ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
Another Amazon Panic broke out last week. Amazon.com (AMZN) announced its purchase of PillPack as part of its entry into the lucrative business of selling drugs. The news immediately took down pill pushers like Walgreens Boot Alliance (WBA) and CVS Health Corporation (CVS). While WBA looks like it is already bottoming, sellers followed through with … Read more
AT40 = 63.1% ƒof stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 54.7% of stocks are trading above their respective 200DMAs (a 4-month high) VIX = 13.8 Short-term Trading Call: bearish Commentary In my last Above the 40 post, I described how growing global trade wars are creating widening divergences in … Read more
AT40 = 64.0% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 54.8% of stocks are trading above their respective 200DMAs (a 4-month high) VIX = 12.0 Short-term Trading Call: bearish Commentary Once again, a tried and true bearish signal delivered. However this success came with a tremendous caveat: a simultaneously … Read more
AT40 = 66.1% of stocks are trading above their respective 40-day moving averages (DMAs) (ended 1-day overbought) AT200 = 55.5% of stocks are trading above their respective 200DMAs (a 4-month high) VIX = 12.9 Short-term Trading Call: bearish Commentary Flipping short-term bullish was fun while it lasted…all of two days. The Federal Reserve hiked interest … Read more
AT40 = 71.1% of stocks are trading above their respective 40-day moving averages (DMAs) (first overbought day) AT200 = 57.9% of stocks are trading above their respective 200DMAs (a 4-month high) VIX = 12.4 Short-term Trading Call: bullish Commentary After 92 trading days, the stock market is finally overbought again. The last overbought period ended … Read more
The fundamentals have changed little. Sentiment is making a dramatic shift. The last Housing Market Review covered data reported in April, 2018 for March, 2018. At the time, I lamented a dissonance of decelerating housing data and diverging home builder stocks. Over a month later, the deceleration is a little less pronounced while the divergence … Read more
AT40 = 62.5% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 52.7% of stocks are trading above their respective 200DMAs (a near 4-month high) VIX = 13.5 (down 12.8%) Short-term Trading Call: neutral Commentary A day like this past Friday makes me want to be bullish about the entire stock … Read more
AT40 = 64.0% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 52.5% of stocks are trading above their respective 200DMAs VIX = 13.2 Short-term Trading Call: neutral Commentary The churn continues on the S&P 500 (SPY) while AT40 (T2108) loiters around just under its overbought threshold of 70%. The lethargic … Read more
AT40 = 65.8% of stocks are trading above their respective 40-day moving averages (DMAs) (hit a high at 69.7%) AT200 = 51.5% of stocks are trading above their respective 200DMAs VIX = 13.4 Short-term Trading Call: neutral Commentary The stock market keeps crossing up as headlines and macro events push the market one way and … Read more
AT40 = 64.6% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 51.5% of stocks are trading above their respective 200DMAs VIX = 13.4 Short-term Trading Call: neutral Commentary Looks like there was a good reason to wait on flipping my short-term trading call back to (cautiously) bearish. After pointing out … Read more