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 Finally the bears break in on all the fun the bulls have had for months. The stock market got overwhelmed with a flood of bad news that was just too difficult to ignore or look through (for now). The July jobs report was not just weak but also it included a massive … Read more
Stock Market Commentary The stock market is right back to levels seen right before the entire tariff trauma and drama unfolded, but does this reversal mean all is well? Confirmation awaits the next breakouts. The April jobs report appeared to provide additional relief to the stock market. The U.S. economy added 177,000 jobs and the … Read more
Stock Market Commentary The second quarter of the year ended with notable divergence. The third quarter picked up where the second quarter left off. Q3 took the Q2 baton of notable divergence, sending big cap stocks ever higher while leaving most of the market further behind. The jobs report seemed to be strong enough and … Read more
Stock Market Commentary In the prior week a post-earnings pricequake from Meta Platforms (META) dominated the stock market headlines. Last week, an Apple buyquake dominated the headlines and week-ending trading after the company announced a record $110B buyback. The subsequent gain in AAPL turned my simple test dividing bearish and bullish trading action into a … 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