ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
AT40 = 48.0% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 54.7% of stocks are trading above their respective 200DMAs VIX = 11.8 Short-term Trading Call: neutral (downgrade from cautiously bullish) Commentary I am not even going to try to explain why emerging markets and trade-sensitive stocks started this week … Read more
AT40 = 57.1% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 57.5% of stocks are trading above their respective 200DMAs VIX = 12.9 Short-term Trading Call: neutral Commentary In my last Above the 40 post, I discussed the early signs of a potential run-up driven by the “fear of missing … Read more
I am riding the long U.S. dollar index (DXY) trade based on two simple drivers: 1) a U.S. Federal Reserve pacing for four rate hikes in 2018, and 2) an expanding trade war, especially against China, which on balance will create more demand for U.S. dollars especially relative to those currencies who stand to lose … Read more
AT40 = 60.5% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 56.8% of stocks are trading above their respective 200DMAs VIX = 13.4 Short-term Trading Call: neutral Commentary Until Friday’s 0.8% gain on the S&P 500 (SPY) in the wake of another strong jobs report, I was still expecting the … Read more
AT40 = 48.6% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 50.7% of stocks are trading above their respective 200DMAs VIX = 16.1 Short-term Trading Call: bearish Commentary The market’s gains the last two days validated my expectation for a relief bounce. I used this bounce to make more bearish … 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 = 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
GDPR, the European Union’s General Data Protection Regulation, rolls into effect starting May 25th. Expectedly, there is a flurry of media attention on this topic. One meme spreading quickly compares Google Trend searches for GDPR to pop music icon and diva Beyoncé. It turns out that GDPR is now so popular that it surpassed Beyoncé … Read more