ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
I have periodically made the case for investing in Invitation Homes (INVH) since its debut in the public markets in February, 2017. The stock was slow-going for two years and even dropped to an all-time low in last year’s stock market sell-off. INVH finally broke out this year. I perked up while watching Nightly Business … Read more
Valuation Gap Lowe’s Companies (LOW) gets a bad rap relative to Home Depot (HD) for being the weaker operator for the home improvement and do-it-yourself (DIY) crowd. Investors are willing to pay a trailing 36 P/E, forward 17 P/E, 1.2 price/sales, and 33.5 price/book for LOW. Investors are willing to pay a trailing 23 P/E, … Read more
AT40 = 62.1% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 55.2% of stocks are trading above their respective 200DMAs (finished reversing all of August’s decline)VIX = 15.2Short-term Trading Call: neutral Stock Market Commentary Role reversal While the S&P 500 (SPY) and the NASDAQ (COMPQX) continue to fail at confirming … Read more
AT40 = 49.7% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 48.1% of stocks are trading above their respective 200DMAsVIX = 15.0Short-term Trading Call: neutral Stock Market Commentary One Obvious Pattern to Another The S&P 500 (SPY) and the NASDAQ (COMPQX) transitioned from an obvious trading range to an obvious … Read more
Housing Market Intro/Summary In the last Housing Market Review, I discussed my slow and reluctant acceptance of a stock market that was effectively front-running the seasonally strong period for the stocks of home builders (starting in October/November). I also showed the near consistent dichotomy between builders excelling at selling lower-priced homes to buyers trying to … Read more