6/01/2006

Relentless Fed

The Fed has been relentless in raising interest rates. There are several models which use interest rates to predict future market direction. One popular one was "three steps and stumble" which now no one talks about.
At what interest rate level does market become vulnerable. According to Ned Davis research when discount rates rise to 6% or higher it is a sell signal. So by that model we have more time before we tumble.

The market is basing and stabilizing here. Even if this market is set for fall as most are predicting now, it will do so after the bulls gore some more bears.




Stocks with all time high volume

ADCT,ADC Telecommunications Inc
CRME,Cardiome Pharma Corp
FTI,Fmc Technologies
KLD,iShares KLD Select Social Index Fund ETF
LORL,Loral Space & Communications Inc
MIR,Mirant Corp
NRG,Nrg Energy Inc
RAME,Ram Energy Resources Inc
WSTC,West Corp

Stocks down 50% or more in a month

DHB,Dhb Industries Inc
DOVP,Dov Pharmaceutical Inc
EGI,Entree Gold Inc
ERS,Empire Resources
ESCL,Escala Group Inc
FLYIQ,FLYI Inc
INTN,Intac International
IOTN,Ionatron Inc
NBIX,Neurocrine Biosciences
NTMD,Nitromed Inc
THLD,Threshold Pharmaceuticals

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