Monday, June 29, 2009

The Kirk Report

The Kirk Report


Sparklers

Posted: 29 Jun 2009 11:52 AM PDT

This posting includes an audio/video/photo media file: Download Now

ETFs Up +50% Since March 31st

Posted: 29 Jun 2009 07:09 AM PDT

At quarter-end it is always interesting to see what some basic performance scans show up. Case in point, the ETFs which are up more than +50% since the closing price on March 31st:

ETFs

The top performer has been the Emerging Markets Bull 3X (EDC) with a +102% gain over this time frame:

EDC

As we can see from its chart, we recently violated the ATR stop, got very oversold, and then bounced. But, we haven't take out those former highs and remain vulnerable for 1) another breakdown or 2) a lengthy sideways consolidation phase. If you look closely enough, you'll also see something I'm finding in quite a few charts of late - an ominous head-and-shoulders formation.

Either way, this one should be on your radar as it may serve as a good tell for the overall market.

Madoff & M&A Monday

Posted: 29 Jun 2009 05:52 AM PDT

Good morning. We're set for a higher open at the start of this four-day trading week. News and data flow are on the slow side again, but there are a few noteworthy items to review including a plethora of merger & acquisition announcements.

First off, we have M&A activity between consulting firms Towers Perrin Forster & Crosby and Watson Wyatt Worldwide, Enterprise and Teppco have announced a merger, Novartis is reportedly in talks to buy parts of Elan, Anglo American is in talks to sell a major investment stake to Aluminum Corp. of China, and Vodafone is considering a bid to buy T-Mobile UK.

In other news, five more banks were seized by regulators, General Electric's CEO Immelt says cyclical downturn is now behind us, Obama's aid Romer is upbeat on US economy, late Friday the House passed the Climate & Energy bill, and the Honduran President is ousted in coup.

Premarket gainers: DCGN, CYTR, EVTC, FTWR, EXP, SIRI, CFW, MNI, LEE, FULT, BPHX, MDRX, CAEI, TRW, FEED, KIRK, CSIQ, SPPI, SLM, FRE, FNSR, PCAR, DFS, JASO, CLR, SNY, ELN, & SNP.

Premarket losers: RAE, HTM, HMPR, BIIB, DPTR, UEC, LEA, FCH, ARL, TLM, CTIC, SIMG, OPEN, SYUT, ALY, CRME, KOL, CHBT, SYMX, FNLC, & ZEP.

While there will be plenty of economic data to consider later this week, for today there's nothing on the calendar. Instead, expect the focus of the day to be on this morning's M&A activity, Madoff's sentencing and preparing for Thursday's jobs report.

Let's make it a great week!

0 comments: