ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
Stock Market Commentary: Mid-week, fresh drama in crypto looked like the next pivot point for the stock market. Instead, the bout of selling turned into a forgettable speedbump. Buyers returned with force in Bitcoin (BTC/USD), and the major stock indices recovered from major technical breakdowns and tests. In recent weeks, the stock market has bounced … Read more
Stock Market Commentary: The Q3 2022 U.S. GDP report from the Bureau of Economic Analysis undermined this year’s strident claims that the economy overall is already in recession. Q3 GDP grew 2.6% largely thanks to a 2.8% growth in personal expenditures for services (one more validation of the relatively strong jobs market) and thanks to … Read more
Stock Market Commentary: What was resistance for over two months is slowly becoming support for the stock market. The bullish trading action of the last week created an important breakout that confirmed the bottoming action from the previous week’s bullish engulfing pattern. While the stock market may continue to chase its tail before fighting its … Read more
Stock Market Commentary: The stock market has swung so much between hope and despair that it looks like a dog chasing its tail down a hill. Accordingly, “The Market Breadth” has careened from soaring headlines to danger signs. A steep downtrend has remained in place since the last peak in August. Since that time 200-day … Read more
Over a month ago, I uncovered a sunny thesis about a bottom for the ARK funds. The timing of that post happened to be the exact top of the cycle for the ARK funds. Moreover, the S&P 500 (SPY) was trading just under its 200-day moving average (DMA) (the blue in the chart below). Once … Read more