What To Look At In The Market
« Previous EntriesGrowth By Contraction!
Thursday, September 2nd, 2010In what seemingly is a contradiction, Europe is proving that you can grow by shrinking. If you don’t believe that’s possible, look no further than the EU GDP figures reported this morning. GDP figures came in showing growth of 1.9% vs. an expectation of 1.7%. But wait a second, isn’t the EU enacting austerity measures?
Yes, […]
Hello September!
Wednesday, September 1st, 2010The markets this morning are clearly relieved to be done with the month of August which was a doozy for equities and commodities. On this first day of September, risk appetite has returned to the market as US stock futures are higher on the heels of Asian and European stock market gains.
Much of the catalyst […]
A Japanese Conundrum!
Tuesday, August 31st, 2010In the overnight markets, the Nikkei average fell some 3.6% to close at its lowest level in more than a year. This came as a result of the emergency Japanese monetary policy meeting that failed to produce measures that would cause Yen weakening. There has been much speculation over intervention in the currency, which hasn’t […]
Yen in Focus!
Monday, August 30th, 2010CURRENCY WEEKLY OUTLOOK
by Abe Cofnas
FOCUS ON USDJPY
The theatre of action for this week is first and foremost the USDJPY. What happens there will be a major landmark of global market direction. The Yen is clearly a barometer of risk aversion versus risk appetite. Japanese economic weakness, while clearly a function of a multi-decade consumer […]
All Eyes On Jackson!
Friday, August 27th, 2010As in Jackson Hole, WY, where the annual KC Fed Meeting is taking place and where Fed Chairman Bernanke is due to speak at 10AM EST. So the markets have been trading in a bit of a range going into that meeting and the revised US GDP figures, which are due out at 8:30 […]
Risk Appetite Returns- For Now!
Thursday, August 26th, 2010This morning global stock markets are higher, rebounding from 7-week lows. This has encouraged a bit of risk taking, but the question remains: how long will it last?
US weekly initial jobless claims came in at 473K, besting analyst expectations of 485K and better than last week’s reading of 504K. While one week does not make […]
Here We Go Again?
Wednesday, August 25th, 2010Yesterday, S&P downgraded Ireland’s sovereign debt which sent bond yields higher for the troubled Euro zone nation. However, German business confidence figures came in better than expected which has counter-balanced the regions prospects and is providing a bid for the Euro.
Here in the US, Durable goods orders came in worse than expected and yesterday’s dismal […]
Race to the Bottom, 2.0
Tuesday, August 24th, 2010Risk aversion is clearly the theme this morning in the markets as heightened fears of economic slowdown are weighing heavily on world markets. While economic data as of late hasn’t been horrible, it is the constant fear-mongering from government and banking types that keep the markets on edge.
Case in point: Some British policy-maker (who I’ve […]
Three to Watch!
Monday, August 23rd, 2010WEEKLY OUTLOOK 8/23/10
By Abe Cofnas
THREE CURRENCY PAIRS PROVIDE GOOD TRADING THIS COMING WEEK
This week I want to highlight currency pairs that are likely to move and are the least “noisy” as the week starts. The general idea is that the best trading occurs when the price action is probing or breaking Support […]
How to Play the Bounce!
Friday, August 20th, 2010CLASSICAL BOUNCE TRADE SET UP
by Abe Cofnas
This morning I saw a classical set up for a bounce trade and I can’t resist providing it to you.
Using a 15 minute chart on the USDJPY we see two Bollinger Bands. The standard band has a 20 and 2 set up. The additional band, I am […]