ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. It helps to identify extremes in market sentiment that are likely to reverse. To learn more about it, see my T2108 Resource Page. You can follow real-time T2108 commentary on twitter using the #T2108 hashtag. T2108-related trades and other trades are … Read more
A little over two weeks ago I generated some simple trading scenarios for the United States Oil Fund LP (USO). The scenarios depended upon well-behaved volatility for oil, the CBOE Crude Oil ETF Volatility Index (OVX). OVX is now on the edge of breaking out above its 50-day moving average (DMA). The move was led … Read more
The United States Oil ETF (USO) is down 1.0% in 2015. At its lowest point in 2015, USO was down 23.3%. At its highest point, USO was up 2.6%. This asymmetry alone seems to suggest that USO should tend higher in the short-term. I make this assumption based on an on-going decline in volatility, measured … Read more
(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. It helps to identify extremes in market sentiment that are likely to reverse. To learn more about it, see my T2108 Resource Page. You can follow real-time T2108 commentary on twitter using the #T2108 hashtag. T2108-related trades and other trades are … Read more
(This is an excerpt from an article I originally published on Seeking Alpha on June 1, 2015. Click here to read the entire piece.) OPEC (the Organization of the Petroleum Exporting Countries) meets this week on June 5th in a much different price environment for oil than the November, 2014 meeting. {snip} Sources: US. Energy … Read more