The Keystone Speculator

The market bulls are partying like its 1999. More joyous chatter on the tax-cut bill in Congress pumping systems the S&P 500 to a new all-time high at 2672.33 the highest quantity imprinted in history. Bears are slapped in the real face with the central bankers and then when they have a rest, the happy tax-cut bill talk sends prices higher.

The 2-hour chart is not looking for further upside, however, and is more in melody with the previous CPCE put/call ratio chart looking for drawback. Perhaps the goverment tax bill is a sell-the-news event? Price makes the new all-time high but the chart indicators are universally negatively diverged (red lines) attempting to visit a spankdown.

If more happy tax bill talk occurs today, top of the band at 2675 must be well known but even if that prints, the indicators will probably remain neggie d. Note how price did retreat to the middle band on the prior selloff but the bulls rammed it higher again on the dovish central banker talk this week and the tax bill euphoria.

  • Which employees are protected
  • A solid balance sheet
  • How to purchase your first index finance
  • Land is Very Inexpensive to Own as a Long-Term Investment
  • To choke the funding of terrorist activities
  • The AMC assures a good performance

ECB’s Draghi flaps his dovish wings yesterday paring back again on stimulus but stating the QE program may run long after September 2018; the central bankers cannot help themselves. The central bankers will be the market. The expectation is perfect for a draw back again so that it will be interesting to see how it performs out today.

This information is for educational and entertainment purposes only. Usually do not invest based on anything you read or view here. Consult your financial advisor before making any investment decision. Note Added Saturday, 12/16/17: The wild upside stock market orgy continues after Senators Rubio and Corker (who originally voted no) said they’ll vote yes on the goverment tax bill.

The new taxes legislation is a done deal and will be signed in a few days so shares catapult higher. Markets remains very news-driven. When graphs are strike with a news event it might take a little bit of time for you to price it in. Let’s observe how the chart looks after the upside push. The SPX pierces that upper band at 2678 printing a HOD on Friday at 2679. 63 the best number imprinted in history.

Since the upper music group is violated, the center music group at 2664, and rising, is up for grabs. The neggie d shown above remains in place. The stochastics push higher but they are overbot now. The MACD line is wanting to squeeze out a smidgeon of life but overal, a roll to the downside would be likely.

The higher the interest, the greater each percentage matters. In other words, there’s a bigger difference between 14% and 15% than there is between 2% and 3%. So those crazy-high rates of interest could mean that you’re actually paying more in interest than you are in principle. Articles was written by me about the “pay off your home loan or make investments the money? ” debate and I proposed a compromise between the two actually, however the debate is real. Many people think it’s not well worth your time to pay off your home loan early since you can get a much better return by investing the amount of money.

In other words, you can generate more by investing than you would save by paying off your home loan early. This depends upon both interest rates Obviously. Where is the comparative collection between paying off debt and investing the money? It’s a blurry collection definitely. There’s no magic number, however when you can regularly earn more by investing than you save by paying off your debt, it’s at least worth taking into consideration.

Just be sure you account for any taxes you may have to pay on capital gains if your investing in a taxable accounts. And here’s an over-all rule: as it pertains to high-interest personal debt, pay it off before you start investing greatly for pension. Feel free to have your emergency fund set up and contribute enough to your employer’s retirement fund to get the match (if they provide a match), but other than that, the debt first comes. It simply doesn’t seem sensible to be earning 7% or 8%, while your paying 20% on your credit card’s revolving debt. Your debt must go. Remember the power of substance interest and make sure it’s working for you, not against you. Perhaps you have had more good or bad experience with substance interest? Share in the remarks!