Analysis Topic: Stock & Financial Markets
The analysis published under this topic are as follows.
Sunday, July 22, 2018
China is Now Officially at War With the US and Japan / Stock-Markets / Financial Markets 2018
By: Graham_Summers
It is not a war of guns and soldiers, but a war of finance.
The Trump White House is aggressively going after China on trade. Every other month we are seeing a new round of tariffs announced on hundreds of billions of dollars’ worth of Chinese exports.
China is retaliating by devaluing the Yuan against the US Dollar at a pace not seen since early 2016. In real terms, the 10% in tariffs the Trump administration will implement on Chinese goods has ALREADY been negated by China’s 14% Yuan devaluation.
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Saturday, July 21, 2018
Trumponomics Stock Market 2018 - The Manchurian President (1/2) / Stock-Markets / Stock Markets 2018
By: Nadeem_Walayat
Trumponomics in a nutshell can be summed up as a mish mash of policies built on tweets that has surprisingly so far delivered relative stock market strength for the broad US markets this year that has the Dow currently trading at 25,064 marginally up from at the start of the year opening level of 24,720 whilst standing up 7.5% a from its early April low of 23,300. So as the Dow chart illustrates the stock market has refused to FALL this year despite the chaos of the unfolding trade war that has been the focus of the mainstream press for 2018.
Friday, July 20, 2018
Gold Stocks Investment Wanes / Stock-Markets / Stock Markets 2018
By: Zeal_LLC
Gold’s summer doldrums are dragging on this year, with this asset slumping longer and lower than usual. Several converging factors are responsible. The stronger dollar has convinced gold-futures speculators to sell aggressively, and gold’s downside momentum has fed on itself. Investment demand has waned on the resulting weaker gold prices and euphoric near-record-high stock markets, but that should reverse soon.
Summers are usually gold’s weakest time of the year seasonally. So investors and speculators need to be mentally prepared for lackluster or bearish trading action this time of year. Market summers run Junes, Julies, and Augusts. And their first halves are simply devoid of the recurring outsized spikes in gold investment demand seen during much of the rest of the year. Thus gold prices tend to drift neglected.
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Friday, July 20, 2018
Custom Global Stock Market Indexes May Be Sounding Alarms / Stock-Markets / Global Stock Markets
By: Chris_Vermeulen
Over the past 4+ months, we’ve been working away trying to keep our readers aware of the risks and concerns that were originating out of some foreign markets and how that might relate to the US markets. We remember a point in time back in June or July 2017 when we, suddenly, started receiving emails and calls from moderately large Indian, Indonesian and other foreign development companies asking to schedule time for an “introduction call”. It is not unusual for us to receive cold calls from development firms looking for new projects, but at one point we were getting 2 to 3 calls a week.
Thursday, July 19, 2018
S&P 500 Just 2% Below Record High, But There's More Stock Market Uncertainty / Stock-Markets / Stock Markets 2018
By: Paul_Rejczak
Stocks were basically unchanged on Wednesday, as investors took short-term profits off the table following the recent rally. Is this a topping pattern before downward reversal, or just a quick flat correction before another leg up? Will quarterly earnings releases drive the market higher?
The U.S. stock market indexes were mixed between 0.0% and 0.3% on Wednesday, as investors' sentiment remained pretty bullish following the recent rally. The S&P 500 index reached the highest since the early February, as it slightly extended its short-term uptrend yesterday. It currently trades just 2.0% below the January's 26th record high of 2,872.87. The Dow Jones Industrial Average gained 0.3% and the technology Nasdaq Composite was unchanged on Wednesday.
Thursday, July 19, 2018
Stock Market Technical Picture / Stock-Markets / Stock Markets 2018
By: Christopher_Quigley
No two recessions are ever the same.
One of the best indicators of a possible recession on the horizon is the inversion of the American Treasury interest rate yield curves. Inversion means the yield on short term rates are abnormally higher than long term rates. With Jerome Powell, the FED chairman, publically committed to another two .25% interest rate hikes this year, it is highly probable that by year end the 2/10 year yield curve will have inverted. (Currently the spread between the 2 year and 10 year yield is only .26%). In the recessions of 2000 and 2008 the American economy experienced severe recessions within 22 months and 24 months, respectively, upon yield curve inversion.
Thursday, July 19, 2018
Economic Combustion Powering SPX to Test All-Time High? / Stock-Markets / Stock Markets 2018
By: Mike_Paulenoff
A big-picture perspective of the S&P 500 (SPX) shows that the most recent up-leg off of the June 28 low at 2691.99 has climbed to a new high at 2816.25, or +4.6%. In so doing, the SPX has hurdled its prior two significant rally peaks at June 13 (2791.47) and at March 13 (2801.90), positioning the index for upside continuation to my next optimal target zone of 2845-2860.
