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 February 7, 2012. Click here to read the entire piece.) Lender Processing Services (LPS) has gained 31% year-to-date. This jump follows the activity of intrepid traders/investors who loaded up on LPS June $21 call options in December – these call options … Read more
According to “Building a Better America One Wealth Quintile at a Time” by Dan Ariely and Michael I. Norton, Americans are generally misinformed about the true distribution of wealth in America. Robert Reich’s “Aftershock: The Next Economy and America’s Future” represents an insightful and creative approach to educating the reader on income inequality and potential … Read more
In late October, I claimed that Goldman Sachs (GS) had finally found a bottom after two years of mostly declining prices. It has been all downhill for GS ever since. The chart below shows the signals I used to decide GS had finally printed a bottom. Note that on November 9, GS sliced cleanly and … Read more
I am a big fan of trading on insider buying (for example, see “The Market Is Ignoring These Insider Buys, But You Should Not“). So when I read that Jon Corzine had invested $3M of his own money in now bankrupt MF Global, shivers went up my spine. In “Why MF Global’s Collapse Matters“, Brett … Read more
This is an excerpt from an article I originally published on Seeking Alpha on October 30, 2011. Click here to read the entire piece.) {snip} Today, I am going to try again to make the case that LPS is potentially turning around. Here are the main points and observations: Short interest is down 34% from … Read more