ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
The Market Breadth Summary The Stock Market Summary If you are asking where and when this AI-focused sell-off will end, you are asking the wrong question. Instead of asking for forecasts, the calm and disciplined traders and investors ask about managing risks while seeking opportunity. Thus, the main thing that changes within this framework is … Read more
The Market Breadth Summary Stock Market Commentary The dynamics of this stock market are simple. AI infrastructure stocks are soaring well ahead of the competition and their peers. The rest of the market is getting left behind. Market breadth is going nowhere and remains in bearish territory, but the indices are being powered higher by … Read more
The Market Breadth Summary Stock Market Commentary A week ago, I made the case that a bottom was finally forming after five weeks of selling. The ceasefire announcement that was supposed to reopen the Strait of Hormuz let buyers run free and confirm that bottom. Wednesday’s resulting gap up created post-oversold trading conditions that tell … Read more
The Market Breadth Summary Stock Market Commentary Chaotic trading continued last week. Some segments of the market are doing extremely poorly and other segments of the market that are doing extremely well. A market rotation has turned into stark divergence hidden by major indices which are mainly thrashing about. I see three major signals. One, … Read more
Stock Market Commentary I hate to be one of THOSE bears, but this current wild stock market has turned me into the classic broken record of bearishness. Last week’s red flags consisted of mind-boggling price changes in certain stocks both up and down. Stocks should not move in big chunks at a time, sometimes for … Read more