Twitter Ticker ($AIG)

• Charles Amadeus
• September 15th, 2009

American International Group is back on StockTwits as it rises +9% to close at 41.10. After a sharp shakeout, $AIG has the potential to move higher as the broad market continues to show strength.

Though it’s below a falling upper Bollinger, $AIG is in a primary and secondary uptrend. The odds favor more upside so long as the stock holds above 32.90, so prepare for a run back to the 50′s.

Not much else to say as the averages digest their gains nicely, so here is something to chew on from Joseph Fahmy (@jfahmy), one of my favorite traders on StockTwits:

… after the Long-Term Capital Management/Russian
financial crisis, the Federal Reserve organized a “bailout” and lowered
interest rates to prevent a wider financial collapse. They ended up keeping
rates low through 1999 to avoid a potential “Y2K” panic.

Fast-forward to today and one can see the similarities. We had a MAJOR
financial crisis last year; the Fed organized several bailouts and lowered
interest rates. In addition, the rate cuts have been coordinated globally
AND liquidity is constantly being pumped into the system. I’m not saying
we’re going to have a crazy “liquidity-driven” rally similar to 1999, but I
don’t believe in “fighting the tape” either. (emphasis mine)