Category: Financial Markets Update

FOR MONDAY: (9/25) Another tense weekend, as the war of words between U.S. President Donald Trump and Kim Jong Un escalated and North Korea threatened to launch a hydrogen bomb, leading to a prompt return of geopolitical concerns. There are also a lot of dire prophetic predictions and we have had our share of volcano and earthquake energy around the planet and stocks still managed to close near their highs—but not necessarily Nasdaq. Merkel elections over the weekend could swing the Euro a bit and weekend profit-taking there and that could create an impact.Continue reading

FOR FRIDAY: (9/22) Starting to think that the FOMC was a game-changer for the dollar and we’ll buy dips into Sunday night/early Monday. Gold still in trouble until 1275 comes in next week. Crude seems higher into at least Sunday night and we have to complete research around the rest of the month.Continue reading

FOR THURSDAY: (9/21) We have the Jewish New Year holiday on Thursday and that may create sluggish trade for stocks and bonds. We’re still wondering if the FOMC statement was a game changer. We are clear on weaker gold to 1275-1280 next and that could push the dollar above 9300 and issue a stronger weekly chart buy signal. Gold projecting 1200 into Christmas suggests that a dollar bottom is close and that a secondary high into early November may need to be bought. Stocks are too close to major resistance and NQ is really tiring but new highs are coming but a spill on Sunday/Monday looks likely. Meanwhile, pour out your pocketbooks to the troubled areas of the world with Puerto Rico and Mexico being ignored much too much—as if we’re jaded after Irma and Harvey.Continue reading

FOR WEDNESDAY: (9/20) Time for more fun and games. The feeling is that whatever Yellen says, the dollar will go down because of the following factors:

* Fed’s dot plot likely to go through a downgrade
* The storms might wreck Fed’s balance sheet plans
* Rate increases won’t necessarily tighten financial conditions
* Yellen’s future still hangs in the balance
* Hawkish Fed cries set to fall on deaf ears (again!)

The problem with all of these stories as there are often surprises.Continue reading

FOR TUESDAY: (9/19) Trade may be anxious to do anything before Trump opens his mouth at the UN. Expect something patriotic that will probably rally the market. Stock cycles seem supportive into the Tuesday night session and they usually take the market up before FOMC.Continue reading

FOR MONDAY: (9/18) Chances of the market coming off from 2500 on the S & P are strong if any bad news hits. We like to see the market down hard the Monday before FOMC so they can buy it back and we often see a 25-30 point dip. Usually we get a lot of congestive noise before FOMC and we’re not quite sure how the market will play out on Wednesday and we need a few more puzzle pieces before then. Has been hard to take anything home lately with a lot of saber-rattling with North Korea and others.Continue reading

FOR THURSDAY: (9/14) Stock cycles look lower for another day and probably also gold and we’ll be patient with this market. N. Korean missile move starting to show up again and that may create discomfort and market is too close to key numbers for any sane person to be buying. Crude now looks higher a few more days and we need to re-evaluate this market.Continue reading

FOR WEDNESDAY: (9/13) We continue to see lower gold and higher dollars into Wednesday and that should mean lower T-notes and higher stocks. Still, stocks look like they could run out of steam near 2500. Our prayers continue to go out to the new flood victims in Jacksonville, FL and in South Carolina. Continue to dig deep into your pocketbook and support those in need.Continue reading

FOR TUESDAY: (9/12) We continue to see lower gold and higher dollars into Wednesday and that should mean lower T-notes and higher stocks. Still, stocks look like they could run out of steam and retrace a bit into Wednesday. Our prayers continue to go out to the new flood victims in Jacksonville, FL and in South Carolina. Continue to dig deep into your pocketbook and support those in need.Continue reading

FOR MONDAY: (9/11) There’s little doubt that Florida will get hit by the hurricane at publication. Sometimes extreme gap downs on these events have nowhere to go but to recover and the S & P couldn’t break key support. The history of Hurricane Andrew in August 1992 had the US stock market down a week until Andrew dissipated into a tropical storm. Gold was higher. The dollar bottomed on the weekly chart a week after Hurricane Andrew was done. It looked like bonds remained bid for a few weeks after the hurricane.Continue reading