This is what we said in our analysis on EURUSD from earlier today about the FED Interest rate decision:
"Today is the FED Interest rate decision. This is the most important event right now.
Based on that we will see certain moves in the market. That's why we will wait for it in order to see in what direction we want to trade.
The question is not if there...
Today is the FED Interest rate decision.
This is the most important event right now. Based on that we will see certain moves in the market.
That's why we will wait for it in order to see in what direction we want to trade.
The question is not if there will be change in the interest rate - there won't be!
The question is when is that expected to happen in the...
We are waiting for FED's interest rate decision tomorrow.
This is the most important event right now.
Based on that a lot of trades are being taken and future moves are being determined.
That's why we recommend to not trade before such an important news.
Once we have a clear market direction, that's when we want to get involved.
What are the expectations and...
Liquidity is the whole ballgame
As I've watched the market rip higher amid massive federal deficits, extremely low taxes, and extremely low interest rates over the last several years, I've experienced a growing conviction that "liquidity is the whole ballgame" where markets are concerned. You can chart stock market performance largely as a function of how...
The analysis from yesterday is going as expected and it confirms the direction that we were looking at.
And that gives us an opportunity to look for short positions today!
But there are a few conditions!
Do not enter a trade now. We're still waiting for ECB interest rate decision....
We are witnessing a Crisis on par with LTCM, similar to the Russian Bond collapse.
The Reverse Repo pool can be used in Net Effect to raise Rates.
"Net" as it has another insidious component to it - Money Markets will again come under duress as the DX moves below Par at 100 Basis.
Money Market Funds are seeing large inflows as Primary Institutions are telling...
Credit to Lyn Alden on Twitter for the idea for this chart. As she quipped when she posted a similar chart, inflation is low... as long as you don't buy food, or a house, or commodities.
CPI inflation has been unusually low for the last decade
From 2010 to 2019, CPI (the Consumer Price Index, a popular measure of inflation) averaged 1.73%. That's a...
THIS IS THE DEFINITION OF A STOP HUNT!
we've all seen how the dollar has exploded over the past couple of days but NZD is not giving up without a fight you can see that every time the kiwi goes below .695 on the weekly candle it rushes back up before the week is over.
now fundamentally speaking, WE KNOW the RBNZ (New Zealand Central Bank) will be raising rates...
New monetary policy strategy.
Earlier this month, the European Central Bank (ECB) reconvened its policy review that was postponed since last year due to the COVID-19 pandemic. During the review, the central bank revised its current goal of achieving an inflation level of “below, but close to 2%” to the new goal of achieving 2% inflation with overshoots allowed....
Following the 2008 Financial Crisis, the Federal Reserve had to apply loose monetary policy measures in order to stabilize and stimulate the economy. The Fed started lowering the Federal Funds Rate back in late 2007, as a response to the rising unemployment at the time. This is the most traditional monetary policy measure, which aims to stimulate both businesses...
VNQ is one of the most popular REIT ETFs . The fund follows an index of corporations involved in the ownership and operation of real estate in the United States.
Property is definitely the "real good" par excellence, or at least it has been so far. And it is also true that the cycles of inflation and housing are still interdependent.
This ETF is in overbought...
GBPUSD reached 1,40. At the same time EURUSD is at 1,20
After the FED interest rate decision yesterday, we saw a stronger USD
and a sharp drop on both these pairs, which took price to their support levels.
Right now those moves could continue to the next possible levels,
Today is the most important day of the month for the future movement on EURUSD.
The interest rate decision and the comments during the press conference will couse big moves.
It's clear to everyone that there won't be changes in the interest rates but comments about any possible future changes will affect price immediately.
Our expectations: a downside push in...
The US10Y started trending up in February. This adversely affected the NAS100 as growth stocks started to feel the pinch of higher discount rates. The 10-Yr reached a high of around 1.75% at the end of March and then began to pull back (red vertical). This supported the NAS100 and growth stocks in general at first, but yields started to drift and the NAS100...
Today Bank of Canada will publish their interest rate decision.
We don't expect any changes, but there will be moves in the market! Last time in April,
the interest rate remained unchanged, however there was a 150 pips move in the first hour!
That's why we should expect moves today.
USDCAD is currently trading sideways, which is very likely to end today....
I like to challenge the "common wisdom of the crowds" on my channel. Today I did a side by side comparison on two asset classes that according to different wisdoms will appreciate due to inflation and rising rates. The winner Year to Date may surprise a lot of new investors.