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 Last week further emphasized the continuation of notable divergence from Q2 to Q3. This time, soft inflation data caused a surge in rate cut anticipation that in turn drove a significant rotation away from big cap growth and tech stocks and toward small caps and a whole host of other rate sensitive … Read more
The bear market intrusion to the oversold period gave way to an explosion of bullish trading action this week. The maximum drawdown of October for the S&P 500 (SPY) was 4.0% well above the average for the month. This extreme move provided the perfect setup for the sharpness of the current oversold bounce. The rubber … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on December 12, 2012. Click here to read the entire piece.) {snip} It is CTSH’s sixth straight positive close on strong buying volume. CTSH has closed up 9 out of the last 10 trading days. Source: FreeStockCharts.com Despite the strength on display, … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on December 6, 2012. Click here to read the entire piece.) This is a quick follow-up to last week’s piece on Cognizant Technology (CTSH): “Cognizant Technology ‘On Watch’ For A Sell-Off Based On Put Option Volume.” At the time, I observed a … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on November 28, 2012. Click here to read the entire piece.) In late July, Cognizant Technology (CTSH) was consolidating after a steep post-earnings sell-off in May. At the time, I argued this marked an opportunity to start accumulating the shares (see “Planning … Read more