Warning: array_merge(): Argument #1 is not an array in /var/www/www.sfomag.com/helper.php on line 199 Warning: Invalid argument supplied for foreach() in /var/www/www.sfomag.com/helper.php on line 200 SFO

Market Commentary

More Market Commentary

Stay on the Train Awhile Longer

Okay, it is Monday morning, and I should be lethargic, and I am, but that fact is I need to say something that has been on my mind for some time.

20 Reasons To Take Your Foot Off The Gas Pedal

The above headline comes from David Moenning, who I respect as a macro-analyst, and in the first part of his bearish take on the market he suggests rising interest rates and inflation have been unkind to the market historically, so, in making his bearish case, he brings those too bad guys to the front ...

Jul 28, 2014
Read More

December Cotton Futures: Trading Idea July 28, 2014

Consider Buying a Call Option on ICE December Cotton Futures

See on the daily bar chart for ICE December cotton futures that prices have been beaten down hard recently but are now well oversold. See the RSI reading of 15.76. Any RSI reading below 30.00 suggests a market is overdone on the downside. Also, there is key longer-term technical support at the 66.00-cent level in cotton futures that halted a price downtrend in 2012. Consider buying a call option on December cotton futures, with an u...

Jul 28, 2014
Read More
banner_image

Quick Lindsay Lesson: Forecast Only Applies To Dow

It is important to be aware that George Lindsay admonished his newsletter subscribers that his methods were to be applied only to the Dow Jones Industrials index and not the broader indices. He explained this caveat that using the Dow will avoid the constant turn-over of individual components in those broader indices.

= = =

Get Caught Up

Regular readers of this space will remember the column posted two weeks ago, Lindsay Analysis: Bull Market Top in Dow Is Here as well as last week’s column...

Jul 28, 2014
Read More
banner_image

S&P 500: Busy Week, Does It Matter?

There will be lots of activity affecting the U.S. stock market, and especially the S&P cash index this week.

Home sales Monday, GDP numbers Tuesday, the Fed Open Market Committee minutes Wednesday, jobless claims Thursday, Non-Farm Payrolls on Friday, earnings reports all week ... the hits just keep on coming.

Add to that the ferocious geopolitical risks. Wars – actual shooting wars – in Ukraine, Syria, Gaza, Iraq – and threats of more from all over the globe. Yikes! But does any of this rea...

Jul 28, 2014
Read More
banner_image

Commercial Traders Show Bearish Outlook For Silver

Commercial traders accumulated their most bullish position in more than a year early this June.

Silver subsequently climbed nearly $2.50 over the next month.  However, an interesting development was taking place within the market. As the market climbed, not only did commercial traders lay off their accumulated position, they began initiating new sales at a breakneck pace. Therefore, after building their most bullish position in over a year, they immediately reversed course by selling nearly ...

Jul 28, 2014
Read More

Featured Stories

More Featured Stories
banner_image

Strange Times: The Unprecedented Bull Market

The S&P 500 is on pace to triple its March 2009 low of 676.53 in 2014, leaving many wondering what is driving such an unprecedented bull market.  Indeed, a widely respected figure at a major financial news network said to me earlier this month, “Even in the media, we’re left scratching our heads by a lot of what we’re witnessing right now.”  

On Thursday the SPX touched an intraday peak of 1991.39 to close at yet another new all-time high of 1987.98.  The 10-year Treasury yield had closed th...

Jul 25, 2014
Read More
banner_image

Top 10 Free Trading Resources

The following is a list of my top 10 favorite free resources on the web for investors and traders. None of these websites involve any cost, though some do offer the possibility to upgrade to a pay service. We did not include TraderPlanet, since you are already here.

1.www.TopStepTrader.com If you are intraday trader that is tempted to have CNBC on during your trading day here is an entertaining alternative. "Eddie the Broadcaster" will keep you informed with a solid mix of market news, specia...

Jul 23, 2014
Read More
banner_image

Forex Tips: When Trading Discipline Goes Too Far

“Stick to your trading plan” is what we hear said all the time and I’ve been known to say it too.  Although that may be the best thing to do, if your trading plan is ok, there’s the odd time that crops up that makes you question it.

Being a dedicated forex trader I’ve done some serious screen time.  Eyes locked furiously on the charts waiting for my setups, mesmerized by the ebb and flow of the markets.

While going about my normal trading day, there have been several instances where the radical...

Jul 22, 2014
Read More

Rehypothecation, Has The Goose Stopped Laying “Gold”en Eggs?

The practice of rehypothecation is centuries old. It has been used to create “free” money supply and in recent times the Chinese have become rather fond of commodity funding deals in an attempt to leverage deals and grow their economy.

The model works, at least in theory, and while all is well one can extend the daisy chain, seemingly for ever…

The universe provides infinitely after all, doesn’t it? This is basic pop quantum physics. The difficulty arises in the very moment a link weakens an...

Read More
banner_image

Technical Analysis: Using Multiple Timeframes

The objective of any trading strategy is to identify trading entries with a high positive predictive value: i.e. the sensitivity and specificity of the order are likely to be successful close to 90% of the time.

Getting Started

In order to achieve this —the market must be defined or broken down into two separate energies: 1) price action or market structure and 2) indicator analysis. Both parameters provide separate information that must be integrated in order to evaluate the predictive value...

Jul 17, 2014
Read More