ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
In early November, I wrote about Nike (NKE) ending its partnership with Amazon.com (AMZN) in a post titled “Nike Kicks Amazon.com Into Bearish Territory.” I gave the bullish case for NKE, a bearish case for AMZN, and a wildcard case for the “innocent” bystander Footlocker (FL). Here is an update on what happened in the … Read more
During its earnings call, LGI Homes (LGIH) projected strong performance ahead. The company’s December home closings report delivered. LGI Homes closed 748 homes last month. The 49.6% year-over-year growth contributed to an 18.0% year-over-year overall growth rate in home closings for the first eleven months of 2019. The stock market responded positively by sending LGIH … Read more
AT40 = 48.5% of stocks are trading above their respective 40-day moving averages (DMAs)AT200 = 50.2% of stocks are trading above their respective 200DMAsVIX = 16.0 (up 7.0% and went as high as 18.0)Short-term Trading Call: neutral Stock Market Commentary It was fun for the short time it lasted. The speculative turn in the stock … Read more
The ETF Performance The 2019 seasonal trade for home builders was a dramatic one that departed from the typical script. The iShares US Home Construction (ITB) suffered greatly in the late 2018 sell-off. The housing market softened as one of the most notable features of the sell-off in the stock market. Several home builders made … Read more
From Underwhelmed to Overwhelmed Disney (DIS) finally officially jumped into the streaming wars with its introduction of Disney +. The service launched on November 12, 2019 with a press release announcing: ” Disney+, the highly anticipated streaming service from The Walt Disney Company, launched today in the U.S., Canada, and The Netherlands. With nearly 500 … Read more