Dow 23K? Big Deal; That Doesn't Help the Market Inaction
Another day, another all-time high. The pattern of low-volatility, late-day ramps and pervasive ennui continues. To make thing even more annoying, we also have to hear the folks in the business media act excited about the DJIA hitting the 23,000 level. It has no real significance but it makes for an easy story when you have no real insight.
The real story of this market is how much frustration this pattern of action is creating. The bears are suffering extreme distress for obvious reasons, but the bulls have plenty of issues as well. For many money managers, the biggest problem is that they can't keep up with the market. They simply aren't bullish enough. As I discussed in my prior post, there isn't a single market timer who has gotten this market right. There isn't anyone that has been sufficiently bullish.
To make matters worse, we are setting records for diminished volatility. There is this very slow and steady uptrend, but the trading intraday is so narrow that it is putting many traders to sleep. In some ways, it feels like we are waiting for a market bottom to form rather than riding an uptrend into the sky.
The arguments about why this action can't continue much longer are loud, compelling and dead wrong. The only thing we can know for sure is that we can't time a turn in this market. Just stay focused on price action and some individual picks and try not to get caught up in the frustration over lack of volatility and an endless uptrend.
Have a good evening. I'll see you tomorrow.
Join Jim Cramer, CNBC's Jon Najarian and Other Experts Oct. 28 in New York
Jim Cramer will host CNBC's Jon Najarian, TD Ameritrade's JJ Kinahan, famed analytics expert Marc Chaikin and other market mavens on Oct. 28 in New York City to share successful strategies for active investors.
You can join them as they discuss how smart investors can make the most of options trading, futures contracts, fundamental and quantitative analysis and great ETFs to buy right now. Participants will also get a chance to meet Jim and other panelists and take photos.
When: Saturday, Oct. 28, 8 a.m.-3 p.m. ET
Where: The Harvard Club of New York, 35 W. 44th St., New York, N.Y.
Cost: $250 per person.
Click here for the full conference agenda or to reserve your seat now.