Market CommentaryMore Market Commentary
Here we go again … Another crisis of confidence, even as the penultimate geopolitical event unwinds from open hostility to verbal aggression. Russia and Ukraine seem to be moving toward some sort of pact that will bring some peace to that region. So what? That news is so last week anyway.
How about that China, then? Seems it never loses its power to contribute to the constant wall of worry that confronts the market. Heck with that loser. What about the Eurozone? Seems Mr. Draghi is not so opt...Read More
Last week’s commentary, Beyond all Doubt, quickly turned to ‘beyond belief’ as the Dow exceeded its July 16 closing high. The market timing models of George Lindsay don’t use the terms bull and bear market and I shouldn’t have either.
Rather his work speaks in terms of basic advances, basic declines, and basic cycles. Understanding the difference between these concepts was how he was able to make such incredible market calls during his career.
Recent Market Action
By 7/16/14 ...Read More
Since the summer of 2013, gold has been tracing out a large consolidation pattern, registering lows at and above 1179 and highs at and below 1434. A break from this consolidation pattern is likely to carry prices to one of the next zones of large degree support or resistance, depending on the direction of the break.
If price continues to move lower, as is the near-term direction, the next lower zone of support is 1090 - 1140. There is additionally a larger zone of support established at 862 ...
A week ago we promised you a rambunctious week in the S&P 500 and we got it: The Dow made new highs on four days in a row, and the S&P 500 cash index , after bumping around the old high most of the week, broke out to a new high Friday morning.
This was pretty typical of triple witching week, when options on futures, stocks and the futures contracts expire simultaneously. Triple witching week has ended positive 15 of the last 19 times.
But now all the special events that drove prices last wee...Read More
December ICE Coffee Futures a Selling Opportunity on More Price Weakness
See on the daily bar chart for December coffee currency that prices Monday hit a two-month low and hit seen a downside “breakout” from a bear flag pattern. A move below chart support at Monday’s low of 1.7640 would become a selling opportunity. The downside price objective would be 1.5750 or below. Technical resistance, for which to place a protective buy stop just above, is located at 1.8500.
Featured StoriesMore Featured Stories
Over the past month, the IPO market hasn’t provided traders and investors with many compelling opportunities as activity has dried up. With Chinese e-commerce giant Alibaba lined up to go public on September 19, the IPO market will soon come to life in dramatic fashion.
Demand has been so strong that its expected price range has been bumped higher to $66-$68 from the original expectation of $60-$66. With BABA offering 320.1 million ADS, its projected proceeds of over $24.6 billion put it o...
I was in junior high school the first time I was introduced to Market Profile. My Dad was a grain trader and the hedge manager for Ralston Purina, a huge manufacturer of animal feeds, not to mention the creators of Chex cereals and Rye Crisp crackers. He spoke of a friend, Peter Steidlmayer, who was devising a different way to look at markets. “Any interest in this, son?” Off I went on my skateboard as trading was not on my list of priorities, yet.
Years later, struggling to learn to trade, I ...
This month marks the sixth year after Lehman Brothers filed for Chapter 11, an act that served as a precursor to market meltdown of October 2008.
Six years later, and despite the amazing recovery for the general market since the market bottomed in 2009, the financials as a sector continues to lag.
Figure 1, the 10-year PerfChart for the S&P Sector ETFs, depicts the Financials relative weakness during a decade plagued by low interest rates that created an environment for risk taking ending...
Get ready for the most active season in the stock market.
The last quarter has the highest trading activity of the year for the stock market and for the market in general.
Here are some of the major events that traders are ready to speculate upon heading into the fourth quarter:
1. Last earning season of the year – main reason why market will accelerate its action into the year end
2. Black Friday / Cyber Monday so-called Cornucopia Trading
3. Christmas Rally
4. Quarterly Expiration /...
With the Dow recently surging past 17,000, the debate is on about whether it is a bubble that is looking for a pinprick or if it is a strong bull market that will power past 18,000 and beyond.
Yes…it could definitely go to 18,000 or 19,000 or more in the short term because the main driver is not a bullish economy…it is the bullish impact of Federal Reserve policy. In other words, this is an artificial bull market that is driven by monetary stimulus. The danger of a pull-back or a sharp correc...