ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
(This is an excerpt from an article I originally published on Seeking Alpha on June 6, 2013. Click here to read the entire piece.) On Monday night (June 4th, Tuesday morning in Australia), the Reserve Bank of Australia (RBA) decided to leave its cash rate steady at 2.75%. The statement contained no new news and … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on June 2, 2013. Click here to read the entire piece.) {snip} …Iron prices have plunged almost as severely as they did last August as steel rebar prices have fallen. From Reuters on May 31st: {snip} These price declines would seem to … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on May 21, 2013. Click here to read the entire piece.) {snip} In Monday’s minutes (Tuesday Australia time) of the May 7th policy meeting, the RBA provided no direct smoking gun to explain what I called at the time a mystifying rate … Read more
When I last wrote about the Australian dollar (FXA), I targeted a retest of the 2012 low as one of two points to exit my short position on AUD/USD. The test at 0.96 happened last Thursday, May 24, and as AUD/USD printed an obligatory bounce from that support, I exited. The support held firm until … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on April 25, 2013. Click here to read the entire piece.) The Swiss franc (FXF) has started another weakening phase, putting an exclamation point on the currency market’s refusal to go along with the shrill, recent headlines claiming another deflation cycle has … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on April 15, 2013. Click here to read the entire piece.) When it comes to the Australian dollar (FXA), traders have to stay nimble and on their toes. Just two days ago in “Poor Employment Report Only Slows Australian Dollar’s Breakout,” I … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on May 7, 2013. Click here to read the entire piece.) Tonight (morning of May 7th in Australia), the Reserve Bank of Australia cut its interest rate to 2.75% whereas the consensus assumed that rates would stay steady at 3.0%. While the … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on April 12, 2013. Click here to read the entire piece.) Next week on May 6th (May 7th in Australia), the Reserve Bank of Australia (RBA) will make its next monetary policy decision. The Australian dollar has shown marked weakness going into … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on April 12, 2013. Click here to read the entire piece.) Last week, we learned that the Australian trade balance for February was much better than expected, -178M AUD versus expectations for -1B AUD and -1.2B AUD for January. Additionally, retail sales … Read more
(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. It helps to identify extremes in market sentiment that are highly likely to reverse. To learn more about it, see my T2108 Resource Page. You can follow real-time T2108 commentary on twitter using the #T2108 hashtag. T2108-related trades and other trades … Read more