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. Click here to read the entire piece.) Cisco Systems (CSCO) has steadily declined since reaching a peak in April, 2010. For much of this time, analysts and commentators seemed to focus on company-specific problems as the blame. It seemed competitor Juniper Networks … Read more
On Thursday, September 15, investors and traders dumped Netflix (NFLX) on news that the company will lose 600,000 subscribers this quarter compared to the previous quarter. In 12 years, NFLX has now suffered a quarter-over-quarter loss in subscribers only twice. This occurrence represents a 2.4% reduction in customers. (For more details see AP story “Higher … Read more
(This is an excerpt from an article I originally published on Seeking Alpha. Click here to read the entire piece.) {snip} Tonight, RIMM disappointed traders and investors once again with its latest earnings report. This time, it was not an outright miss on overall earnings or revenue guidance. {snip} Alas, RIMM built up enough expectations … Read more
(This is an excerpt from an article I originally published on Seeking Alpha. Click here to read the entire piece.) Research In Motion (RIMM) will report earnings Friday, September 15. As usual, I will be most interested in finding out how aggressively RIMM has executed on its latest stock repurchase authorization that began in July.The … Read more
The trading playbook for Research In Motion’s share buyback is finally unfolding. Last week, Research In Motion (RIMM) broke out, nudging itself over the rapidly declining 50-day moving average (DMA). Today, RIMM finally closed above $30 and punched into June’s post-earnings gap down. *Chart created using TeleChart The September 30/35 call spread I recommended last … Read more
Finally, Research In Motion (RIMM) is performing better than the general market. For the last two weeks, RIMM has trended upward relative to the QQQ (PowerShares QQQTrust for big-cap technology stocks). This has not happened all year. More importantly, the stock has finally jumped above the 50-day moving average (DMA). Granted, such a breakout has … 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 Status: 14% (Day #11 of the current oversold period). VIX Status: 43 General (Short-term) Trading Call: Only add … Read more
On July 26, Apple (AAPL) finally closed above $400. I interpreted this as a very bullish signal. I waited for the next dip to make a move, and the very next day, the market seemed to offer up a gift in the form of a 2.7% pullback. I wrote the following in my technical review … Read more
Anytime after the March, 2009 lows, if you had asked me which stock or stocks would break those lows within the next three years, Cisco (CSCO) would have been one of the furthest names from my mind. And yet, Tuesday (Aug 9), CSCO closed just 2% above its closing and intraday March, 2009 low. When … Read more
(Click here for archived articles on RIMM) Research in Motion (RIMM) has been able to buy back its shares under the current repurchase authority since July 11. The stock opened up that day and proceeded to close down 3.2%. The stock has drifted down 16.6% since then. During this time, I identified a technical pattern … Read more