ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
AT40 = 20.4% of stocks are trading above their respective 40-day moving averages (DMAs) (ends 3-day oversold period) AT200 = 44.8% of stocks are trading above their respective 200DMAs VIX = 25.0 (smallest range since February 1, 2018) Short-term Trading Call: bullish Commentary It was a reluctant push, but AT40 (T2108), the percentage of stocks … Read more
AT40 = 18.1% of stocks are trading above their respective 40-day moving averages (DMAs) (oversold day #3) AT200 = 43.9% of stocks are trading above their respective 200DMAs VIX = 25.6 (range from 24.4 to 29.7) Short-term Trading Call: bullish Commentary My favorite technical indicator made a valiant effort, but it could not quite break … Read more
AT40 = 12.5% of stocks are trading above their respective 40-day moving averages (DMAs) (day 1 of the second oversold period in 4 days) AT200 = 39.2% of stocks are trading above their respective 200DMAs (near 2-year low) VIX = 33.5 (range from 24.4 to 36.2) Short-term Trading Call: cautiously bullish (with oh so many … Read more
AT40 = 23.4% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 47.8% of stocks are trading above their respective 200DMAs VIX = 30.0 (19.7% decrease, intraday high of 50.3) Short-term Trading Call: neutral Commentary The first oversold period in about two years ended after just one day. As a reminder, … Read more
“I will be watching for signs of the durability of this latest Bitcoin bottom. If search interest wanes quickly, I will expect the recovery phase to fizzle relatively quickly like last time. If search interest remains robust, I will accordingly expect the recovery period to last longer.” This is what I wrote on January 18, … Read more
AT40 = 19.4% of stocks are trading above their respective 40-day moving averages (DMAs) – first oversold day after 19 percentage point plunge AT200 = 45.8% of stocks are trading above their respective 200DMAs VIX = 37.3 (115.6% increase! The largest since at least 1990) Short-term Trading Call: cautiously bullish – oh so many caveats … Read more
AT40 = 38.3% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 54.7% of stocks are trading above their respective 200DMAs VIX = 17.3 (28.5% increase!) Short-term Trading Call: bullish Commentary “We cannot tolerate pervasive and persistent misconduct at any bank and the consumers harmed by Wells Fargo expect that robust … Read more
The trading volatility in Bitcoin (BTC) is delivering a healthy number of extremes. These accumulating extremes are helping me build associations between Bitcoin price action and Google search interest in the cryptocurrency. The latest round of extremes delivered some eye-opening associations which could help traders in the near future. This week, on January 15th, Bitcoin … Read more
At the time of writing, Bitcoin (BTC) just experienced another large one-day loss…currently around 10%. Source: Yahoo Finance A week ago, sellers panicked and sent Bitcoin careening toward $10,000 as an orderly pullback from all-time highs suddenly became chaotic. Buyers quickly moved in and the cryptocurrency stabilized. Until last week’s low gets violated, I am … Read more
Buy the crash. Sell the all-time high. Rinse. Repeat. This has been a time-honored trading strategy for Bitcoin that, in hindsight, has offered a very low-risk way of profiting form the manic rise of Bitcoin. Today, the famed cryptocurrency was down as much as 30% before bouncing back with a furious rally. The trading strategy … Read more