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alstry (35.49)

EVERYBODY SELLING....but the market going up????

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September 10, 2009 – Comments (14)

As CNBC guests will be so quick to admit, the money on the sidelines is indeed not sitting still: it is fleeing! Even as the market has gone up by 4% over the past month, flows in domestic long-term equity mutual funds have become increasingly more negative. The total amount withdrawn is over $5 billion, and last week alone saw a -$3.2 billion outflow, according to Investment Company Institute.

Not sure if there is a glitch in FinViz' data, but the most recent data indicates a ratio of 95x of insider selling $35 million to insiders buy of a whopping $367,720. If anyone has more definitive data, please advise, however a ratio of nearly 100x sellers to buyers is pretty conclusive of who is selling to the robots, as the bids are gunned ever higher.

http://www.zerohedge.com/

Hmmmm.  Insider selling nearly 100 to 1 and billions flowing out of equity funds but the market goes up at in the last half hour of trading like clockwork each day?????

Ahhh...what is this????  Could it be 9.09??????????????????????????

Sept. 10 (Bloomberg) -- The U.S. Securities and Exchange Commission is “rigorously” investigating whether traders are using technology to manipulate markets, the agency’s enforcement and inspections chiefs said today.

The regulator is probing suspected “market manipulation based on complex use of technology and advanced trading systems,” said SEC Enforcement Director Robert Khuzami and acting examinations director John Walsh in testimony prepared for a Senate Banking Committee hearing. They said the inquiry is among a list of active cases, also including unspecified Ponzi schemes, hedge-fund abuses and insider trading.

14 Comments – Post Your Own

#1) On September 10, 2009 at 7:43 PM, alstry (35.49) wrote:

THE FALLOUT FROM MOAP WILL BE MASSIVE!!!!

Harvard University's endowment lost 27.3 percent of its value in its most recent fiscal year, or nearly $11 billion, as tumultuous markets ate away at one of the school's main sources of funding and forced a number of cutbacks.

In a report issued today, Harvard Management said the school's endowment was down to $26 billion at June 30, compared to $37 billion the year earlier. As Harvard relies on the endowment for one-third of its annual budget, the losses forced it to slash expenses and lay off 275 people in June.

http://www.boston.com/business/ticker/2009/09/harvard_endowme_4.html

And just think....we are still at the beginning of 9.09.

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#2) On September 10, 2009 at 7:46 PM, awallejr (80.08) wrote:

Yeah you are right, your prediction of the DOW hitting 5,000-2,000 by end of summer being blown away has to be the result of market manipulation and not the result of you simply not knowing what you are talking about.

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#3) On September 10, 2009 at 7:50 PM, alstry (35.49) wrote:

Patience my little friend...the insiders know....and you will soon.

NEW YORK (Fortune) -- Can hundreds of stock-selling insiders be wrong?

The stock market has mounted an historic rally since it hit a low in March. The S&P 500 is up 55%, as U.S. job losses have slowed and credit markets have stabilized.

But against that improving backdrop, one indicator has turned distinctly bearish: Corporate officers and directors have been selling shares at a pace last seen just before the onset of the subprime malaise two years ago.

While a wave of insider selling doesn't necessarily foretell a stock market downturn, it suggests that those with the first read on business trends don't believe current stock prices are justified by economic fundamentals.

"It's not a very complicated story," said Charles Biderman, who runs market research firm Trim Tabs. "Insiders know better than you and me. If prices are too high, they sell."

Biderman, who says there were $31 worth of insider stock sales in August for every $1 of insider buys, isn't the only one who has taken note. Ben Silverman, director of research at the InsiderScore.com web site that tracks trading action, said insiders are selling at their most aggressive clip since the summer of 2007.

Silverman said the "orgy of selling" is noteworthy because corporate insiders were aggressive buyers of the market's spring dip. The S&P 500 dropped as low as 666 in early March before the recent rally took it back above 1,000.

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#4) On September 10, 2009 at 8:12 PM, jason2713 (< 20) wrote:

Hmmmm.  Insider selling nearly 100 to 1 and billions flowing out of equity funds but the market goes up at in the last half hour of trading like clockwork each day?????

