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: The holiday-shortened week brought a reluctant return to overbought trading conditions. Buyers nudged the indices higher inch by inch after Monday’s slightly down open. The Fed-speak that returned the stock market to bearish trading conditions faded out of view. Looking ahead, the promise of seasonal strength once again beckons reluctant buyers. If … Read more
Stock Market Commentary: The latest cryptocurrency scandal and implosion distracted the market (and me) from the upside potential of the October CPI (Consumer Price Index) report. Likely contagion, real and psychological, from crashing crypto prices helped drive distraught trading that created technical breakdowns across the major indices. U.S. midterm elections on Tuesday also apparently failed … Read more
Stock Market Commentary: Now I see why there was so little fanfare about the end of the bear market. Last week’s trading looks like a warm-up for a bear market comeback. The S&P 500 and the iShares Russell 2000 ETF (IWM) printed bearish confirmations of resistance at their respective 200-day moving averages (DMAs) (the blue … Read more
Stock Market Commentary: The bear market ended with a bullish counter, yet I noticed no celebratory or indicative headlines on CNBC. CNBC’s Fast Money included technical discussions but gave no reference to what I consider to be two major technical developments. The NASDAQ closed above its bear market line and joined the S&P 500 and … Read more
Stock Market Commentary: The stock market threw a big fakeout, the biggest I have seen in a long time. Just yesterday, a synchronized failure at key resistance levels from the major indices combined with a drop from overbought conditions to convince me to get (cautiously) bearish on the stock market. The read on July CPI … Read more