Most Popular
1. It’s a New Macro, the Gold Market Knows It, But Dead Men Walking Do Not (yet)- Gary_Tanashian
2.Stock Market Presidential Election Cycle Seasonal Trend Analysis - Nadeem_Walayat
3. Bitcoin S&P Pattern - Nadeem_Walayat
4.Nvidia Blow Off Top - Flying High like the Phoenix too Close to the Sun - Nadeem_Walayat
4.U.S. financial market’s “Weimar phase” impact to your fiat and digital assets - Raymond_Matison
5. How to Profit from the Global Warming ClImate Change Mega Death Trend - Part1 - Nadeem_Walayat
7.Bitcoin Gravy Train Trend Forecast 2024 - - Nadeem_Walayat
8.The Bond Trade and Interest Rates - Nadeem_Walayat
9.It’s Easy to Scream Stocks Bubble! - Stephen_McBride
10.Fed’s Next Intertest Rate Move might not align with popular consensus - Richard_Mills
Last 7 days
CEREBUS IPO NVIDIA KILLER? - 18th Dec 24
Nvidia Stock 5X to 30X - 18th Dec 24
LRCX Stock Split - 18th Dec 24
Stock Market Expected Trend Forecast - 18th Dec 24
Silver’s Evolving Market: Bright Prospects and Lingering Challenges - 18th Dec 24
Extreme Levels of Work-for-Gold Ratio - 18th Dec 24
Tesla $460, Bitcoin $107k, S&P 6080 - The Pump Continues! - 16th Dec 24
Stock Market Risk to the Upside! S&P 7000 Forecast 2025 - 15th Dec 24
Stock Market 2025 Mid Decade Year - 15th Dec 24
Sheffield Christmas Market 2024 Is a Building Site - 15th Dec 24
Got Copper or Gold Miners? Watch Out - 15th Dec 24
Republican vs Democrat Presidents and the Stock Market - 13th Dec 24
Stock Market Up 8 Out of First 9 months - 13th Dec 24
What Does a Strong Sept Mean for the Stock Market? - 13th Dec 24
Is Trump the Most Pro-Stock Market President Ever? - 13th Dec 24
Interest Rates, Unemployment and the SPX - 13th Dec 24
Fed Balance Sheet Continues To Decline - 13th Dec 24
Trump Stocks and Crypto Mania 2025 Incoming as Bitcoin Breaks Above $100k - 8th Dec 24
Gold Price Multiple Confirmations - Are You Ready? - 8th Dec 24
Gold Price Monster Upleg Lives - 8th Dec 24
Stock & Crypto Markets Going into December 2024 - 2nd Dec 24
US Presidential Election Year Stock Market Seasonal Trend - 29th Nov 24
Who controls the past controls the future: who controls the present controls the past - 29th Nov 24
Gold After Trump Wins - 29th Nov 24
The AI Stocks, Housing, Inflation and Bitcoin Crypto Mega-trends - 27th Nov 24
Gold Price Ahead of the Thanksgiving Weekend - 27th Nov 24
Bitcoin Gravy Train Trend Forecast to June 2025 - 24th Nov 24
Stocks, Bitcoin and Crypto Markets Breaking Bad on Donald Trump Pump - 21st Nov 24
Gold Price To Re-Test $2,700 - 21st Nov 24
Stock Market Sentiment Speaks: This Is My Strong Warning To You - 21st Nov 24
Financial Crisis 2025 - This is Going to Shock People! - 21st Nov 24
Dubai Deluge - AI Tech Stocks Earnings Correction Opportunities - 18th Nov 24
Why President Trump Has NO Real Power - Deep State Military Industrial Complex - 8th Nov 24
Social Grant Increases and Serge Belamant Amid South Africa's New Political Landscape - 8th Nov 24
Is Forex Worth It? - 8th Nov 24
Nvidia Numero Uno in Count Down to President Donald Pump Election Victory - 5th Nov 24
Trump or Harris - Who Wins US Presidential Election 2024 Forecast Prediction - 5th Nov 24
Stock Market Brief in Count Down to US Election Result 2024 - 3rd Nov 24
Gold Stocks’ Winter Rally 2024 - 3rd Nov 24
Why Countdown to U.S. Recession is Underway - 3rd Nov 24
Stock Market Trend Forecast to Jan 2025 - 2nd Nov 24
President Donald PUMP Forecast to Win US Presidential Election 2024 - 1st Nov 24