I noticed this long ago as I have a real time ticker on the stocks I'm either invested in or watching (which is about 200).

Everytime the market would go down in the red, some how magically it goes back up.

As noted in my blog here

 

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#5) On September 10, 2009 at 8:24 PM, awallejr (80.08) wrote:

Except that if you really knew anything about stock investing (afterall this is a website for it) you would know that insider buying is the bigger directional indicator of stocks than insider selling.  And there are reasons for this.

Insiders buy for basically one reason, namely they expect their stock to increase.  Insider selling can be the result of many things, not all related to the expectation of their stock's ultimate direction (profit taking, needing cash for  purchases, bills needing to paid like a kid's tuition, etc.).

If you really want to play off insider activitiy, screen for the buying.  And here's an interesting point.  You acknowledge aggressive buying at the March lows, and look what happened, a massive stock rally.  And what were you telling people back then?  Market will crash to 5,000-2,000 by end of summer.

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#6) On September 10, 2009 at 8:29 PM, Djohans (< 20) wrote:

I am very new to US stock market.

I see a lot of negative figures still coming out even with at a lower pace compared to previous months.  Uemployment rate is still going oup even though jobs claim is slowing down. Foreclosure still high even though it has slowed down but some analysts think that it will only reach its peak in 2010. If this is the case, consumer spending is not going to be great since people will tend to look after their stomach instead of spending unnecessary things.

 

The question is whether it is really time to get into stock market now, even with all these negative figures still coming up, but stock market keeps going up on the other hand? It's really confusing.

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#7) On September 10, 2009 at 8:40 PM, alstry (35.49) wrote:

If I were you I would be worried too my little friend.

The FDIC is out of money.

The Pension Guaranty Fund is out of money.

Our government is running a $2 Trillion dollar deficit against evaporating tax receipts.

Hospitals are now starting to layoff massive amounts of workers across the nation.

Poverty is exploding.  Wealth is imploding.  Cities, Counties, and States are cutting staff and shutting down.

And a hyper leveraged consumer based economy with very little exports is now seeing credit cut off from the highly bonused bailed out bankers and capital is flying out of the country....

Never in the history of our nation have we seen real estate prices crash this far this fast across the nation.

If you are not worried yet.....I can assure you will be very soon..... very soon.

The Zombulator has unleashed the September slasher.....please help those around you as millions are now getting prepared...

WASHINGTON (AFP) – The United States wants to enlist its 3.4 million Girl Scouts in the effort to combat hurricanes, pandemics, terror attacks and other disasters.

The Department of Homeland Security (DHS) launched a campaign Tuesday to entice the blue, brown and green-clad multitudes to be even more prepared, with the promise of a new patch if they pitch in.

 

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#8) On September 10, 2009 at 9:09 PM, alstry (35.49) wrote:

9.09 IS COMING.......AS 2009 IS MUCH WORSE THAN 2008 AS JOBS ARE CUT AND WAGES SLASHED!!!!!!!

WASHINGTON — Household income fell sharply and poverty rates rose in 2008 as the severe effects of the recession took their toll on Americans' finances, the Census Bureau reported Thursday.

Median household income dropped 3.6% to $50,303 in 2008, the bureau reported. That was the sharpest drop since at least 1967 and sent income to its lowest point since 1997.

http://www.usatoday.com/money/economy/2009-09-10-census-healthcare_N.htm

YOU THINK PROPERTY TAXES, MORTGAGE PAYMENTS, HEALTH INSURANCE, FOOD AND FUEL PRICES HAVE INCREASED  SINCE 1997????

And we are a leveraged based consumption based economy with credit being cut off and interest to consumers rising.

Income drives Social Security/Medicare receipts.....income is evaporating as demands and Social Security and Medicare is skyrocketing.In all prior recessions, this relationship was the opposite and now it is getting a lot worse....A LOT WORSE as The September Slasher is destroying lives and families across the nation.

Please lend a helping hand to those that need it....millions upon millions will need it as tens of millions are barely scraping by these days....but Americans are proud and few will display it publicly.

