ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
AT40 = 46.5% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 61.8% of stocks are trading above their respective 200DMAs VIX = 11.3 (volatility index) Short-term Trading Call: neutral Commentary In my last Above the 40, I pointed out a surprising and mild bullish divergence. Like so much else in … Read more
In recent weeks, I laid out the case for a bottoming in cocoa prices and a related bottoming in the iPath Bloomberg Cocoa SubTR ETN (NIB). Specifically see “Trading Cocoa: A Declining Price Takes Its Toll But Brings Opportunity” and “A Cut In Ghana’s Cocoa Forecast May Signal A Bottom For Prices.” NIB finally printed … Read more
Now I understand better why and how the British pound (FXB) soared so much in the wake of the latest announcement on monetary policy from the Bank of England (BoE). Source: FreeStockCharts.com Going into last week’s monetary events, speculators increased their net short contract position to levels not seen since at least 2008. Source: Oanda’s … Read more
AT40 = 50.3% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 63.3% of stocks are trading above their respective 200DMAs VIX = 11.3 (volatility index) Short-term Trading Call: neutral Commentary After the U.S. Federal Reserve hiked interest rates, the market’s expectations on future rate hikes relaxed a bit. That relaxation … Read more
AT40 = 47.9% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 62.5% of stocks are trading above their respective 200DMAs VIX = 11.6 (volatility index) Short-term Trading Call: neutral Commentary The U.S. Federal Reserve hiked its interest rate as expected by 0.25%. The accompanying statement was remarkable only for being … Read more