March often comes in like a Bull, after the February Dip, but tumbles back mid-month, before resuming its advance, which continues well into April.
St Patrick’s Day comes two days after the Ides, which occur this week. We, in Ireland remember this day well for the St Patick’s Day Massacre, which was the first red flag announcing the collapse of of the Celtic Tiger. Our Regulator put the massacre down to those evil hedge funds who were attacking our economy.
Will the Ides of March bring bad news this year?
We don’t think so. Last week we observed the Dow taking a dip as March opened. We surmised that the graph would bounce off Support Line C. If it continued upwards breaking through Resistance Line D, we would be confident that the upsurge would continue.
Dow Jones Industrial Average (1-year chart)
Well, as today’s one-year chart shows, the graph (Dow Jones Industrial Average) has bounced off Line C and is now heading full bent for Line D. We expect it to break through, reflecting a continuation of the upsurge in the markets.
A look now at some of our favourite shares:
Amarin (3-month chart)
All geared up for good news, it took a knock with the non-final rejection of its patent application at the end of February. We expect the decline to end soon, as it gears itself up for the FDA approval expected 23 July this year. Lots of wise men are watching this one.
Apple (1-year chart)
We had exited from this at Resistance Line A, expecting a downswing, but I tell you we are back in here now. No sign of an easing in its upward surge. All availabe iPhones 5 sold out on the first day, with 3 weeks delay for further orders! There is no stopping Apple.
Baidu (1-year chart)
Baidu has been up and down since this time last year. We really think it’s time now for it to surge ahead, whatever the news of the rest of the Chinese economy. Its surge since Christmas was slowed down by this February Dip and the graph is now constrained between converging lines. It has to break through Support Line B (bringing a down-trend) or ResistanceLine A (heralding a re-emergence of the up-trend). We guess it will be the latter.