford to. FTR is one obvious example and I will discuss it a bit later but there are many more.

Those of us familiar with trading know that there are two main schools of thought, fundamental analysis and technical analysis. Fundamental analysis relies on looking at the facts behind an asset’s performance. These factors include any data or information that is publicly available regarding the asset. For a company’s share of stock this might include the company’s earnings per share projection or its quarterly profit/loss results. On the other hand, there is technical analysis. This information typically is made up of information that can be determined by a charting package.