ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
AT40 = 62.5% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 52.7% of stocks are trading above their respective 200DMAs (a near 4-month high) VIX = 13.5 (down 12.8%) Short-term Trading Call: neutral Commentary A day like this past Friday makes me want to be bullish about the entire stock … Read more
AT40 = 64.0% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 52.5% of stocks are trading above their respective 200DMAs VIX = 13.2 Short-term Trading Call: neutral Commentary The churn continues on the S&P 500 (SPY) while AT40 (T2108) loiters around just under its overbought threshold of 70%. The lethargic … Read more
AT40 = 64.6% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 51.5% of stocks are trading above their respective 200DMAs VIX = 13.4 Short-term Trading Call: neutral Commentary Looks like there was a good reason to wait on flipping my short-term trading call back to (cautiously) bearish. After pointing out … Read more
AT40 = 60.3% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 48.7% of stocks are trading above their respective 200DMAs VIX = 13.4 Short-term Trading Call: neutral Commentary The “Apple Temptation” of the stock market seems to be working. For starters, after a 3 week run with a cautiously bearish … Read more
AT40 = 53.5% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 45.9% of stocks are trading above their respective 200DMAs VIX = 14.8 Short-term Trading Call: cautiously bearish Commentary I was right to be bearish last week…until the very last day when all at once the market reversed almost all … Read more
AT40 = 45.9% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 44.0% of stocks are trading above their respective 200DMAs VIX = 17.4 Short-term Trading Call: neutral Commentary The S&P 500 (SPY) gained 2.0% for the week. Yet the week felt like a loser given the way it ended. The … Read more
AT40 = 25.6% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 37.5% of stocks are trading above their respective 200DMAs (2-year closing low) VIX = 24.9 Short-term Trading Call: neutral Commentary On Friday, President Trump characterized the pre-Trump stock market as something “from another planet.” Surely he meant the last … Read more
This week, I blithely accumulated call options on Goldman Sachs (GS) ahead of and after the Federal Reserve’s latest declaration on monetary policy. I assumed that the Fed’s calming influence would remind market participants that the economy is fine and the prospects are good. Under that scenario financial stocks would do well as long-term interest … Read more
I heard commentary after the Fed’s proclamation on monetary policy on March 21st that the Fed is “one vote away” from 4 rate hikes this year. Yet, something strange happened along the way to over-speculation on the number of rate hikes in 2018: the traders putting their money on the line on the 30-Day Fed … Read more
AT40 = 42.9% of stocks are trading above their respective 40-day moving averages (DMAs) (traded as low as 37.6%) AT200 = 47.9% of stocks are trading above their respective 200DMAs VIX = 19.0 (traded as high as 21.9) Short-term Trading Call: neutral Commentary In my last Above the 40 post, I described how the stock … Read more