I predict a stock market decline for Wednesday, November 13th, 2013

The Fortune Teller Speaks:

I predict a stock market decline for Wednesday, November 13th, 2013, due to yesterday’s turn in direction, continued rumors regarding a Fed Taper, and investor fear regarding the declines in China (NYSEARCA:FXI).

Wall Street Beats & Jives:

Yesterday was a turn for the worse for US Stock Indexes, and the declines are likely to continue. All eyes are on the Fed and China right now, and both have yet to please investors, as the Fed is rumored to start the “taper” soon and China did not announce any landmark economic reforms. A report on the Federal Deficit is due out at 2 PM EST.

We have also already received earnings reports from Macys (NYSE:M) and Walmart (NYSE:WMT), and are expecting earnings from Cisco (NASDAQ:CSCO) and NetApp (NASDAQ:NTAP) later this afternoon. Macys (NYSE:M) has turned out positive earnings and Walmart (NYSE:WMT) has turned out negative earnings; the divergence is interesting due to the proximity of the holiday shopping season.

Hindsight is a Beach and We’re Playing On It:

Monday was a successful day for us, albeit barely, as the S&P 500 (NYSEARCA:SPY) rose .07%, the Dow Jones Industrial Average (NYSEARCA:DIA) rose .14%, and the NASDAQ 100 (NASDAQ:QQQ) rose .01%. Yesterday was a stock market decline and I expect those declines to continue today.

Are Markets Driven by Greed or Fear?

The bulls appear scared.

Technically Speaking:

Technically speaking, the S&P 500 (NYSEARCA:SPY) is STILL mere splinters away from a new all time high, but now has a negative RSI and the MACD, suggesting a whiff of bear in the air for now.

Gifts from the Silk Road:

The Silk Road is delivering negative trading today, with the Nikkei 225 (NYSEARCA:FXY) and the Hang Seng (NYSEARCA:HKG) both closing in the red. European markets are all trading in the red at the time of this writing.