Morning Update: January 28, 2014

Tuesday Jan 28, 2014

AAPL EARNINGS Were great –
Stock down $42

State of Union Pep Rally Tonight

Bernanke’s Swan Song Tomorrow.

1-(855)–RWT-0008

IMPORTANT AND FREE

Mercedes GAVE AWAY their patent on airbags because

they felt something things were more important than money.

Now that there is signs of weakness in the markets, we are giving away our BASICS text for free for the same reason.

Go to our website and download it from iTunes free.

This is equivalent to what many firms call their “intermediate” class that they charge thousands of dollars.

NOTE: Maui ’14 people and POT people will receive separate updates.

DOW Closed down 41 points at 15,583

AAPL closed up 4.32 at $550.50

Th stock is going to open 43 points lower after earnings. 

The VIX closed up 4.37 at 18.14

The TLT closed down 0.75 at 106.73

GLD = 120.96 down 1.33

SLV = 18.89 down 0.27

Closed down 4.98 at 169.62

Yesterday

A weird day yesterday. We should have had a bounce, and we got it. Then it fell to where the Dow was down 90. Then it came back and the Dow looked like it was going to close up 60. At the last minute the Do failed and closed down 41. This was not as strong as one would expect if the bull market were still in effect. 

Today

Durable goods can out way off from what the anal-cysts were expecting. The numbers were down 4.3 which is the largest drop since last July. The E-minis were up 7 and Dow futures were up 60. After the numbers the futures fell to unchanged (from up 7). This is not what one would expect if the market is still bullish.

In short, things are still looking as I suspected and have been barking for months. These numbers suck and it appears that the Fed will NEVER stop easing. Ending easing may not be what the Fed wants anyway. We can not afford our national debt if rates double, and the Fed becomes less important if not driving the economy.

IF…

If the markets rally after the Fed meeting and rate decision tomorrow, we run back near 16,300 – 16,500, we squeeze out the shorts, it will probably be near the end of the bull. Yet I am not discounting the bull possibly being over with already and I have just been more cautious about calling it over than others.

I will admit that I am a tad confused. This is a harder market to predict than last year, but I think that will all change starting tomorrow at 2pm eastern.

POT People

Expect an AAPL trade if the stock falls more than it looks like now.

Maui People

We have on a great position on AAPL since adjusting the risk reversal. I will be looking to adjust the other positions, though.

PLEA

Please tell someone you know that they do not have to be a victim in the government created stock market bubble. I don’t care where they learn to hedge from. Send them somewhere else if you like. Buy them our BASICS book for Christmas. Buy them someone else book But help a friend out. 

Back to the regular schedule.

POT is held each Wednesday night at 7:00pm eastern.

Contract the office at 1- 855 – RWT – 0008 for more details. 

Attorney Stuff

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