ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
It took a little over a week, but Intel (INTC) finally succumbed to the anticipated retest of the old downtrend line (click for a larger view). *Chart created using TeleChart: Multiple catalysts seemed to weigh down on INTC on Tuesday: Taiwanese manufacturers of notebooks reported large drops in sales and Quanta warned it will not … Read more
The recent descent in the U.S. dollar continues nearly unabated. Even as I pointed out the importance of the 200-day moving average (DMA) for the U.S. dollar, deep, deep down inside I felt the U.S. dollar would finally put up a fight at this key support level. The trends that have brought us to this … Read more
This is a quick post demonstrating two stocks recovering from post-earnings losses, that is, filling post-earnings gaps down. Netflix (NFLX) surged 7% on Friday on strong buying volume, smashing through resistance at the 200-day moving average (DMA), and filling a gap created from post-earnings disappointment. Not wishing to press my luck further, I sold my … Read more
As expected, First Solar’s earnings last week did not print any big surprises. Read a brief summary provided by earth2tech or flip through the earnings presentation for more details. The mixed results provided no clear trading catalyst, putting key technical levels in play that I was looking to trade. Support at the 200-day moving average … Read more
The rally in the British Pound may finally be on its last legs. I am sure the Bank of England hopes so as it meets to decide interest rates tomorrow. I wrote just last week about the potential for the pound to break out versus the U.S. dollar, and it has done so quite convincingly. … Read more
The U.S. dollar index touched its 200-day moving average with the kind of precision only a technician can love. *Chart created using TeleChart: I keep waiting for (and betting on) the dollar to get a nice relief bounce against the yen, but the dollar’s near straight-line descent has been the main story. While I wait … Read more
For many of us, investing over the last 10 years has been much more difficult and a lot less fun than it was in the 90s. In the 90s, it was easy to accept the religion of “buy and hold”, keep the faith that assets are pre-ordained to increase in value, and drown oneself in … Read more
On Tuesday, Research In Motion’s (RIMM’s) stock plunged over 4% on notable volume. It appeared that a 4-month downtrend was ready to resume. That evening, RIMM announced a mysterious event, presumably with AT&T, for the following Tuesday. Always quick to buy a rumor, the market responded to the hype by sending RIMM to a rapid … Read more
Earlier, I noted that Intel’s stock looked ominous given so many stocks were making bullish post-earnings reversals. On Friday, Intel (INTC) finally gave up the rest of its impressive post-earnings gains. On a day in which the market staged a relatively impressive comeback from initial selling (the NASDAQ closed marginally UP), INTC closed on its … Read more
First Solar (FSLR) reports earnings this evening. Unlike the last two rounds, I have no strong feelings about the potential upward or downward moves this time around. I went neutral on FSLR after closing out positions on the great post-earnings pop in April, and I have not done much else since then with the stock … Read more