ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
The economic data continue to worsen in Europe. While it is difficult to find signs of concern in U.S. markets, wariness is etched in a few key corners of financial markets. Precious Signals Notably, the precious metals gold and silver look ready for a fresh upward push. Gold and silver can perform well in times … Read more
An Inescapable Truth In June, 2018, I made the following claims and observations (with fresh emphasis): “…at the end of the day, Trump is determined to drive the U.S. trade deficit as close to zero as possible. This cannot happen without some substantial economic disruptions. To the extent the market refuses to price in these … Read more
AT40 = 28.8% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 39.9% of stocks are trading above their respective 200DMAs (2-month low)VIX = 19.9Short-term Trading Call: cautiously bullish (see caveats below) Stock Market Commentary Presidential Decrees “Q Six hundred and twenty-three points — that’s what the Dow was down today … Read more
AT40 = 26.1% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 40.3% of stocks are trading above their respective 200DMAs (2-month low)VIX = 22.1Short-term Trading Call: neutral (caveats below!) Stock Market Commentary When the S&P 500 (SPY) bounced away from the oversold threshold last week, it left behind an extreme … Read more
AT40 = 30.4% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 44.9% of stocks are trading above their respective 200DMAs VIX = 20.2 (the day before it closed at 24.6 and a 7-month high)Short-term Trading Call: neutral (caveats below!) Stock Market Commentary Almost Oversold I underestimated the market’s readiness to … Read more
The threat of Chinese resistance to sky high iron prices was just enough to put a halt to a parabolic run-up in prices. After a sharp drop, iron ore prices quickly rebounded and have remained relatively flat for about two weeks. The stocks of related iron-ore companies turned around after an initial sharp sell-off. Last … Read more
AT40 = 24.1% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 37.9% of stocks are trading above their respective 200DMAsVIX = 18.9Short-term Trading Call: neutral Stock Market Commentary “The stock market might turn at lower levels.” Jim Cramer, CNBC’s Mad Money, June 3, 2019 This truism is a bit silly, … Read more
AT40 = 23.8% of stocks are trading above their respective 40-day moving averages (DMAs) (hit a low of 20.7%)AT200 = 36.9% of stocks are trading above their respective 200DMAs (2 1/2 month low)VIX = 18.7Short-term Trading Call: neutral Stock Market Commentary So much for the potential for follow-through on bullish divergence! Perhaps the failure is … Read more
AT40 = 25.2% of stocks are trading above their respective 40-day moving averages (DMAs)AT200 = 39.3% of stocks are trading above their respective 200DMAsVIX = 17.9Short-term Trading Call: neutral Stock Market Commentary AT40 (T2108), the percentage of stocks trading above their respective 40DMAs, broke through 30% and closed at 25.2%. My favorite technical indicator is … Read more
For weeks and longer I read key pundits write about the need for rate cuts in Australia. I was quite skeptical: I even concluded in February that a rate cut was NOT imminent. In a move that surprised me, the Reserve Bank of Australia (RBA) Governor Philip Lowe effectively promised an imminent rate cut in … Read more