Cross Market sentiment Research Case Open: The past 2 months' data showing that the fear of market comes from Dow, then it had a 8-12 hours delay to BTCUSD. I think the sentiment works in a way like this: When the market makers feel bad from the Dow, they bring the same sentiment to BTCUSD and regard BTC as a shit coin. When the market makers feel good from the...
It is important to understand that primary trends of stocks, bonds, and commodities are determined by the attitude of investors during unfolding of events in the business cycle. An understanding of the interrelationship of credit, equity, and commodity markets provides a useful framework for identifying major reversals in each. MARKET MOVEMENTS AND BUSINESS...
The reasoning behind this very important set of correlations!
JD.com has been in a downtrend since it topped early this year. This weekly chart shows why it is no longer an ideal sell short. The stock has declined steadily, losing more than 50% of its price value and JD is now at a support level that is strong, where buyers are likely to start moving in. At this time, a sideways pattern is likely, or a bounce up today if...
One of the ongoing debates in the US economy, still looming over the election date, is whether a trade deficit is bad or good. Donald Trump suggests that the trade deficit is bad as it means that the US is producing less than it could and hence people are left without jobs. Most economists, on the other hand (here are examples A, B, and C) do not agree with this...
Which low volatility ETFs have promising performance compared to S&P ? These ETFs may do better than S&P not by rising up faster, but falling down slower. Losses are big killers of long term gains, even if they don't do so well in the short term. For the Long term passive part of your portfolio, they may bring attractive returns with lower risk (drawdowns and...
You took a short position when you break through a symmetrical triangle in a downtrend. Then the position began its realization, becoming a profit deal, and the price was consolidated in the trade corridor, the continuation pattern - a rectangle. Then the price as expected continued its downward direction having broken the borders of the rrectangle. Now...
Continuing my look at currency value (see ), here's several ways of looking at "How much is that asset worth?" The green/red price bars are the S&P 500 . The green line is M2 money velocity , one measure of value and dilution of the US dollar. It's basically how many times our GDP could "buy" our money supply . It's interesting to notice how public...
I'm neither economist nor investment advisor, but the rise of cryptocurrency got me thinking about physical currency in America. Most of us know the U.S. Treasury prints money. Here's a chart, roughly, of how much they've been printing: There are several measures of money supply, but FRED:M2 is a fair picture of how much cash is out there. As you can see,...
This is an example of Gunbot trading with the Pingpong strategy. Gunbot is a multi platform crypto trading bot. About this strategy This strategy can be used for pairs that move up and down between a predictable price range for longer periods. You set fixed prices at which Gunbot should buy and sell, Gunbot will buy or sell as soon as the exact target is hit or...
USA30, Daily On the third Monday of October 1987, Black Monday, as it became known in the financial markets, happened. October 19 1987 saw the largest single-day fall in global stock markets, and the Dow Jones Industrial Average (USA30) also fell a record 23% in a single trading day. In Europe the UK FTSE100 (UK100) fell on the Monday too but worse was yet to come...
RV Simplified: I get this question all the time, and even though the concept is simple, many people have a hard time getting their heads around it. Here is snapshot of above at time of publish. Sept 19, 2018, 7:30am ET. As the above LIVE chart will not last more than a day.. accurately. ——————- Q- When DXY falls, WTI follows right? A- No.. they fall and...
Suppose that the deposit interest rate in the US stands at 1.5% and the interest rate in Europe stands at 0%. Let's also assume that the EURUSD rate is at 1.10 and that we do not expect it to move in the next year. Investors, aware of this situation would be willing to borrow from Europe deposit in the US, benefiting from the interest rate differential, and ensure...
Update Vol.3 - added more CME's Bitcoin futures dates.
As the trading war between the US and China edges closer, as Canada and the US struggle to hash out a NAFTA deal, as emerging currency markets implode, the markets are taking note of such fractious times by behaving based on risk sentiment. What this means is that in the short-term, if one monitors our risk-weighted index, which takes into account 9 risk-sensitive...
FA Vol.2
What's up guys, YoungShkreli in the building Warren Buffett has said that when he dies he wants his family's money to be put into an index fund. Warren Buffett and it seems like everyone else these days is in love with the index fund. I think buying an index fund is stupid - that's right stupid (sometimes). What is YoungShkreli on about? I mean, does he really...
Similar to dividend yield price:earnings (P/E) looks at the profitability of stock shares. A high P/E ratio means that stocks are becoming less profitable which indicates that they are overvalued. When the market becomes overvalued it is a sign to attentive investors to stop buying and think about closing positions. The more a market heats up, the more the...