ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
Three months ago, I reviewed earnings guidance from Meritage Homes (MTH) for second quarter 2016. The guidance and subsequent positive market reaction came within weeks of a first quarter earnings report that was very poorly received (13% loss on the day). I called the guidance “too late” because of the sour taste left by the … Read more
(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. It helps to identify extremes in market sentiment that are likely to reverse. To learn more about it, see my T2108 Resource Page. You can follow real-time T2108 commentary on twitter using the #T2108 hashtag. T2108-related trades and other trades are … Read more
The last Housing Market Review covered data reported in June, 2016 for May. At the time, the iShares US Home Construction ETF (ITB) had just reversed all its post-Brexit losses along with a sharp rebound in global financial markets. I expressed concern that ITB finally reached a top for the current cycle. The ETF instead … Read more
(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. It helps to identify extremes in market sentiment that are likely to reverse. To learn more about it, see my T2108 Resource Page. You can follow real-time T2108 commentary on twitter using the #T2108 hashtag. T2108-related trades and other trades are … Read more
(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. It helps to identify extremes in market sentiment that are likely to reverse. To learn more about it, see my T2108 Resource Page. You can follow real-time T2108 commentary on twitter using the #T2108 hashtag. T2108-related trades and other trades are … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on January 30, 2016. Click here to read the entire piece.) Apple (AAPL) reported Q1 2016 earnings that disappointed the market. The negative reaction was consistent with the Apple earnings trading model. This time around, I took particular interest in Apple’s accounting … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on May 30, 2016. Click here to read the entire piece.) KB Home (KBH) last reported earnings on March 23, 2016 for its Q1 2016 results. Perhaps in anticipation of poor results, traders sold the stock ahead of the report and sent … Read more
(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. It helps to identify extremes in market sentiment that are likely to reverse. To learn more about it, see my T2108 Resource Page. You can follow real-time T2108 commentary on twitter using the #T2108 hashtag. T2108-related trades and other trades are … Read more
At the 9th Annual J.P. Morgan Homebuilding & Building Products Conference on May 17, 2016, Meritage Homes (MTH) released good news on guidance for the second quarter and fiscal year 2016 (link updated 8/23). MTH expects notable year-over-year gains for FY2016 across all its top metrics except home closing gross margins: Home orders: +4-6% Home … Read more
(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. It helps to identify extremes in market sentiment that are likely to reverse. To learn more about it, see my T2108 Resource Page. You can follow real-time T2108 commentary on twitter using the #T2108 hashtag. T2108-related trades and other trades are … Read more