ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
It took almost a month, but silver has finally joined gold in its post-Fed breakout. The chart below shows that silver has broken above stiff resistance at the 50-day moving average (DMA). This resistance has kept silver under a lid for five months. Source: StockCharts.com With the Federal Reserve promising to keep rates low through … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on February 7, 2012. Click here to read the entire piece.) Lender Processing Services (LPS) has gained 31% year-to-date. This jump follows the activity of intrepid traders/investors who loaded up on LPS June $21 call options in December – these call options … Read more
A week ago, I reviewed the technicals on the Australian dollar versus various currencies. If you blinked, you missed the picture-perfect setup against the Japanese yen (AUD/JPY). I pointed out that a retest of the 200-day moving average would provide a good entry point. AUD/JPY did not quite touch this point of important support, but … Read more
I have written several pieces recently on the housing industry, starting with “Time to Buy the Dips in Homebuilders” (click here for an archive of my articles on housing). The main theme has emphasized that now is the time to start investing in a bottom in housing that I anticipate happening next year. I have … Read more
The current extended overbought period has produced many amazing chart patterns. In this chart review, I am highlighting some charts I find particularly interesting and compelling. There are impressive recoveries, stocks dancing with critical resistance, and emerging breakouts. Some charts are quite telling in that they completely contradict the presumed economic disaster from an imminent … Read more