Klein Market Summary-April 22nd, 2013

Klein Market Summary

April 22nd, 2013


Current Market Facts:

Technical Status

 Correction Beginning Week 2

Other Observations

Institutional selling topped the market last week

Biotechs and some other leading stocks remain resilient


Feel of the Market

Most leading stocks are now correcting

 Important Levels on Key Indices:



Last Close






Nasdaq 100




S&P 500








Market Interpretation:

Despite the prior week’s apparent support, the major indices hit resistance as the S&P 500 challenged its all time high.  The NASDAQ indices lagged in the recent rally and remain far from their 2000 highs.

With the market in correction, it is again a time for patience.  The recent rally was quite interesting because in most environments, weak economic fundamentals and a soft outlook would probably have not led to such a powerful rally.  Yet, most other asset classes remain less desirable than stocks.

Joel’s Take:

Biotechs and a few isolated leaders continue to be worth watching.  Yet, with the market trending lower, most stocks will follow.  Reducing exposure is the best way to preserve funds in difficult markets.

When the market signal changes rapidly, from rally to correction, then back, it becomes very difficult to profit because leading stocks usually take weeks to rise substantially.  Even if the market trend turned back up, it might be very difficult to profit from leading stocks.

  • The Klein Market Summary is a professional interpretation of the general stock market conditions that is updated on a weekly basis.  Joel T. Klein is the portfolio manager of the investment partnership Blue Diamond Capital, LP. He writes the summary using select technical and fundamental data.  The Klein Market Summary is not intended to provide investment advice of any kind, and is only provided for the entertainment of the reader.  It is typically updated Monday morning, weekly.  Please e-mail info@kleinasset.com, if you are interested in receiving this free weekly update.
  • Past performance is not a guarantee of future results.  Due to market volatility, a fund’s performance may fluctuate.  Current performance may be less than previous results.  An investment a hedge fund when redeemed, may be worth more or less than the original cost.  Information above is not a replacement for the Fund’s prospectus.  This webpage does not constitute any kind of offer or solicitation.  Additional information on investment objectives and policies is in the Fund’s prospectus.  Ask your representative for a prospectus.

About kleinmarketforum

Klein Asset Management, LLC, formed in 2003, serves individual investors via a directional growth stock approach. When the market is in an uptrend, the firm seeks to exploit investment opportunities. When the trend is down or neutral, assets are protected. Klein Asset Management undertakes major market research projects. In many cases, these result in improved investment methods, which ultimately improve performance.

2 responses to “Klein Market Summary-April 22nd, 2013”

  1. Bill W says :

    Good stuff . . . Thanks for sharing your thoughts.

    Bill W.

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