ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
This is a quick follow-up on a piece I wrote about Cognizant Technology (CTSH) called “Planning to Accumulate Cognizant Technology Even As It Fights To Hold 2-Year Lows.” Since then, CTSH has rallied to fill its earnings gap from May. Source: FreeStockCharts.com I sold my position after the August earnings gap up thinking I would … 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 highly 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 … 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 highly 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 … Read more
The stocks market’s slow action hides all sorts of dramatic action in individual stocks. For this chart review, I take a look at a range of performers. Google (GOOG) has broken out to fresh five-year highs. First Solar (FSLR) has more than doubled since its June lows. Baidu (BIDU) has sold off for over a … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on August 19, 2012. Click here to read the entire piece.) {snip} AAPL has developed a pattern where, on average, it starts the week strong and ends meekly. The following chart shows the average daily return for AAPL for each day of … Read more
(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. 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 posted on twitter using the #120trade hashtag) T2108 Status: 71.7% (fifth day of … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on August 5, 2012. Click here to read the entire piece.) On July 20th, I described the mechanics of making the pre-earnings trade on F5 Networks (FFIV) (see “Lessons From The F5 Networks Earnings Trade“). After finishing the post-earnings trade with a … Read more
The recovery from the post-earnings dip in July is officially complete for Apple (AAPL). On Monday, August 6th, AAPL broke out from a short trading range defined at the bottom by the psychologically important $600 level and at the top by the April post-earnings high. This breakout symbolizes the neutralization of whatever worries prevented buyers … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on July 29, 2012. Click here to read the entire piece.) {snip} Like all companies with extensive international presence, Apple took a hit from the strong dollar (UUP)… {snip} Apple appears to expect continued strength in the U.S. dollar as the company … Read more
Apple (AAPL) filled last week’s post-earnings gap in just four days. As discussed in “Apple’s Important Macro And Forex Calls And Likely Post-Earnings Recovery,” AAPL’s historical performance suggested a near certainty that this gap would get filled BEFORE the next earnings report. I gave a 50/50 chance on whether the gap would get filled in … Read more