V-Tops And V-Bottoms: Natural Gas Winter Volatility Is Back
Natural gas volatility has returned as traders attempt to price in variable heating demand expectations into the middle of December. After three straight days of rallying, today prices declined, and the decline was not small. The January natural gas contract pulled back almost 5% after reversing off the 60-DMA yesterday. As would be expected with […]
It’s More Than Just The Absence Of Acceleration, It’s The Synchronization Where There Should Be None
According to the latest ECB figures, as of yesterday total “liquidity” added to the European banking system for that central bank’s ongoing monetary “stimulus” was just shy of €2 trillion. The outstanding balance in the core current account (reserves) held on behalf of the banking system was €1.296 trillion. In the deposit account, banks are […]
McCain Mania Sends Dow Soaring To Record Highs As Yield Curve Collapse Continues
The longest short-squeeze streak in history continues… John McCain’s “Yes” at 1051ET seems to have been the catalyst that extended overnight gains into melt-up mania… (Small Cap smanaged to scramble back green on the day as Trannies rose 2%) But the Nasdaq remains red on the week… Futures show the crazy moves best… […]
OK, So Trees Don’t Grow All The Way To The Sky
Tempting fate — it never fails to disappoint. Yesterday’s regular trading day, after I proclaimed nothing could get in the way of this latest leg of a bullish trading wave, things did. Market participants who’d been riding an enormous wave of technology looked at their year-to-date gains in companies like nVIDIA (NVDA – Free Report) […]
Market Talk – Thursday, November 30
The tech sector took the label of responsibility overnight in Asia for the reason given for most declines. The Hang Seng suffered the most falling near 1.5% following Wednesday price action in the Nasdaq. Even Shanghai lost 0.6% which was a surprise given the promising PMI print (51.8% against a consensus of 51.4%). Energy and […]
Profit Taking Sweeps Tech While Large Caps Gain
There was a clear shift in market behavior as Large Caps enjoyed the fruit of renewed buying as Tech indices (Semiconductors mostly) felt the heat of profit taking. After weeks of tight gains in the Semiconductor Index it was an easy turn for profit takers to come in and push the market down; in the absence […]
Wanna Outdo The Market? Reweight It
Which alternative weighting scheme works best? There’s been a whole lot of noise made about strategic or smart beta in the past few years. Strategic beta represents a sort of middle ground ‘tween passive and active investing and seems a perfect niche for exchange-traded funds. Usually, strategic beta ETFs employ a transparent, if mechanistic, methodology […]
Moving Averages: November Month-End Update
The S&P 500 closed November with a monthly gain of 2.81% after a monthly gain in October of 2.22%. All three S&P 500 MAs are signaling “invested” and all five Ivy Portfolio ETFs — Vanguard Total Stock Market ETF (VTI), Vanguard FTSE All-World ex-US ETF (VEU), iShares Barclays 7-10 Year Treasury (IEF), and Vanguard REIT […]
Drilling Companies Lead The Precious Metals Market
Despite precious metals and gold/silver mining stocks going flat this year so far, the drilling sector performs quite nicely: Source: Simple Digressions To remind my readers – the DRILL index comprises the shares of the following drilling companies: Energold Drilling, Major Drilling, Orbit Garant, Geodrill and Capital Drilling. Note that the index can be considered as a […]
This Has Never Happened Before In Global Equity Markets
Unless the world comes to a very serious end overnight, global equity markets are about to do something they have never done before… rise for 13 consecutive months. Not one losing month so far in 2017… The global equity gauge was on course to finish November with its 13th straight monthly gain – the longest […]
