Hello traders everywhere! Adam Hewison here, co-founder of MarketClub with your mid-day market update for Tuesday, the 17th of July.
Like an addict, the market needs another fix and the drug pusher of choice is, of course, Ben Bernanke and his QE pills. The question on trader's minds these days: is the market going to receive another QE3 fix soon? Or are the markets just going to get the shakes and move back to the downside? A QE3 pill is needed if this market is going to get high again, on the upside.
It's very debatable as to whether the Fed and Bernanke have any more pills to sell. If Bernanke is out of pills, then this market will have to go cold turkey. The market will have to survive on its own strength and weaknesses and not some drug induced quantitative easing.
As for MarketClub, we will let the markets and our Trade Triangles do the talking.
TODAY'S MARKET MOVING SECTORS and STOCKS:
Percentage changes in stocks are relative to the S&P 500
| CONSUMER GOODS: -0.27% | Biggest Loser TSLA -5.08% |
| SERVICES: -0.41% | Biggest Loser JBHT -7.86% |
| HEALTHCARE: -0.42% | Biggest Loser VVUS -8.50% |
| ENERGY: -0.58% | Biggest Loser LNG -6.38% |
| TECHNOLOGY: -1.58% | Biggest Loser ZNGA -5.97% |
| FINANCIAL: -0.52% | Biggest Loser STT -5.43% |
| INDUSTRIAL GOODS: -0.69% | Biggest Loser WWD -5.70% |
| BASIC MATERIALS: -0.86% | Biggest Loser TC -5.85% |
| UTILITIES: -0.00% | Biggest Loser GRH -5.12% |
Now, let's analyze the major markets and stocks on the move using MarketClub's Trade Triangle Technology. Click Here to view today's video
P. J. O' Rourke said " Giving money and power to the government is like giving whisky and car keys to teenage boys."
I have been patiently waiting for a sign this month, but like many other past July's, it is frustrating and a good time to have taken a trading break. I do hear that there are cycle high dates on 7/20 and 7/30, but I have not seen it in print anywhere. I am looking for a high, perhaps at SP500 1375, but any trades will have tight stops. Looks like the dollar is pulling back. When that gets done there could be some fireworks to the downside, but I will need to see it before jumping in. Who knows, something out of left field may come any day now.
Adam,
Do you have a way to check volatility, such as VIX?
What symbol do you use for the Russell 2000 index?
Scharr,
We do not carry the index listing for the Russell 2000, but we do have the futures contracts and the ETF to track it. Please see below.
Futures – http://club.ino.com/members/scan/analysis/?s=NYBOT_TF.U12.E
ETF – http://club.ino.com/members/scan/analysis/?s=PACF_IWM
As far as the VIX goes we use the ETF VXX
http://club.ino.com/members/scan/analysis/?s=PACF_VXX
Best,
Jeremy
Also, IWM is the symbol for the iShares Russell 2000 Index Fund, and TZA is the symbol for the 3X inverse ETF based on it. It has puts and calls which have quite liquid trading characteristics.
I would not assume a big market roll-over at the end of an election year. Especially with so much at stake for each party.
I think you are more likely to see 1400 before you see 1300. It is just not the same market anymore.