ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
Bitcoin (BTC/USD) is putting the Google Trends indicator to the test. The price of Bitcoin is surging at the same time this key indicator of sentiment is also surging (on a relative basis). Per the Google Trends hypothesis I have demonstrated over time, this surge in excitement is signaling an imminent reversal in the parabolic … Read more
The Price Action A little over a month ago I made the case for a sustained bottom in Bitcoin (BTC/USD) based on the price action combined with Google Trends. I stated the following hypothesis: “a spike in search interest confirms a strong change in price behavior.” The on-going uptrend since that point proves out the hypothesis in … Read more
(Updated on January 3, 2023 in “How Home Builder Stocks Trade In A Seasonal Pattern“) The Spring selling season is a critical period for the housing market and usually delivers peak activity for the year. This seasonal pattern forms a notable pivot for the stocks of home builders. These stocks typically rally on the wings … Read more
I have finally jumped into the crypto-era. Bitcoin broke out into the first “convincing” and buyable technical pattern I have seen since the bubble burst over a year ago. Breakout Anyone who follows cryptocurrencies knows by now that Bitcoin (BTC/USD) broke out last week. The move was a powerful one that launched the cryptocurrency out … Read more
AT40 = 85.7% of stocks are trading above their respective 40-day moving averages (DMAs) (20th overbought day)AT200 = 47.3% of stocks are trading above their respective 200DMAs (4-month high which reverses the October, 2018 breakdown)VIX = 13.5Short-term Trading Call: neutral Stock Market Commentary The waiting game continues within a bullish cloak. An extended overbought rally … Read more