Should such a scenario unfold, the SPX, in effect, will be climbing towards a test of its all-time high at 2872.87 from January 26 of this year. Only a break below 2789 will trigger initial signals that the June-July up-leg needs a breather.
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Wednesday, July 18, 2018
Will the Fed’s Interest Rate Tightening Trigger Another Financial Crisis? / Stock-Markets / Financial Crisis 2018
By: Arkadiusz_Sieron
The recent currency and debt crises in Argentina and Turkey raise questions about the condition of the global economy in general and the emerging countries in particular. Are they merely isolated events without broader implications or are they canary in the emerging market mine?
This question is timely and worryingly justified in the context of the ongoing Fed’s tightening cycle and the ECB’s shy steps toward normalization of its monetary policy. Historically speaking, the Fed’s tightening used to end with some sort of market crisis, including U.S. recession and turbulences in the emerging markets which rely heavily on dollar-denominated debt (as a reminder, the dollar lending outside the U.S. stands at about $11 trillion today). As one can see in the chart below, practically all recessions in America occurred after the Fed’s tightening cycle.
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Wednesday, July 18, 2018
Stock Market Investor “Buy the Dip” Mentality is Still Strong, Which is Bullish for Stocks / Stock-Markets / Stock Markets 2018
By: Troy_Bombardia
The stock market’s “buy the dip” mentality is very strong right now.
The S&P 500’s pullbacks are becoming smaller and smaller, while the S&P 500 has started to break out.
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Wednesday, July 18, 2018
Stock Market Longer-Term Charts Show Incredible Potential / Stock-Markets / Stock Markets 2018
By: Chris_Vermeulen
Our weekend analysis of the markets continues to amaze our research team simply because we see so many other researchers continue to miss the signals. We’ve been calling this market bottom since the middle of February 2018 and we have stuck to our analysis even though we’ve taken some flack from others about it. Now, with earnings nearly upon us and the markets poised to either breakout higher or rotate lower, our longer-term analysis shows the markets are in pretty good shape for a continued upside rally.
This week, there are 214 companies reporting earnings data. Next week, there are 781 companies reporting earnings data. The following week, another 1003 companies release earnings data. Combined, we are going to have 1998 companies releasing Q2 earnings data and each of these, to some extent, could drive the markets higher or lower as this data is digested.
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Wednesday, July 18, 2018
A Better Yield Curve for Predicting the Stock Market is Bullish / Stock-Markets / Stock Markets 2018
By: Troy_Bombardia
The Treasury yield curve is flattening, which has some investors and traders turning bearish. Most people focus on the 10 year – 2 year yield curve, which is close to inverting.
*Investors and traders only need to be careful once the yield curve inverts. A flattening yield curve on its own means nothing until it becomes inverted.
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Wednesday, July 18, 2018
U.S. Stock Market Cycles Update / Stock-Markets / Stock Markets 2018
By: Jim_Curry
With the action seen in past months, it is time to take a look at what the various time cycles are saying in regards to U.S. stocks - as well as any particular technical indications that track the same.
Short-Term Cycles
In terms of time, as noted in our daily Market Turns report, the short-term cycles projected a trough for the SPX by the June 28th timeframe, plus or minus a day, with the index bottoming out at the 2691.99 figure - made right on that June 28th date. From there, the cycles called for strength into the mid-July timeframe - which we are obviously now into, and where another short-term peak is soon due with the 20-day cycle, though it can easily come from higher numbers than already seen:
Tuesday, July 17, 2018
Easy Money Over, Show Time Begins As Real Macro Battle Ahead / Stock-Markets / Stock Markets 2018
By: Submissions
The market went according to expectations and projections in the second week of July after the first week's huge bull reversal week. The bulls were able to retain their bull train momentum from the prior week and managed to do a decent job on the standard continuation upside pattern demonstrated by the consecutive higher lows and higher highs on the micro charts.
For the most part it was just a typical perfect week following our 4-hour white line projection chart. Initially rejected at the major 2800 level on the S&P 500, the bulls held the expected pullback with a low of 2765.75 on Tuesday night and eventually managed to wrap up the week around the highs at 2800 for the weekly candle.
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Monday, July 16, 2018
Markets Pay Attention Moment - China’s Bubble Economy Ripe for Bursting / Stock-Markets / Financial Markets 2018
By: Plunger
The economies of the world are at an inflection point. Enough data points have now presented themselves to be able to see the outlines of a major shift in the markets of the world. We are at a pay attention moment. There comes a time when a successful investor must make some hard decisions to position himself to be able to take advantage of opportunities down the road. The markets are telling us now is such a moment.