Market Oracle FREE Newsletter

How to Protect your Wealth by Investing in AI Tech Stocks

Return of Stock, Oil and Forex Markets Volatility

Stock-Markets / Financial Markets 2018 Nov 22, 2018 - 11:44 AM GMT

By: FXCOT

Stock-Markets

Market volatility is back. Forex markets have seen whipsaws as the dollar index tries to price in a weakening US economy and a FED which is raising rates. Stocks have suffered a series of pullbacks this fall that have chipped away at much of their 2018 gains. Downbeat forecasts from former market leaders such as Apple Inc. and Facebook Inc. have raised questions over whether the past year’s gains can be justified. Adding to those worries, investors are already expecting a broader slowdown in corporate earnings growth as rising rates and a stronger dollar take a greater toll on profits.


The steep decline in US stocks has been led by the bell weather, APPL.

The stock held up during October’s stock-market rout, losing only 3%, while other highflying stocks like Amazon.com Inc. and Netflix Inc. tumbled by double digits. Apple appeared to be a safety play during that falloff, which erased roughly $5.5 trillion in global stock-market value. But a tepid revenue forecast earlier this month coupled with softening global growth, trade tensions, rising interest rates and peaking corporate profits have sent Apple shares tumbling. Other technology stocks were also slumping Monday, with Amazon, Google parent Alphabet Inc., Microsoft Corp. , Facebook Inc. and Netflix all falling at least 3.3%. Alphabet joined the rest of the so-called FANG stocks—Facebook, Amazon and Netflix—in a bear market as the tech-heavy Nasdaq Composite fell 3%.

Volatility is staying above 20 mark for over 4 weeks. This is unseen territory for investors for the last 12 months.

Oil prices edged higher Monday, reversing earlier losses as traders weighed whether the Organization of the Petroleum Exporting Countries and Russia would cut production at their next meeting. Light, sweet crude for December delivery rose 0.5% to $56.76 a barrel on the New York Mercantile Exchange, after trading as low as $55.08 earlier in the trading day. Brent, the global benchmark, settled up 3 cents at $66.79 a barrel.

EURUSD weekly

The weekly EURUSD charts show a long shadow which is clearly suggesting good buying below 1.13. The pair has now moved to the weekly highs above 1.1420. Over 200 pips above the lows can possibly mean a neutralisation of the downtrend. It could ignite a sharp uptrend based on short coverings. Our trade systems which is streaming trades to clients via trade copier is able to use trend changes and trend continuation and make money. It takes out all guess work from trading and simply follows the dominant trend. If you want to know how to do it, please email us or contact us. teamcot@fxcot.com

EURUSD H1

The hourly shows a smallish retracement to 1.1425. Expect good demand here a bounce. A failure here will lead to deeper retracements.

Dollar Index

The Dollar Index is showing signs of bearish pressure buildup. The reversal from above 97 is a sign of things to come. The next major support on the downside is 94. A move above 97.5 will build a case for 98.2.

US 10 year

The 10 year yield is now under 3.1%. Weakening data is now casting a shadow on FED ability to keep raising rates.

Homebuilder Confidence falls

A gauge of U.S. home-builder confidence fell sharply in November, dragged down by heightened affordability concerns in the housing market. The National Association of Home Builders on Monday said its housing-market index dropped by eight points to a reading of 60 in November, well below economists’ expectations and the lowest level in more than two years. The index measures builder confidence in the market for new single-family homes. Figures over 50 mean more builders see conditions as good rather than bad, which means that, despite the November drop, builder sentiment is still in positive terrain.

Jobless claims rise

Initial jobless claims, a proxy for layoffs across the U.S., increased by 2,000 to a seasonally adjusted 216,000 in the week ended Nov. 10, the Labor Department said Thursday. Economists surveyed by The Wall Street Journal expected 215,000 new claims last week. Claims for the previous week were unrevised at 214,000. The four-week moving average of claims, a steadier measure, rose last week by 1,500 to 215,250.

Household indebtedness continued to climb in the third quarter, with balances continuing to rise for almost all types of borrowing, the Federal Reserve Bank of New York reported Friday. In the third quarter of this year, total household debt increased for the 17th consecutive quarter to $13.51 trillion, more than 20% above the trough it hit in the second quarter of 2013.

By FXCOT

FXCOT is Investment Management firm specializing in futures and forex trading. We run a high return trading system for our premier clients. The trading systems uses four different strategies to take advantage of various market conditions. We also send daily trade setups and economic commentary.

© 2018 Copyright FXCOT - All Rights Reserved Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.


© 2005-2022 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in