ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
When I examined the trading patterns in Google’s stock (GOOG) between earnings reports, I found little consistency for forming a trading strategy. For October’s earnings cycle, I chose to play one of the few promising historical patterns: 67% of the times that GOOG opened up in response to earnings, the maximum close until the next … Read more
Soon after Google’s earnings I bought a November 570/580 call spread given that the year-over-year revenue growth rate finally seems to be turning around and revenue per employee looks ready to trend upward as well. I am finally getting around to explaining the move (as I promised to do) now that GOOG has reversed all … Read more
Whenever the market sells off, it is good to track whether the selling marks any change in character in the health of the market. Back in June, the change in character was marked by the deepest oversold conditions since March. Those conditions deepened into July and helped provide the fuel for the next strong leg … Read more
Investors and traders were clearly impressed with Google’s third quarter earnings report on Friday sending the stock up 3.8% on 3 times average volume (for the past three months). Google (GOOG) is now up a whopping 79% for the year and is at 15-month highs. There are of course many things to like about GOOG’s … Read more