Category Archive: Finance
Above The 40 – The S&P 500 Flips 180 And Wavers
AT40 = 63.5% of stocks are trading above their respective 40-day moving averages (DMAs) – ended 12 straight days overbought AT200 = 58.8% of stocks are trading above their respective 200DMAsVIX = 11.1Short-term Trading Call: cautiously bullish (downgrade from bullish) Commentary Just when I thought it was safe to stay bullish, the stock market took a notable turn southward. […]
It Is Seven Times More Difficult To Get A Flight Attendant Job At Delta Than Enter Harvard
One of our preferred “off beat” economic indicators is how many workers apply at any one given moment in time for jobs that are hardly considered career-track. An example of this is the number of applicants for minimum wage line cook jobs at McDonalds, or flight attendant positions at Delta Airlines; conveniently, this is a series […]
What To Watch In Caterpillar Earnings Report
Caterpillar (CAT) is scheduled to report results of its third fiscal quarter before the market opens on Tuesday, October 24, with a conference call scheduled for 11:00 am ET. What to watch for: 1. GUIDANCE: On July 25, Caterpillar reported results for its fiscal second quarter and raised its forecast for fiscal 2017. The company […]
Euro May Overlook PMI Data, Pound Eyes Hammond Testimony
Eurozone PMI data is expected to show that manufacturing- and service-sector activity growth slowed in October. Meanwhile, the ECB Bank Lending Survey may offer clues about the extent to which the central bank’s QE effort has helped stoke credit growth. Neither seem likely to get a lasting reaction from the Euro however as traders await Thursday’s monetary policy announcement. Meanwhile across […]
Bi-Weekly Economic Review: Yawn
When I wrote the update two weeks ago I said that we might be nearing the point of maximum optimism. Apparently, there is another gear for optimism in this market as stocks have just continued to slowly but surely reach for the sky. Which is fine I suppose since we own the devils (although not […]
Economic Data Calls For Oct. 24
Here’s what we are looking for in tomorrow’s economic reports (Oct 24, 2017) — Good luck trading! 1. GE and EZ PMI’s (3:30 and 4:00 NY Time) — Bullish EUR — Potential for upside surprise given stronger industrial production and factory orders and higher German ZEW expectations 2. US PMI’s (9:45 NY Time) — Bullish […]
A Matter Of Life And Debt
Sit down. It’s time we had a serious talk. I hate to tell you this. But we’re broke. By “we,” I mean the US, Canada, Germany, Japan, and the UK. In fact, most of the developed world is holding historical levels of debt. Only a handful of relatively small countries are living within their means. […]
Staples At Risk
Of the seven different put options positions I’ve got, XLP (Consumer Staples) is probably my favorite, because its pattern is cleanest. From a long-term perspective, its uptrend is broken, even in this stupid new-highs-every-day market of ours: Looking closer, you can see the topping pattern is almost complete. A break below 53.52 would seal the […]
The 4 Possible Channels For A Chinese Financial Crisis
That China is a widely accepted global outlier in the context of credit, debt and leverage, look no further than the latest Financial Stability Report from the IMF, which in no uncertain terms lays out where China can be “found” relative to its G-20 peers in the following chart: Yet according to the IMF, China’s […]
Pound Falls On Growing Party Divide
The Pound Sterling fell versus the US Dollar during Monday trade in London as concerns over a division within the Conservative Party grows. Moreover, the interest rate outlook from the Bank of England is becoming increasingly cloudy which has left the Pound on jittery ground. Only last Friday, the Pound had recouped from the 11-day trough versus […]
