EUR/USD Responds To Initial Support- Recovery To Offer Opportunity
EUR/USD Daily Chart Technical Outlook: EURUSD broke below a critical support confluence last month at 1.1679– ‘a region defined by the lower median-line parallel, the 23.6% retracement of the 2017 range and the 100-day moving average.’ The subsequent decline has taken out our initial support targets with price rebounding yesterday of the head & shoulders measured move at 1.1554. […]
Top-Performing Leveraged ETFs In First Year Of Trump’s Win
It’s been a year since Donald Trump came into power and his administration led to a boom in the stock market, pushing major indices to multiple highs on several occasions. The S&P 500 rose 21.6%, Dow Jones climbed 28.5% and the Nasdaq Composite Index soared 30.3% since Election Day. Per Goldman Sachs, Trump’s post-election stock […]
Due Diligence Requires Deep Dives Into Data
The data and analysis provider eVestment has issued a new white paper on “enhancing private equity manager selection with deeper data.” PE funds below the top quartile have not materially outperformed the public markets as a matter of history. So for an institutional investor, earning alpha is in large measure a matter of selecting the manager who […]
EC Consumer Credit Both Accelerating And Decelerating Toward The Same Thing
Federal Reserve revisions to the Consumer Credit series have created some discontinuities in the data. Changes were applied cumulatively to December 2015 alone, rather than revising downward the whole data series prior to that month. The Fed therefore estimates $3.531 trillion in outstanding consumer credit (seasonally-adjusted) in November 2015, and then just $3.417 trillion the […]
Gold’s Silent Comeback And The Middle Class Rebound
The middle class has been stuck in a rut – psychologically if not economically – for years, and they’re not afraid to admit it. Last year’s upset victory for Donald Trump in the U.S. presidential race was a manifest token of middle class angst.Opinion polls have shown that many of the anxieties expressed by the […]
Prone Energy Stocks
Oil has been completely bananas today. Aside from this insanity, energy stocks still have some interesting topping patterns. They’ve had tremendous strength for weeks, but I think they’re ready to flip lower. Here are a couple……… ……..and Apache……… I think the broad energy ETF symbol XLE does a good job showing how a reversal is possible.
Saudi Power Struggle Strengthens Crude, And The USD
Following three years of low crude oil prices, Saudi Arabian foreign exchange reserves continue to fall. After peaking at $731.2b in August 2014, reserves have fallen almost in a straight line. The latest data from September 2017 ($475.1b), shows that Saudi reserves are now below $500b. Given the Saudi riyal’s peg to the US dollar, […]
Inflation Won’t Cause Problems If The Increase Is Moderate
How Much Will Inflation Pick Up We’ve discussed inflation in previous articles. I think it will increase because the M2 money velocity is up, the NY Fed underlying inflation index is up, and the ISM manufacturing index is up. There has also been a further decline in the unemployment rate which should lead to inflation […]
Walt Disney (DIS) Could Become The Happiest Trade On Earth
Walt Disney (DIS) has been a horrible place to hide your money over the last five months. And lets face it, since 2015, the stock has gone nowhere. Now, I like everything Disney! Growing up in Florida, and still living in Florida today, I thoroughly enjoy heading over there for a half day and jumping on Space […]
Morningstar’s Dominance: The Good, Bad And The Ugly
No one likes to follow the herd, but almost everybody does. Following the herd feels safe… right up until the point where the herd leads you right off a cliff. “The Morningstar Mirage,” a recent article from the Wall Street Journal, shows the dangers of herd-following in the mutual fund industry. Despite the repeated warning […]
