ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
Clorox (CLX) is a stalwart of the pandemic economy. The company’s line-up of cleaning and disinfectant products are favorites for COVID-19 safety routines. While the company sells products like vitamins, bags and wraps, cat litter, food, water filtration, and natural personal care, Clorox is the cleaning company. As the cleaning company, the stock has enjoyed … Read more
The U.S. Dollar Index Breaks Down The U.S. dollar broke down last week. The weekly chart below shows the U.S. dollar index (DXY) closed last week at a near 2-year low. Numerous anti-dollar bets are gaining fast thanks to the U.S. dollar’s breakdown. The cryptocurrency Bitcoin (BTC/USD) is joining the party. Bitcoin joins the anti-dollar … Read more
AT40 = 34.3% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 49.4% of stocks are trading above their respective 200DMAs VIX = 25.0Short-term Trading Call: bearish Stock Market Commentary Sellers put on another rare performance: major indices across the board broke down below their respective 50-day moving averages (DMAs). Following … Read more
It was fun while it lasted. I first made the case for buying shares in Peloton Interactive (PTON) in the wake of a flap over a strange commercial for the exercise bike and service. The stock rallied a bit from there, but a well-timed short-seller attack stopped the rebound cold in its tracks. I bought … Read more
The “imminent launchpad” I expected for Bitcoin (BTC/USD) prices over a month ago quickly turned into a capsized boat. At the time, Bitcoin was pivoting around its 50-day moving average (DMA). In the week after my last post on Bitcoin prices and the Google Trend Momentum Check (GTMC), the GTMC broke the low from June … Read more
The Short-Term Breakdown The technical conditions for Tesla (TSLA) have greatly deteriorated since I wrote about short-term and long-term trading strategies on the stock. I focused on two main trading strategies: 1) a longer-term covered call strategy for bullish investors fortunate enough to own 100+ shares of stock and 2) what I considered at the … Read more
AT40 = 29.6% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 30.0% of stocks are trading above their respective 200DMAs VIX = 21.3 Short-term Trading Call: neutral Commentary The technical damage in the stock market continues to spread as the countdown to “hedge fund d-day” nears an end. AT40 (T2108), … Read more
AT40 = 13.7% of stocks are trading above their respective 40-day moving averages (DMAs) – 5th day of oversold period following 4-day oversold period (as low as 10.6%) AT200 = 30.0% of stocks are trading above their respective 200DMAs (as low as 26.7%) VIX = 20.7 (as high as 24.7) Short-term Trading Call: bullish Commentary … Read more
AT40 = 16.3% of stocks are trading above their respective 40-day moving averages (DMAs) – 3rd day of oversold period following 4-day oversold period AT200 = 33.6% of stocks are trading above their respective 200DMAs VIX = 19.9 Short-term Trading Call: bullish Commentary Friday was a day with a head-spinning mix of reassuring and ominous … Read more
AT40 = 11.2% of stocks are trading above their respective 40-day moving averages (DMAs) (oversold day #2) AT200 = 31.7% of stocks are trading above their respective 200DMAs () VIX = 23.0 (an increase of 44.0%) Short-term Trading Call: bullish Commentary The market sell-off is unfolding quickly. AT40 (T2108), the percentage of stocks trading above … Read more