Unfortunately for NFLX on the fundamentals side, they were ousted from Indonesia, which was a prime target for their international expansion endeavors, due to a failure to fulfill their censorship standards. Unfortunately for them, this simply adds to the list of bearish technical indicators despite 'buy' ratings from numerous sources. First, note the bearish...
When Apple was using the Power PC line of processors in their computers, I was extremely skeptical of them. Their operating systems prior to OS X were abysmal. They crashed all the time, and the availability of software for anything I wanted to do was scant. Then they started rolling out Intel processors, and updated OS, and a slew of performance upgrades and I...
There seems to be no shortage of bearish news on Crude oil lately. In fact, today's 'dark cloud cover' candlestick pattern is a bearish rejection of the level formed by Friday's close proves the little rally we saw on 2015-01-22 was merely just a short covering frenzy. Almost all the technicals indicate we are in a solid downtrend. The Aroon indicator is still...
The China crisis has the world's markets in panic mode. Stocks had the worst first week in history. Currencies are tumultuous and volatile. Its difficult to endorse the Euro for anything more than short term swing trades at best due to their own problems. Commodity currencies are sure to tank, and stocks are too volatile lately in my opinion. One good idea...
With the China crash still fresh on everyone's minds its time to ask if the Renminbi has bottomed out or if there is still room to crash. Based on the link attached, there seems to be the potential for a lot more bad debt that China is trying to avoid confronting, and probably couldn't even account for if they tried. On the technical side, note the massive...
Following logic from my linked post on Commodity Currencies such as the AUD, we can expect attention on the Euro as a safeguard. In fact, EURUSD is picking up as I write this post. At this point, I'd wait for a dip entering a trade, as a brief retracement is inevitable. However the MACD indicates a bullish turn, the OBV is showing increased bullish pressure and...
As we all know by now, the Chinese markets were only open 14 minutes before a crushing 7% loss tripped safeguards. Recently, news came out to the effect that we can expect a further devaluation of their currency. This will hurt commodity currencies like AUD. In fact, its slipping as I'm writing this. My short position is bolstered by massive pressure from...
A variety of technical indicators coupled with the Fed's recent rate rise may suggest a bearish outlook on the S&P 500. Note the gap up on 12/15 only to be followed by a gap down two days later, from which SPY was never able to recover. We also see tremendous pressure from above via the Ichimoku Cloud, but lots of room to fall from below. The MACD/RSI combo...
While the Fed is boasting good data supporting rate hikes, they neglect to mention the fact that 51% of Americans make less than $30K a year, or that they work more hours than any country in the world. Something else they focus on are broad market indices for which the top 500 companies carry the slack of the smaller cap companies which are feeling the weight of...
Largely a function of what crude oil is doing, the Canadian dollar simply cant keep up, even despite the rally in crude earlier today. Further, weak jobs data does not help. Although we have a nice 0.7403, the slope of the upper bounds steepens indicating the bears are awake. Also, there is a "dark cloud cover" candlestick pattern indicating a level was tested...
Following the strong bearish momentum from yesterday's ECB QE report, non farm payrolls came out positive, clearing way for the S&P to return to its former bullish rally. Even further, oil is expected to drop below $40 a barrel (finally), which is icing on the cake at this point. The technicals are behind us. Note that the OBV has increased sharply from...
The subtle news from the ECB came a bit unexpected as to the extent of Quantitative Easing. The fact that the expectation was so massively bearish caused the Euro to rally like crazy. Historically the Euro and SPY have been anti correlated (I've verified this personally), and as such we can expect a dip in stocks today. On the technical side, note the fact that...
Following the IMF's decision to add the Yuan to the SDR bucket. Fundamentally, this will imply a rush to stock up. Many central banks keep a reserve supply of other currencies, commodities, etc, with an emphasis on SDR's. This fact, coupled with the dollars eventual deceleration come an interest rate decision in December could imply that CNHUSD will be a good...
The markets appear to be pricing in QE and the impending rate hike from the Federal Reserve. The attached article explores this a bit. We have seen a massive depreciation in the Euro, and this will undoubtedly continue until 'liftoff' December 16th. In particular, we see a brief retracement amidst an overall bearish trend. The bearish wedge formation indicates...
In the wake of strong real estate data, we can expect a turn around for its respective ETF's such as the Vanguard ETF, VNQ. In addition to the fundamentals, there is a lot of reason to believe this might be a good long position. We've finally started to see some headway breaking the level at around $77, which also corresponds to a strong fibonacci level. There...
AUD has been rallying ever since the RBA rate decision, and strong PMI data. Meanwhile, the sentiment toward the Euro is bearish on account of the recent Paris tragedy. These two facts form 'perfect storm' of potential for AUDEUR, as we can clearly see. Now is not the time for optimal entry, as we've seen 5 years of consecutive rallying and are due for a...
In the wake of the Paris atrocity and increased efforts for military presence in Syria and the middle east in general, you can expect a rally in government contractor stocks. Pictured are three government contractor ETFs: XAR, ITA, and PPA. Notice the big rally today, suggesting buying pressure. This is confirmed via the OBV indicator. We see a lot of...
You'll be tempted to short SPY in the wake of the tragic terror attacks on France. But not so fast. Sure, these attacks but their effect on the financial markets is not nearly as detrimental as 9/11. The forex market did show a dip in the Euro, but not nearly drastic enough to be fearful. Nevertheless, expect extreme volatility as the markets scramble to...