We are seeing unprecedented slashing against an unprecedented rising dependency on a government with a MASSIVE deficit and evaporating revenues.....a very volitile situation that few are prepared for.....VERY VOLITILE!!!!!

It will be something MUCH WORSE than The Great Depression and something that will shock and awe all of us.

If you are not worried....you should be.....I guarantee you your politicians are preparing for something....the question is what?????

It is truly amazing to observe the complacency of a population about to face something so serious........at first I thought it was indifference.....now I understand why....and soon you will too.....leaving the matrix is simply too painful to prepare for....you are better off not knowing or avoiding until it actually happens.

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#9) On September 10, 2009 at 9:23 PM, alstry (35.49) wrote:

WHY IS CHARLIE SHEEN SO CONCERNED????

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#10) On September 10, 2009 at 9:53 PM, alstry (35.49) wrote:

WHY IS BUFFETT WORRIED???

Buffett said in a New York Times commentary last month that the “monetary medicine” pumped into the financial system poses threats to the U.S. economy and its currency.

“Unchecked greenback emissions will certainly cause the purchasing power of currency to melt,” Buffett said. “The dollar’s destiny lies with Congress.”

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#11) On September 10, 2009 at 10:00 PM, JerseyShoreGirl (< 20) wrote:

Everyone should be aware of this threat as well .. (sorry, don't know how to embed) ... and we're not fighting a war on terror?

http://www.youtube.com/watch?v=QLnATSxMYIE&feature=related

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#12) On September 10, 2009 at 10:47 PM, MikeBobulinski (< 20) wrote:

I'm still waiting to see if Alstry's 555 by the end of 909 comes to pass.  The MOAPs are still about a half a month away from either fruition or being debunked.

Of course there is still the possibility that we could have a draft for some major world conflict...time will tell, heh Alstry? 

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#13) On September 11, 2009 at 1:53 AM, AdirondackFund (< 20) wrote:

Asia's not much help.  A downward revision in Japan's 2Q '09 GDP just threw a monkey wrench into Japan's 'growth' projections.  China's export trade for this past August was down 23% over last year, it's Trade Surplus for August also shrunk 45%....but slightly better than last month, so the Hang Seng was up 0.8% so far on the good news.

http://finance.yahoo.com/news/Chinas-exports-trade-surplus-apf-1275024329.html?x=0&sec=topStories&pos=2&asset=&ccode=

Meanwhile, they keep building 'stuff' with 'stimulus' money, for which there are no buyers.  If this sounds like spec building in Real Estate, give a holler.  

http://finance.yahoo.com/news/Chinas-August-industrial-apf-2188103011.html?x=0&sec=topStories&pos=1&asset=&ccode=

What happens when a Capitalist Bubble bursts in Communist China?  Do we even know yet?  The Bailout Bubble doesn't just exist in the U.S., it also exists in China as well.  Now, how will China pay for this expense if it's Trade Surplus continues to shrink, or worse yet, simply flattens out from here?  Doesn't their own Bailout Bubble have to be paid for, or does that rule apply only to U.S.?   More dominoes falling here.     

 

 

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#14) On September 11, 2009 at 2:12 AM, prose976 (< 20) wrote:

IMO China is playing a BIG game of poker.  I don't know if the Chinese are good bluffers, but I believe the rest of the world is catching on that their hand may not be quite as good as it would appear by the size of their bets and raises.

I'm investing in good the U.S.A.  I still believe in us.  Keeping my money at home, with companies right here.  Many of them are multinational in one form or another.  But I'm heading for 50%+ gains for the next year (from September 1 2009 - September 1, 2010.

You can follow my actual transactions and portfolio right here:

http://caps.fool.com/Blogs/ViewPost.aspx?bpid=252328&t=01001882548745899321

Rec my blog if you would be kind enough.  This is my real life contribution to the Fools here; real transactions with real money, all laid out for everyone to see.

At the end of the year-long journey, I'll reveal every last tidbit of my "special investing sauce" so that all Fools can take advantage of it once they've see how it works.  But I've got to prove it works first and that is why I'm not yet divulging my methods entirely.

Fool on!

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