ONE-TWENTY TWO: Trading Financial Markets
Since the year 2000, delivering a different narrative for students and fans of financial markets: stocks, options, currencies, Bitcoin, and more…
Stock Market Commentary Last week was an intense week of trading. The ever-escalating conflict in the Middle East disturbed markets. However, the initial negative reaction in futures market was mostly erased by the time of the market open on Thursday. The indices even managed to gain ground before getting faded. Thus, the market still fundamentally … Read more
Stock Market Commentary NVIDIA Corporation (NVDA) confirmed a double-top with today’s 3.4% loss. For only the sixth time this year, NVDA closed below its uptrending support at the 20-day moving average (DMA) (the dotted line below). Three of these closes have come in the last three days. The stock is now within “inches” of confirming … Read more
Stock Market Commentary The stock market put an exclamation point on the end of the previous week’s statement performance. Market breadth made an important breakout to a 2-month high and almost looks ready to return to overbought conditions. Such a milestone would finally align my favorite technical indicator with the relentless strength in the stock … Read more
Stock Market Commentary There is a deepening irony in my on-going bearishness on the stock market. The sector most visibly responsible for the anti-bearish animal spirits leaning against poor market breadth is the same sector I remain unapologetically bullish about: Artificial Intelligence (AI). The ironic contrast was in full display last week as the bullish … Read more
Stock Market Commentary Despite strike one and strike two against the market rally, buyers are stretching out this overbought period. The jobs report for November seemed to further support the case of an economy that survived the Fed’s rate hike cycle even as the case recedes for near-term rate cuts. The stock market responded by … Read more
Stock Market Commentary At the end of September, I asked skeptically whether an oversold bounce could prevent an October swoon. As I suspected at the time, the answer turned out to be no. The market-moving headlines for October have included weighty, tragic, and alarming news making for a demotivating trading environment. An oversold bounce earlier … Read more
Stock Market Commentary Jackson Hole did not provide the market moving spark that I expected. Instead, soft economic news delivered the decisive interpretation of future monetary policy required to provide a fresh catalyst for stocks. The bullish spark caught me flat-footed as I was leaning into imminent oversold trading conditions. Fortunately, the sentiment shift was … Read more
Stock Market Commentary: The summer of loving stocks is facing its first real test. In the middle of the week, the rally finally failed at the threshold of overbought market breadth. The stock market closed the week with market breadth confirming the end of the primary rally and the start of an important test of … Read more
NVIDIA Races Ahead Money manager Cathie Wood of ARK Invest is known for being unconventional by making concentrated bets on highly speculative companies, what Wood calls betting on innovation that solves problems. So of course Wood has AI-related bets in the various ARK funds. The ARK Autonomous Technology & Robotics ETF (ARKQ) in particular holds … Read more
Stock Market Commentary: Some stocks benefit greatly from an oversold bounce. Some stocks continue to dampen the mood. Today, retailers bruised an otherwise impressive continuation of the oversold bounce in the stock market. With retailers weighing down the market with poor implications for the macro environment, caution remains warranted. Still, the rebounds in the most … Read more