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]. To learn more about it, see my T2108 Resource Page.) T2108 Status: 33%. VIX Status: 23.7 General (Short-term) Trading Call: Hold. Commentary T2108 managed to nudge upward a bit after being at least as low as 29% when the S&P 500 … Read more
(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. To learn more about it, see my T2108 Resource Page.) T2108 Status: 32%. VIX Status: 25.3 General (Short-term) Trading Call: Cover a few bearish positions. Continue identifying fresh bullish positions. Commentary T2108 barely changed although it was at least as low … Read more
(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. To learn more about it, see my T2108 Resource Page.) T2108 Status: 47% and neutral. VIX Status: 17 (closed below last oversold period). General (Short-term) Trading Call: Hold. Commentary T2108 soared again, closing today at 47% and a high for June. … Read more
(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. To learn more about it, see my T2108 Resource Page.) T2108 Status: 29% and neutral. VIX Status: 19. General (Short-term) Trading Call: Hold. Commentary If you only looked at the final tally, you would miss 90% of the story in today’s … Read more
The primary upward trend in the S&P 500 finally ended, and the advantage in trading finally goes to the sellers for the first time since August, 2010. For me, technically, the upward trend ended with the flattening of the 20DMA. I noted this important change yesterday. The confirmation of the end came today with the … Read more
The stock market has churned and gone nowhere for 10 trading days, a distinct break in the steady drip upward that saw traders, investors, and even trading-bots seizing upon nearly every dip as a buying opportunity. For six months a very basic equation has dominated: printing money = higher stock prices. For now, a conditional … Read more
The stock market printed a timely and picture-perfect bounce on Friday. Ahead of the rally, I presented the relatively strong case for the bulls based on the previous 3-day pullback. By closing above Wednesday’s high of 1318, the S&P 500 is also poised to continue its gains. However, looking beyond this bounce from support, the … Read more
The last hour of trading on Wednesday was marred by swift, high-volume selling, an extremely rare sight in the current market. It seemed to come from “nowhere” but the signs of some kind of reversal have been building in some poor post-earnings trading in many big-cap names. I earlier pointed out that Intel (INTC) seems … Read more
Toward the end of September, I argued that VXX, the iPath S&P 500 VIX Short-Term Futures, was making a bottom. While some kind of bottom has been confirmed with the spike in volatility last week, the VXX has proved to be a dud in following this spike. While the VIX has popped about 29% from … Read more
The VXX is an ETF that “offers exposure to a daily rolling long position in the first and second month VIX futures contracts and reflects the implied volatility of the S&P 500 index at various points along the volatility forward curve” (from Yahoo!Finance). This means it offers a method for placing bets on the direction … Read more