Analysis Topic: Stock & Financial Markets
The analysis published under this topic are as follows.Thursday, May 10, 2012
How to Trade the VIX: Using the "Fear Gauge" to Hedge Down Stock Markets / Stock-Markets / Stock Index Trading
Don Miller writes: If you don't know already, it's time to learn something all serious investors should know: how to trade the VIX Indicator (VIX).
While most investors are scrambling to figure out whether the market is headed up or down, savvy pros use the VIX both as means of protection and a source of profit.
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Thursday, May 10, 2012
Dow Stock Index Reverses at Andrews Median Line / Stock-Markets / Stock Markets 2012
The ECB is opening the checkbook to protect their bond purchases in Greece and all is well again. With Bonds , the Russell index and SPY showing reversal signals the down move is probably over.
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Thursday, May 10, 2012
Stocks Bear Market Focus Point: Bull Trap confirmed – Following the leaders / Stock-Markets / Stocks Bear Market
Bull Traps at major market peaks are defined by failed upside breakouts. These short lived breakouts usually coincide with unrealistic and often delusional and ill-informed expectations of the future – hence the name. It is no accident that these emotional times also coincide with peak optimism and volume, not necessarily for the markets as a whole, but certainly for the market leaders. In this case it’s Apple.
And if this is really THE BULL TRAP pertaining to the peak of the current three year market top in equities and commodity prices, then price falls morphing into a full scale breakdown and a continuation of the bear market that more or less started in 2000, may become the new reality.
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Wednesday, May 09, 2012
Q.E.3 IS COMING! Stock Market MAP Analysis Part 4 / Stock-Markets / Stock Markets 2012
In Parts 1 thru 3 we established that the principles of MAP Waves is nothing new and I claim no credit for it. It is actually the first step and foundation of all EW theory which rarely is referred to, and even more rarely used by many of the experts around us.
So let us revisit the basic basic EW practical lesson 1 - what lines to draw and what information we can derive from them to establish with probable potential pivots target areas which meet EW wave validation criteria.
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Tuesday, May 08, 2012
VIX Ready to Rocket, Stock Market Ready to Crash / Stock-Markets / Financial Crash
Here’s another piece of evidence that the VIX may be going considerably higher. It nudged against an inverted Head & Shoulders neckline that targets 28.46 as a minimum advance and is pulling back for the breakout. Should this neckline be broken, as I believe it will, this becomes an argument for a much steeper decline in SPY/SPX in a third wave. The bounce that I had modeled for SPY is getting modified below..
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Tuesday, May 08, 2012
Stock Market Hangs In, But By A Thread / Stock-Markets / Stock Markets 2012
As summed up by Reuters below, the situation in Greece remains fragile:
Read full article... Read full article...Radical Leftist Alexis Tsipras began efforts to form a Greek government on Tuesday by renouncing the terms of an international bailout and threatening to nationalize banks in a statement likely to reduce his chances of success. His uncompromising stance may lower already slim chances of forming a coalition by scaring off the former ruling parties New Democracy and socialist PASOK, while further unsettling jittery investors.
Tuesday, May 08, 2012
Best Stock Market Performer This Year May Surprise Investors / Stock-Markets / Emerging Markets
Since the stock market's gate opened at the beginning of 2012, emerging countries were off to a fast start. Stocks in Brazil, Colombia and India galloped to the lead, increasing more than 10 percent within the first few weeks of the year.
By the time the end of April came around, Colombia had sprinted to the lead, followed closely by Thailand and the Philippines. All increased more than 20 percent in the first four months of 2012.
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Tuesday, May 08, 2012
Still Working The Stock Market Base... / Stock-Markets / Stock Markets 2012
Creating, and setting up, a longer-term base to trade in takes time. When you're in the agnostic phase of a bull market, and a 5-8% correction is needed, which allows for a large handling base to set up, it takes far more time than one would hope to be true. After all, isn't it easier to just crash down, and then just blast back up? That is naturally what all the bulls would like to see happen. Unfortunately, when you've been grossly overbought for months, the process is very low and very emotionally taxing. The market won't just blast back up, and it won't just blast down, either. A nice slow grind to the bottom over several months, two months and counting still, that feels like forever in the minds of all traders. Since we're still in a bull market, it feels like things should go faster, but that's part of the problem.
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Tuesday, May 08, 2012
Stock Market Short-term Forecasts Free Trial Access / Stock-Markets / Stock Index Trading
Dear Reader,
Virtually every minute of every trading day, all eyes – including mine – are on Wall Street, the financial epicenter of the world.
As a professional technical market analyst, I keep my finger on the pulse of the DJIA, S&P and Nasdaq, giving you the updates in the time frame that's important to short-term equity traders.
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Monday, May 07, 2012
How High Frequency Trading are Ripping Off Investors / Stock-Markets / Financial Markets 2012
For the past few years there have been an explosion in High Frequency Trading in Financial Markets. HFT have been around for quite some time since the early days from Deutsche Bourse. Ever since then HFT has spread its wing into the futures , options and foreign exchange markets and it encouraged more brokers to engage in algorithmic and black box trading.HFT Activity is Gathering Pace
It is now estimated that daily trading volume in the US market consists of more than 70% HFTs, in Europe it has more than 60% penetration and here in Asia it is more than 50% with strong growth in Singapore, Taiwan, Hong Kong , Japan , India and China is set to triple its HFT trading by 2013.
