The Chart du Jour

Tired Markets

January 9, 2001

By, Barclay T. Leib


Chart produced courtesy of BigCharts.com/FONT SIZE>

If one looks at the breadth of the U.S. equity market the last month, the broader indices may have been going down, but the Advance-Decline line has been turning upward. We think that the equity market is getting tired in its downside spiral, and while a sharp reveral higher may not be immediately in the cards, the latest collapse is likely to subside rather than accelerate. Some Elliot analysts such as Bob Prechter's group are calling for a 3 of III down directly in front of us. We just don't see it. The financial sector still looks ripe for sale, but little else.

And maybe that makes sense since last year's dot.com fever on Wall Street will surely not be repeated this year, and on a comparitive basis, Wall Street fee revenue is destined to plummet. So too will Madison Avenue's income. Last year's Super Bowl sported 17 dot.com advertisers scrambling for air-time. This year's will sport just four. These are all knock-on effects of last year's bubble collapse that are simply taking time to filter through the system.


Chart produced courtesy of FutureSource.com/FONT SIZE>


Chart produced Using Advanced GET End-of-Day

So too do we think the recent run in U.S. dollar weakness and European currency strength is likely to pause. As today's Chart du Jour above we picture both the British pound and the European euro that recently have been ever so strong. Monday's price action brought an outside day down in the pound, however, and a "hang day" with a low close in the Euro where the price rhythm on a Fibonacci basis looks relatively complete for the moment. We think a pullback to moving average support near 1.46 is now likely in the pound. The euro should also retrace.

Writing commentary like this is not as fulfilling as predicting last year's equity free-fall, but as the saying goes: "Ye takes what ye can get," and for early 2000 at least, we see a congested range-trade building in multiple markets.

For immediate web-based access to our latest subscriber-only January 4th analysis, please support Sand Spring Advisors and purchase a quarterly subscription below. Our latest work will be accessible on the final page of the order process. A user-id and password for web access to all past and future articles will follow by e-mail.


How Your Articles Are Delivered
Upon the processing of your credit card or the receipt of a personal check, Sand Spring will e-mail you the articles requested as a Word attachment, and also provide you with a WWW address and password to view the article on the web without using Word should you so . Confirmation of your order will be immediate, and the actual article will follow by e-mail typically within a few hours and in all cases before the opening of NYSE trading on the following day.

Ordering by Credit Card:
Our shopping cart is designed for both physical and subscription products, so do not be confused too much when it asks you for a shipping address. A correct address is important only for credit card authorization purposes. Your e-mail information is the most important piece of information to us for proper delivery of your article(s).

Disclosure Statement

Sand Spring Advisors provides information and analysis from sources and using methods it believes reliable, but cannot accept responsibility for any trading losses that may be incurred as a result of our analysis. Individuals should consult with their broker and personal financial advisors before engaging in any trading activities, and should always trade at a position size level well within their financial condition. Principals of Sand Spring Advisors may carry positions in securities or futures discussed, but as a matter of policy will always so disclose this if it is the case, and will specifically not trade in any described security or futures for a period 5 business days prior to or subsequent to a commentary being released on a given security or futures.


information@Sandspring.com


Take me back to the Sand Spring Home Page


Comments or Problems


Thank you for visiting Sand Spring Advisors LLC, Inc. We hope to hear from you again soon. For more information on Sand Spring Advisors actual programs, services, or to request a copy of a Disclosure Document, please phone us at 973 829 1962, FAX your request to 973 829 1962, or e-mail us at
information@Sandspring.com

Corporate Office:
10 Jenks Road,
Morristown, NJ 07960
Phone: 973 829 1962
Facsimile: 973 829 1962

Best Experienced with
Microsoft Internet Explorer
Click here to start.

The material located on this website is also the copyrighted work of Sand Spring Advisors LLC. No party may copy, distribute or prepare derivative works based on this material in any manner without the expressed permission of Sand Spring Advisors LLC

This page and all contents are Copyright 2000 by Sand Spring Advisors, LLC, Morristown, NJ

If you order by credit card, your credit card will be billed as "Sand Spring Advisors LLC"

Should you have any ordering problems, please contact us at
973-829-1962 or by email at the address below: