ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
AT40 = 43.8% of stocks are trading above their respective 40-day moving averages (DMAs)AT200 = 47.4% of stocks are trading above their respective 200DMAsVIX = 16.4Short-term Trading Call: neutral Stock Market Commentary Over the weekend, I wrote about a “constructive stock market” as a reference to the stock market’s consistently positive responses to U.S. vs … Read more
AT40 = 63.4% of stocks are trading above their respective 40-day moving averages (DMAs)AT200 = 55.1% of stocks are trading above their respective 200DMAsVIX = 12.9Short-term Trading Call: neutral Stock Market Commentary The stock market is keeping the faith. The previous week ended with a U.S. GDP report for Q1 2019 that represented well the … Read more
AT40 = 58.9% of stocks are trading above their respective 40-day moving averages (DMAs)AT200 = 52.5% of stocks are trading above their respective 200DMAsVIX = 12.1Short-term Trading Call: bearish Stock Market Commentary The S&P 500 (SPY) ended the previous week looking ready to lunge for its all-time high. Surprisingly, buyers decided to take a rest, … Read more
When U.S. President Donald Trump threatened to close the U.S. border with Mexico last November, the U.S. dollar was in the process of making a major top against the Mexican peso (USD/MXN). When Trump threatened a border closure again on March 29th, oddly enough, a minor relief rally in USD/MXN came to an end. At … Read more
Major central banks typically cut interest rates in response to economic stresses; they ease when the data force them to do so. Some important exceptions in recent history happened 1) in 2016 when Mark Carney’s Bank of England cut rates as a cushion against the potential downsides of the pro-Brexit vote, and 2) when the … Read more