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 May 20, 2012. Click here to read the entire piece.) I have written about my skepticism regarding the British pound’s newly found “safe haven” status (for example, see “Hard Currency: My Reactions To The Financial Times’ Promising Podcast“). During my last … Read more
A month ago I declared the weakness in the Japanese yen had ended. At the time, the U.S. dollar versus Japanese yen currency pair, USD/JPY or the inverse ratio in the Rydex CurrencyShares Japanese Yen Trust (FXY), had slipped for three days in a row. I turned out to be about a week too early … Read more
Clearly, I am not yet bearish enough on the Japanese yen. When the U.S. dollar last traded at 100 versus the Japanese yen (USD/JPY), the dollar completed a 12.7% rally from its lows in December, 2008 and January, 2009. This was also the last time the U.S. dollar generated as large and sustained a rally … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on February 24, 2012. Click here to read the entire piece.) Ever since I heard hedge fund manager Kyle Bass lay out a convincing case in August, 2010 for a massive sell-off in the Japanese yen, I have had a hard time … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on February 16, 2012. Click here to read the entire piece.) The U.S. dollar and Japanese yen have played an up and down game of seesaw since July of last year. The USD/JPY, or the inverse of the Rydex Currency Shares Japanese … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on January 22, 2012. Click here to read the entire piece.) Via an extremely strong Japanese yen, the world is offering Japan a steep discount on its assets. On January 19, 2011, Japanese Finance Minister, Yukio Edano, seemed to indicate that Japan … Read more
This is an excerpt from an article I originally published on Seeking Alpha on October 30, 2011. Click here to read the entire piece.) Call it a minor victory for Japanese Finance Minister Jun Azumi who declared his country is in “a war of nerves” with markets over the value of its currency given the … Read more
Surprise! The dollar’s relief rally is not quite over as I had suspected last Thursday (October 27) when the dollar plunged with resounding force below its 200-day moving average (DMA). On Monday, the dollar index surged back above its 200DMA as all of last week’s booming enthusiasm over a deal on Greek sovereign dealt rapidly … 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: 72% (seventh day of … Read more
This is an excerpt from an article I originally published on Seeking Alpha on October 30, 2011. Click here to read the entire piece.) The U.S. dollar was one of last week’s biggest losers during a very bullish week. As I have chronicled for several weeks now, the market’s bullish signals continue to grow. With … Read more