ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
(This is an excerpt from an article I originally published on Seeking Alpha on August 27, 2015. Click here to read the entire piece.) Toll Brothers (TOL) had the misfortune of reporting its third quarter 2015 earnings in the middle of a severe market sell-off. {snip} Source: FreeStockCharts.com The selling in TOL plunged the stock … Read more
Century Communities, Inc. (CCS) reported third quarter earnings on the evening of November 5th at the tail-end of a particularly challenging time for the stock. Going into earnings, CCS was down 35% from its 52-week and all-time closing high set in early September. CCS is still up 7.5% for the year, but the recent earnings … Read more
The pre-earnings trade on Apple (AAPL) unfolded exactly opposite of expectations. The model pointed bearishly, but AAPL ended the day with a very impressive 4.2% pop that placed it right back where it closed on Friday’s impressive rally. Source: FreeStockCharts.com This particular pre-earnings trade turned out to have too many moving parts and caveats. I … Read more
It was fun while it lasted. The trades I described in coal in the wake of news of investments by George Soros seem to be coming to a decisive end. The recent bottoms have not yet given way but seems sure to do so in the coming days or weeks. Arch Coal (ACI) has swung … Read more
Last week, I updated the data on the Apple (AAPL) pre-earnings trade in a piece called “The Apple Pre-Earnings Trade: October, 2015 Edition – An Important Juncture.” I concluded that the main trade for AAPL going into earnings October 27, 2015 is to fade the 7-day average daily price change. Not including today (the 27th), … Read more