Market Overview

What The USA Needs is More Jobs


First, I don't have a buy or sell stock pick this week as I don't see any low-risk high-reward trades currently. Instead I have a short article from Bob Prechter below which is the most important factor in getting the USA growing again. I think the market is having a dead cat bounce here and will turn lower at higher resistance price levels. Then again it could just tank again and continue downward at anytime. If it does, I recommend selling into the downside breakout. The worst is far from over. The stock charts all look terrible, but there's always some bottom pickers willing to buy and bid them up. The volatility is a traders market so be careful.

What The USA Needs is More Jobs -- Steve Jobs

By Bob Prechter of Elliott Wave International

Steve Jobs was special, and his legacy will endure for generations. Many people have written about Jobs since he died on October 5. As usual, EWI was ahead of the curve. Bob Prechter wrote briefly about Jobs in his Sept. 16 Elliott Wave Theorist, lauding Jobs' accomplishments as he stepped down as Apple's CEO in August 2011 but also noting how leaders' legacies are shaped by the waves of social mood of their times:

The President wants to create jobs. He plans to do it by spending another half trillion dollars. The thinking here is fallacious. You can't create jobs with government money, because it's all extorted from people who work, thus destroying jobs. The way to have more jobs is to remove the impediments to their creation.

I am surprised by the number of analysts who are telling clients to hold their shares of Apple Corp., because, according to one TV guest, "Steve Jobs is in the company's DNA," so it will continue to be as brilliant without him as it was with him. Objectively speaking, this is unlikely to be true. Apple's future is not likely to be as good as its past. But Steve Jobs' legacy might be forever rosy. A reader sent this socionomic assessment: "Steve Jobs' health issues are horribly unfortunate. But he is bowing out at the peak. No doubt this is one reason he will be remembered as one of the best CEOs of all time. If he stayed in his position during the bear market, the historical record might be less positive. Sad as the reason may be, the timing of his exit [from Apple in August] will be good for his legacy."

If you want more jobs, encourage more Jobs. Too bad the government hasn't a clue about how to make more people like him.

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The preceding article is from one of our external contributors. It does not represent the opinion of Benzinga and has not been edited.

Posted-In: jobs Recession topics UnemploymentTopics General


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