ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
This year was supposed to be the year of retail. Last week’s sell-off not only took down a broad base of stocks, but also it plunged retail stocks in aggregate into under-performance against the S&P 500 (SPY). Moreover, home builders broke down in a very bearish way and thus put my “buy the dip” strategy … Read more
AT40 = 38.3% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 54.7% of stocks are trading above their respective 200DMAs VIX = 17.3 (28.5% increase!) Short-term Trading Call: bullish Commentary “We cannot tolerate pervasive and persistent misconduct at any bank and the consumers harmed by Wells Fargo expect that robust … Read more
As a data nerd, I have a large pet peeve about the many ways in which the press and media fail to help its audiences understand the nuances in data and analysis even as I understand the need for journalistic expediency and story-telling. However, that annoyance increases by several orders of magnitude when I see … Read more
The Canadian dollar (FXC) is at an interesting juncture. Strong economic data has strengthened the currency but the Bank of Canada (BoC) has applied brakes on currency’s rally. The Canadian dollar weakened in the wake of policy statements in October and December. The last word of 2017 went to the economic data as hot inflation … Read more
The last Housing Market Review covered data reported in November, 2017 for October, 2017. At the time, the iShares U.S. Home Construction ETF (ITB) traded at a 10+ year high with the angst of tax reform left far behind in the rear view mirror. The day after my post, Toll Brothers (TOL) reported earnings that … Read more