Jim Cramer is now trying to sell a stock market pig.

“Seeking alpha” says “The S&P 500 is currently trading 3.73% above its 50-day moving average, while the average stock in the index is 5.34% above its 50-day. They say this is a positive breadth measure.”

That is absolute nonsense. Breadth is defined by the Advance-decline index and the present market has no breadth of support. In fact the S&P index average delta must equal the average delta for the average stock in the index if their math is done correctly. They should have used the median stock delta compared to the average delta if they are looking for the spread in the delta. But in that case the breadth of the advance is inversely related to the spread between the median and average change relative to the 50-day average.

Jim Cramer is out of his league and…
Jim Cramer shows he knows nothing! Nothing, by repeating the “Seeking alpha” error!


Market forces April 23
Both the MACD indicator and the Parabolic SAR turned negative this week. Our re-spiral indicator says be prepared to buy near the next low.

We expect the market will soon drop precipitously but we predict the new low will be hit and thus behind us by early August. We think the penetration below the last low will be small again.
The S&P will not likely fall below 600.
The DJI will not likely fall below 6300
The NASDAQ will not likely fall below 1100


Market Outlook

All long market profits should have been taken by last week. All the signs are saying the stock market will decline sharply and could make a slightly deeper new low. Right now Obama says the socialists have the right to pick and chose which companies will survive once any company comes to drink at the poisoned cash trough of the socialists. The real damage the socialists will do lies ahead. We believe next week the socialist will oust America's best bank executive, Bank of America President Ken Lewis, as another demonstration of the seriousness of leftist lunacy.

Asian shares were up last night with Shanghai (China) up 0.1%, India up 2.9%, Japan up 1.4% and Hong Kong up 2.3%.

European markets are currently mixed in the range of -0.2% to +1%, mid way through their day today.

US futures indicate the American markets will start the day flat. Apple is up and down because while profitable it has lost its creative entrepreneur. All the American equities markets remain extremely over bought. We expect the market to try to make its last stand today. As the markets decline further they will present select opportunities to astute investors seeking value by catching individual stocks that are down in higher value ranges. We expect the decline will be over by early August.