ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
Stock Market Commentary The recent bearish divergence in the stock market resolved to the downside in a big way. Breakdowns rippled throughout the stock market even as numerous micro-bubbles soared in the opposite direction. A volatility surge clarified the new bearish turn in sentiment. In the “background”, the Federal Reserve rolled out its latest pronouncement … Read more
Stock Market Commentary The Presidential inauguration is a hallowed American tradition. The stock market celebrated the incoming Biden and Harris administration with new all-time highs on good trading volume. The start of a new American administration is as good a time as any to back down from my recent short-term bearish call. While this overbought … Read more
Stock Market Commentary A liquidity-driven bounce off support took a small breather last week. The major stock market indices ended the week with a small loss. On the way there, overbought trading conditions ended for a day. As the major indices languished, the stock market dipped in and out of overbought conditions on an intraday … Read more
Stock Market Commentary What a week to start the year’s trading. It started with a definitively bearish end to extended overbought conditions. Overbought conditions bullishly resumed in the middle of the week despite an insurrection in Washington D.C. The week ended with a confirmation of the freshly bullish sentiment in the market. The trading action … Read more
Stock Market Commentary The stock market quickly moved away from its close call with overbought conditions to pulling off a refresher for extended overbought conditions. The acquiescence of President Trump in signing a heavily negotiated, highly contentious pandemic relief bill seemed to provide the spark for the buying in the major indices. The Stock Market … Read more