It’s time to sit up and pay attention to what Mr. Market is trying to tell us.
It appears we are at the top of the cycle, anecdotal evidence is now pouring in. But that is just a cyclical story. The bigger story is that major market forces that have been brewing in the system for 25-40 years are now coming to a head. They are now dovetailing with the cyclical turn and together they may cause a massive shift in the world’s economic structure which has been erected over these 25-40 years. Few can even imagine these changes let alone prepare themselves for them.
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Monday, July 16, 2018
Stock Market Uptrend Continues, But... / Stock-Markets / Stock Markets 2018
By: Paul_Rejczak
Friday's trading session was pretty much uneventful, as investors awaited the coming quarterly earnings releases season. The S&P 500 index continued to trade along the level of 2,800 and it's closer to breaking higher towards the late January record high. There are still two possible medium-term scenarios, but bulls are happier than a week ago.
The U.S. stock market indexes were mixed between 0.0% and +0.4% on Friday, as investors took some short-term profits off the table following the recent advance. The S&P 500 index traded along the level of 2,800. It reached the highest since the early February. It currently trades 2.5% below the January's 26th record high of 2,872.87. The Dow Jones Industrial Average gained 0.4% and the technology Nasdaq Composite was unchanged on Friday.
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Monday, July 16, 2018
Emerging Markets Could Be Starting A Relief Rally / Stock-Markets / Emerging Markets
By: Chris_Vermeulen
Over the past 4+ months, many emerging markets have come under pressure as the global markets were roiled by the sudden and relatively deep market retracement in early February. For many, this downward price trend has been frightening and somewhat disastrous. Recently, though, something new appears to be on the horizon that may be the early signs of renewed life for many Latin American, South American and Indian markets – early signs of support and a potential bottom formation in the works.
Our researchers have been following the recent moves in these emerging market ETF for Brazil, Latin America, and India with great interest because we believe in finding opportunities when many others may not be looking for them. We believe these early warning stages of a market bottom could be an excellent time to “forward think” any possible price recovery that may occur in the near future and to prepare for any success opportunities that may arise. Heck, we are traders and if the opportunity exists for a decent profit with little risk, we’ll investigate it.
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Monday, July 16, 2018
(Only) a Near-term Stock Market Top? / Stock-Markets / Stock Markets 2018
By: Andre_Gratian
Current Position of the Market
SPX: Long-term trend – The bull market is continuing with a top expected in the low 3000s.
Intermediate trend – In spite of recent market action, the intermediate trend from 2873 may have to extendits corrective phase.
Analysis of the short-term trend is done on a daily basis with the help of hourly charts. It is an important adjunct to the analysis of daily and weekly charts which discusses the course of longer market trends.
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Sunday, July 15, 2018
US Stocks Set For Further Advances As Q2 Earnings Start / Stock-Markets / Stock Markets 2018
By: Chris_Vermeulen
The upside price moves recently in the US Equities markets have been dramatic. While many people believe the US Equity markets are overvalued and setting up for a top, we believe just the opposite – that the US Equity market and strong US Dollar are attracting capital and investment from numerous internal and external sources. We also believe the Q2 2018 earnings season, which is just about to begin, could be an additional driving force for further price advances – with big upside moves ahead.
Sunday, July 15, 2018
Stock Market vs. Gold, Long-term Treasury Yields, 10yr-2yr Yield Curve 3 Amigo's Update / Stock-Markets / Financial Markets 2018
By: Gary_Tanashian
You have better things to do than read droning macro analysis or long, drawn out investment theses. It is a weekend in the dead of summer and for that reason we go easy this week; real easy.
The 3 Amigos are here to simply say that things are as they have been, with Amigo #2 (long-term yields) getting home and pulling back on cue, and the other two (SPX/Gold ratio & Yield Curve) still in process and indicating risk ‘on’ and ‘boom on’, respectively.
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Friday, July 13, 2018
Stock Market Outlook 2018 - Bullish or Bearish / Stock-Markets / Stock Markets 2018
By: Sol_Palha
There is no absurdity so palpable but that it may be firmly planted in the human head if you only begin to inculcate it before the age of five, by constantly repeating it with an air of great solemnity. Arthur SchopenhauerFinancial experts continue to state that the markets are going to crash, even though their record since this bull market started back in 2009 has been dismal to the say the least. To complicate matters, some of these same experts suddenly jump ship and start to paint a bullish picture until the markets start to pull back. Then they falsely assume that the markets are going to crash and start singing the “market is going to crash” song again.
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