ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
It is hard to believe that just six weeks ago I proposed a pairs trade of gold versus bonds with the SPDR Gold Shares (GLD) toying with resistance at its 50-day moving average (DMA) and the iShares 20+ Year Treasury Bond (TLT) doing the same. Now, GLD has already hit the next line of resistance … Read more
The last Housing Market Review covered data reported in January, 2017 for December, 2016. At that time, the iShares US Home Construction (ITB) was rebounding strongly from a brief pullback from an earnings-driven 6-month high. I described the setup as a coiled spring. The coiled spring did not release to great effect, but earnings from … 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
(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
The last Housing Market Review covered data reported in September for August, 2016. At that time, iShares US Home Construction (ITB) was at the tail-end of an extended sell-off. I noted the irony of the acceleration of selling in the wake of a new home sales number that was the second-highest of this post-recession period. … Read more