ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
Two weeks ago, I wrote “Sellers Step Out of the Way” to describe an impressive rally from oversold conditions on poor volume on May 27th. The S&P 500 closed up 3.3% that day, just short of the 200-day moving average (DMA). Today, the index finally hurdled over the 200DMA resistance for the first time in … Read more
I last wrote about the Australian dollar during its worst slide since the financial crisis. At the time, I claimed that the slide was probably good for a short-term bounce, but the currency could easily go even lower given macroeconomic concerns. Since then, the Australian dollar has firmed up nicely and formed a potential “W-bottom” … Read more
While the euro catches all the headlines about its tremendous slide against the U.S. dollar, the British pound has followed closely behind. The pound has lost 12% against the U.S. dollar since its January peak while the euro has lost 18% in that same time. The pound has lost 15% since its post-recovery peak in … Read more
(This is a guest post written by “Chenzo” of forexcharts.net) If any lesson was clear during the past few turbulent weeks of trading, it was that our markets are more closely entwined than ever. Perhaps this is a sign of our continuing globalization path, but the waves created by any financial event are traveling across … Read more
(This is a adapted repost from Inflation Watch) Bank of England (BoE) Monetary Policy Committee Member Adam Posen tells CNBC in an interview (see below or click here) that stubbornly high inflation is keeping the Bank of England members up at night. However, Posen prefers this situation to deflation (as all central bankers would). Slack … Read more