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 October 11, 2016. Click here to read the entire piece.) The panic in the British pound (FXB) became unmistakable last week as the currency experienced a flash crash. {snip} The presumed driver of the rush to sell soon after the close … Read more
(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. It helps to identify extremes in market sentiment that are likely to reverse. To learn more about it, see my T2108 Resource Page. You can follow real-time T2108 commentary on twitter using the #T2108 hashtag. T2108-related trades and other trades are … Read more
The creep toward a December rate hike continues. The 30-Day Fed Fund Futures now show a 69.5% chance of a rate hike in December by the U.S. Federal Reserve. This is a full 11.1 percentage points above the odds in the wake of the Fed’s September 21st pronouncement on monetary policy. Source: CME FedWatch The … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on October 8, 2016. Click here to read the entire piece.) On October 5th, I noted how SPDR Gold Shares (GLD) and iShares Silver Trust (SLV) both completed post-Brexit roundtrips as rumors of a eurozone tapering of QE triggered a fresh wave … Read more
Gold and silver may have finally topped out. The first technical clues came after SPDR Gold Shares (GLD) reversed all its incremental gains form the post-Brexit trade. I used that event and other indicators to posit a top for gold in late July. GLD promptly bounced from that support level. A month later I reiterated … Read more
(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. It helps to identify extremes in market sentiment that are likely to reverse. To learn more about it, see my T2108 Resource Page. You can follow real-time T2108 commentary on twitter using the #T2108 hashtag. T2108-related trades and other trades are … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on September 25, 2016. Click here to read the entire piece.) Source: UK Government Nothing shows better the edginess of traders than a quick trigger reaction to rumored news. On Friday, September 16 rumors ripped through the news headlines that the UK’s … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on August 28, 2016. Click here to read the entire piece.) Going into the Jackson Hole Economic Policy Symposium, various “Fed heads” were interviewed about the prospects for the next rate hike. The chorus in the days and weeks before Jackson Hole … Read more
(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. It helps to identify extremes in market sentiment that are likely to reverse. To learn more about it, see my T2108 Resource Page. You can follow real-time T2108 commentary on twitter using the #T2108 hashtag. T2108-related trades and other trades are … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on September 25, 2016. Click here to read the entire piece.) The latest data on speculator forex positioning showed a sudden and abrupt change in sentiment on the Australian dollar (FXA). {snip} If this sharp drop in net longs turns into net … Read more