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 leaned into a melt-up as a constant stream of IPOs signaled risk-on appetite even as a massive downward revisions in jobs in the 12 months through March, 2025 implied more than expected economic weakness ahead. Rate cuts beckon as a result of this broadening weakness, and Wall Street has … Read more
Stock Market Commentary Two weeks ago I wrote how a “A DeepSeek Dive and A Tariff Toll” created the next shift in the market’s technical outlook. I stepped back from a bullish position on the market as a result. Now, a familiar theme has unfolded with the stock market looking ready to leave its latest … Read more
Stock Market Commentary It probably seems odd using “turnaround” as a descriptor for December’s trading. After all, the S&P 500 and the NASDAQ continued their respective melt-up trading action. Yet, small caps diverged and trickled downward all week. So I am intrigued by a collection of stocks that are making and often completing turnarounds from … Read more
Stock Market Commentary The stock market has a natural law of “physics.” Overly enthusiastic trading, whether up or down, eventually meets an opposite and sometimes equal force. This natural instability of extremes forms a basis of my market breadth trading rules. The enthusiastic post-election surge exhausted buyers enough to create a post-election reversal. Moreover, my … Read more
Stock Market Commentary Last week repeated a familiar story. The S&P 500 and the NASDAQ closed up for the week. Since the October lows, each index has only suffered one down week. The iShares Russell 2000 ETF was part of the party until the calendar flipped to 2024. The ETF of small caps lost altitude … Read more