Trading
September 8, 2019
The first week of September did not disappoint as we have now cracked the rangebound trading that punctuated the month of August. In case you missed it, the shortened trading week saw the NA indices bottoming on the first trading day of the week and month followed by a bullish kicking gap up on Wednesday trapping the shorts and resulting in the short squeeze and rally to close the week. The net result is that the SPY and QQQ are now less than 2% away from their all-time highs. Still, September is historically a volatile month so any errant tweet […]
September 1, 2019
August is now in the books and it was a volatile one. In the month of August, the North American indices shed some of their yearly gains but on a positive note ended the month well off the lows. Unfortunately for investors, September has a historically negative bias so that is one scenario we need to continue to watch out. This past week was a choppy one marked by gaps and reversals as we saw the markets buffeted by headlines risk, earnings, as well as lower volumes typically associated with summer vacations. For the past 2-3 weeks, indices have been […]
August 26, 2019
Sign up to our newsletter and be the first to receive the Weekly Perspectives newsletter delivered directly to your email inbox. Thank you to everyone who came out to this past Wednesday’s Summer Trader Social! It was a fun evening of food and drinks and a great way to wind down the summer. We also had a chance to give a proper send off to a couple of Meetup regulars who will be heading overseas. Safe travels Etienne Crete and Dale Miller – we’ll see you next time you’re back in Montreal! It’s the punch you don’t see coming – As […]
August 24, 2019
As we discussed in last week’s video, the game plan this week was to balance two opposing perspectives and timeframes. Going into the beginning of the week, on the short-term timeframes the buyers were in control however the major indices were still trading with full-timeframe alignment to the downside. In boxing, they say it’s the punch you don’t see coming that knocks you out. It took until Thursday until sellers were finally started to wrest control back from the buyers. On Friday while markets were pricing in comments from Powell, Trump threw the punch that no one expected and the […]
August 18, 2019
Sign up to our newsletter and be the first to receive the Weekly Perspectives newsletter delivered directly to your email inbox. I’m pleased to announce that our next Meetup is just a few days away. Unfortunately, we weren’t able to secure a venue for presentation so as the Summer season comes to an end we’re going to take this opportunity to have a hiatus from our regular presentation schedule and do a Summer social instead. Join me, Etienne Crete, and others in the Meetup community this Wednesday, August 21 as we take over the Sauvage Bar A Vin for a fun night […]
August 18, 2019
As I stated in last week’s video, “buyers need to continue to keep control and defend their levels else risk sellers stepping in and selling the pullback and flipping things back to full-time frame alignment to the downside“. This past week the bulls were met with a number of bearish macro scenarios and ultimately the bulls lost control and markets buckled due to the intensified selling. By mid-week sentiment had turned overly negative and compelled me to share the possible reversal, which set up the buying opportunities on Thursday and Friday. See – Overly negative. In the short term, the […]
August 15, 2019
I wrote about the possibility of a sell-off at the end of July in Watch Your Downside and since then markets have swooned down due to a number of macro and technical factors. While I think there is some more downside possible and that macro risk is real, sentiment has turned wildly negative in a short period of time so would not be surprised if we saw some respite in selling. The S1FI chart below shows that we now have fewer stocks above their 50day MA than we had even back in May when we had lower prices.
August 11, 2019
Sign up to our newsletter and be the first to receive the Weekly Perspectives newsletter delivered directly to your email inbox. Happy to report that I am now back in Montreal. I spent the last week in Playa del Carmen, Mexico and while the weather was beautiful I, unfortunately, caught a nasty case of food poisoning that left me spending most of my trip bedside. On the bright side, I did get a chance to binge-watch Season 1 of the new Amazon Original series The Boys which is about a group of vigilantes set on taking down corrupt superheroes who abuse their superpowers. Highly enjoyable spin […]
August 11, 2019
Markets broke to the downside this week but buyers stepped up creating a mixed technical picture. The short term momentum is to the upside but the technical damage has been done. Buyers need to continue to keep control and defend their levels else risk sellers stepping in and selling the pullback and flipping things back to full-time frame alignment to the downside. Lots of earnings on the tap for the coming week so expect continued volatility. In this week’s video, we look at the technical outlook for the VXX VX SPY QQQ IWM DIA EEM TSX TLT GLD XAUUSD GDXJ […]
August 5, 2019
Greetings from Playa Del Carmen, Mexico. Today the markets suffered their biggest losses year to date and as the markets careened lower and I had my own personal roller coaster ride after catching a nasty case of food poisoning that I’m chalking up to some not so well prepared seafood. Nothing quite like spending your vacation cooped up in your hotel room. Wish me a quick recovery! 😀 As I’ve been warning in the Weekly Market Outlook videos and last week’s heads up on the potential sell-off, after taking out the prior week’s lows, monthly lows, and turning the quarter […]