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Monday, May 07, 2012
U.S. Dollar and Manipulation Control the Stock Market / Stock-Markets / US Dollar
Over the weekend I had an interesting conversation with a local trader. We typically meet a few times a year to share our market outlooks, new trading tools and techniques, and usually finish our session off in a debate about the US market manipulation and how to trade around it.
Talking about market manipulation always opens up a can of worms and sparks some interesting theories… And while everyone has their own views and opinion on this subject I thought I would briefly share the main points I pulled from our conversation.
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Monday, May 07, 2012
The Stock Market Correction is Not Over / Stock-Markets / Stock Markets 2012
Current Position of the Market
SPX: Very Long-term trend - The very-long-term cycles are down and, if they make their lows when expected (after this bull market is over) there will be another steep and prolonged decline into late 2014. It is probable, however, that the steep correction of 2007-2009 will have curtailed the full downward pressure potential of the 120-yr cycle.
SPX: Intermediate trend - The intermediate uptrend is still intact and so is the extended short-term correction.
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Monday, May 07, 2012
Crazy Stock Market Moves Give Bears a Glimmer of Hope / Stock-Markets / Stock Markets 2012
Some crazy moves seen in the risk markets this past week, and potentially some important clues, but I suspect that not many traders are actually watching those clues, although they will do soon if those clues continue.
So what are these clues?
2 forex pairs I follow and have followed for a long time, especially over the past 3 years have been AUDUSD and NZDUSD, they imo are very important clues to where other risk markets will go.
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Sunday, May 06, 2012
Best Stock Market Indicator Ever / Stock-Markets / Stock Markets 2012
Courtesy of Doug Short. The $OEXA200R (the percentage of S&P 100 stocks above their 200 DMA) is a technical indicator available on StockCharts.com that can be used to forecast conservative entry and exit points for the stock market.
The OEXA is used to find the “sweet spot” time period in the market when you have the best chance of making money. See Is This the Best Stock Market Indicator Ever? for a discussion of this technical tool.
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Saturday, May 05, 2012
Stock Market Forecast for Coming Week / Stock-Markets / Stock Markets 2012
Situation does not change much from last week; in fact it becomes more complicated after US jobs report. It could be better if markets would get an assurance from Mr. Draghi, as it got from Bernanke in past week. Spain’s bond auction was good but declined in German bund yields are indicating the overall situation of riskier assets. Germany is now holding an important position but this type of bad PMI report may create lot of problems not only for them but also for whole world.
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Saturday, May 05, 2012
Paralyzed Fed, Economic Recovery Reality, The Emperor is Naked / Stock-Markets / Credit Crisis 2012
A "paralyzed" Federal Reserve Bank, in its "final days," held hostage by Wall Street "robots" trading in markets that are "artificially medicated" are just a few of the bleak observations shared by David Stockman, former Republican U.S. Congressman and director of the Office of Management and Budget. He is also a founding partner of Heartland Industrial Partners and the author of The Triumph of Politics: Why Reagan's Revolution Failed and the soon-to-be released The Great Deformation: How Crony Capitalism Corrupts Free Markets and Democracy. The Gold Report caught up with Stockman for this exclusive interview at the recent Recovery Reality Check conference.
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Saturday, May 05, 2012
Snap.........Goes The Stock Market.... / Stock-Markets / Stock Markets 2012
You cannot be surprised that the market took a big drop down Friday. The jobs creation report was well below expectations, which continues a series of economic reports that have come in weaker than expected these days. None of us want to see that, not just because it's bad for the market, but because it means that too many people are suffering without jobs. It tells us that the global economies are catching up to us. The United States was, basically, the wall of strength for the rest of the world, but the economy is weakening due to the problems abroad, problems that don't seem to have a good solution right now. The slowing in our own economy is rapidly accelerating. Just four to six months ago, there was improvement across the board. There was one economic report after another coming in with data stronger than the previous months. Now the same thing is happening in reverse.
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Friday, May 04, 2012
The Fed and ECB’s Hands Are Politically Tied… Bye Bye to Market Props / Stock-Markets / Credit Crisis 2012
As many of you know, my primary forecast regarding Europe is that the EU will be broken up and/or collapse within the coming months.
The reasons for this are political, financial, and monetary in nature. In bullet form they are:
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Friday, May 04, 2012
Stock Market Fear and SPX Toppings / Stock-Markets / Financial Crash
With the US stock markets surging nearly a third higher in just 6 months, the odds are rising for a major topping. As the best times to sell high, recognizing these events in real-time is very important for traders. But it is a big challenge due to the gradual way toppings unfold. An indicator that can really help is the famous implied-volatility fear gauges. They tend to exhibit unique and identifiable behaviors at toppings.
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Friday, May 04, 2012
Stock Market Free-fall Crash to Cycle Bottom / Stock-Markets / Financial Crash
We should see SPY continue to fall through its Cycle Bottom support at 136.13. It must go lower than the lesser Broadening Top trendline at the bottom of the chart.
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