Here are seven (or so) links at 7AM Eastern.  We will see you later with the daily linkfest.  Good luck out there.

It’s pretty quiet out there, volatility-wise.  Maybe too quiet.  (Money Game)

By these measures the market uptrend is intact.  (Ivanhoff Capital)

Quote of the day

Eric Falkenstein, “ We are nicer, better, less short-sighted, when we have to compete.”  (Falkenblog)

Chart of the day

Recent Sentiment (and breadth) data has shown the most remarkable extremes that I can ever remember, in the 7 years or more of writing this blog! Let me count the ways:
The DJIA and S&P 500 hit all time record point gains for a January;  the NASDAQ reached an 11-year high last week. The 2011 high for the SPX was 1365 - it closed Friday at 1344.

My cumulative Advance/Decline indicator continues to make new all time highs; NAZ Volume to NYSE indicates speculation; the VIX is at a relative extreme low of 17.

We all have our own philosophies on how we deal with life or our process for making decisions including investment decisions. Part of my make up is to try to live in the moment or realize that life is about the journey more so than the destination. Another aspect to living in the moment is understanding the moment.

The weekend is a great time to catch up on some of the reading you skipped during the week.  We hope you enjoy this set of long-form links.

Finance

What is the ‘limit order effect‘ and how does it change our thinking about behavioral finance?  (The Psy-Fi Blog)

The big talk of the town was FB filing for its IPO. Despite the news of the IPO sellers hit the market late day pushing stocks from its highs. Over at the NASDAQ despite sellers on the NYSE the NASDAQ appeared to be somewhat immune. Volume soared on the NASDAQ as institutions pile back into technology stocks. It is clear the leading index of this rally is the NASDAQ and we view this as a positive sign. A solid day for the NASDAQ while it appears the NYSE related indexes continue to lag.

A reader asks;

The comment stream is asking you to elaborate as to that portion of your statement wherein you said owning 'dividend growers exclusively' is risky or not advisable...exactly what are the dangers of having an income stream as a primary goal instead of capital appreciation?

My answer;

A Handful Of Stocks Ready To Move Higher

New Stock Market Article At The Motley Fool

Over the last couple of weeks or so I've disclosed buying two new individual stocks for most of our large client accounts (in this context large means accounts where we believe using mostly individual stocks is suitable). A hopefully amusing thought occurred to me that actually relates to a potentially serious issue, certainly a frustrating issue.

Days like today (down 240 points on the DJIA) only further the idea that the sharks (HFTs, Institutional Traders, et.al) are driving the small fish out of the water -only to fight among themselves. In the matrix below we see that equity mutual fund outflows have steadily occurred since April 22 without exception, and money market inflows are again happening -after the scare about dangerous European securities being invested in.