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 The stock market has a natural law of “physics.” Overly enthusiastic trading, whether up or down, eventually meets an opposite and sometimes equal force. This natural instability of extremes forms a basis of my market breadth trading rules. The enthusiastic post-election surge exhausted buyers enough to create a post-election reversal. Moreover, my … Read more
Stock Market Commentary Exactly two weeks ago, the stock market fell out of bed. I called the abrupt move the rally’s third strike. However, buyers jumped right back into the fray and overcame that third strike with a rally right to the second to last trading day of the year. So far, the new year … Read more
AT40 = 53.7% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 50.3% of stocks are trading above their respective 200DMAsVIX = 15.4Short-term Trading Call: neutral Stock Market Commentary The stock market is officially in bizarro world. The stock market is breathlessly rallying in anticipation of rate cuts that will come … Read more
AT40 = 58.9% of stocks are trading above their respective 40-day moving averages (DMAs)AT200 = 52.5% of stocks are trading above their respective 200DMAsVIX = 12.1Short-term Trading Call: bearish Stock Market Commentary The S&P 500 (SPY) ended the previous week looking ready to lunge for its all-time high. Surprisingly, buyers decided to take a rest, … Read more
AT40 = 3.6% of stocks are trading above their respective 40-day moving averages (DMAs) (oversold day #7, 10-year low!)AT200 = 8.0% of stocks are trading above their respective 200DMAs (9 1/2- year low!)VIX = 36.1 (1-day gain of 20.0%, 10 1/2- month high)Short-term Trading Call: bullish (oh so many caveats below!) Commentary Although it’s been … Read more
AT40 = 9.7% of stocks are trading above their respective 40-day moving averages (DMAs) – (as low as 7.6%) 8th day of oversold period following 4-day oversold period AT200 = 25.2% of stocks are trading above their respective 200DMAs (as low as 22.5%) VIX = 24.2 (as high as 27.5) Short-term Trading Call: bullish Commentary … Read more
AT40 = 11.7% of stocks are trading above their respective 40-day moving averages (DMAs) (hit an intraday low of 9.4%, oversold day #3) AT200 = 32.3% of stocks are trading above their respective 200DMAs (intraday low of 30.0%) VIX = 21.3 (a decrease of 14.7%) Short-term Trading Call: bullish Commentary AT40 (T2108), the percentage of … Read more
AT40 = 65.3% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 51.5% of stocks are trading above their respective 200DMAs VIX = 12.7 Short-term Trading Call: neutral Commentary Here we are again. The stock market looks like it is breaking free, but there are major caveats which keep me wary … Read more
AT40 = 38.3% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 54.7% of stocks are trading above their respective 200DMAs VIX = 17.3 (28.5% increase!) Short-term Trading Call: bullish Commentary “We cannot tolerate pervasive and persistent misconduct at any bank and the consumers harmed by Wells Fargo expect that robust … Read more
AT40 = 55.9% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 60.6% of stocks are trading above their respective 200DMAs VIX = 14.8 Short-term Trading Call: bullish Commentary Last Friday, the S&P 500 (SPY) rolled over a volatile dollar on its way to another all-time high. The volatility index, the … Read more