ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
Stock Market Commentary The stock market’s V-shaped recovery finished reversing most of the losses from the August calamity. Small caps are once again the laggards. During this recovery the market swung from recessions fears to recession relief. The prospects for interest rate cuts no longer seemed to matter on either side of the V-shape. The … Read more
Stock Market Commentary Welcome to the start of the stock market’s three most dangerous months of the year. A weak jobs report for July helped to send market sentiment into a sharp reversal. The bad economic news suddenly turned the prospect of rate cuts into something to fear. These rate cut fears spun the market … Read more
Stock Market Commentary Can a bullish divergence create a bottom for stocks? The stock market ended last week with an emphatic “YES!” A wild week got treacherous after Thursday’s META pricequake. Investors rushed for the exits after Meta Platforms (META) reported earnings. The sympathy selling went far and wide. Fortunately, earnings from Alphabet (GOOG) and … Read more
Stock Market Commentary While I watch the tense trading unfold in NVDA, the VIX, the volatility index, has suddenly returned to my radar as an indicator of interest. Thursday’s stock market setback came with a surging VIX that closed at a new high of the year. The regular programming of the volatility faders actually failed … Read more
Stock Market Commentary As new year weakness continues in the stock market, a serious tension has emerged in the message of the market between profit-taking versus a sustained top. An extended overbought period raises the stakes for the resolution of this tension. As long as the stock market remains overbought, I will assume the current … Read more