Tag: Gold (NYMEX:GC.Z18.E)

Hello traders everywhere. The Dow Jones Industrial finally succumbed to the pressure of the current market sell-off issuing a red weekly Trade Triangle at 26,303.35 after falling -431 points at it's lowest level in morning trading approaching the 50-day moving average which stands at 26,004.22. The move lower came after the DOW had been relatively unchanged the last couple of days as both the S&P and NASDAQ were under heavy selling pressure. All three indexes are currently trading down over -1.3% on the day.

The S&P 500 opened trading below its 50-day MA, that move lower came after the S&P briefly broke the 50-day MA yesterday. As it stands right now, the S&P is on track to post its worst weekly losing streak in a little over two years standing at three weeks. The next level of support to keep an one will be the 200-day MA standing at 2,765.77. A move below that level could signal a steeper sell-off.

Meanwhile, the NASDAQ continues to get pummeled as the tech sector is seeing the most significant losses. The NASDAQ is on pace to have it's the worst trading month since January of 2016. Key support lies at the 7,449.62 which is where the 200-day MA is. A move right below that level (7,443.10) will trigger a new red monthly Trade Triangle signaling a move lower is ahead.

Key Levels To Watch This Week:

Continue reading "Dow Jones Industrial Joins Sell-Off Party" →

Hello traders everywhere. A fear of rising interest rates is what is driving the latest sell-off in the stock market which is gaining steam for the third straight day. Interest rates were on a tear last week after the release of several pieces of strong economic data. The benchmark 10-year Treasury note yield rose to above 3.2% from around 3.06%. The 10-year yield also hit its highest level since 2011 last week and even though the U.S. Treasurys are not trading today in honor of Columbus Day that move has had a lasting effect.

The S&P 500 triggered a new red weekly Trade Triangle joining the battered NASDAQ while only the DOW remains in an uptrend. The DOW remains resilient, but how long can it fight off the downward pressure?

Crude oil and gold both issued new red daily Trade Triangles with oil posting its Trade Triangles in late trading on Friday moving to a sidelines position with both the weekly and monthly Trade triangles remaining green. Gold posted its red daily Trade Triangle in late trading Sunday night resuming the long-term downtrend that has been in play since April when the monthly Trade Triangle turned red.

Key Events To Watch This Week:

Continue reading "A Fear Of Rising Interests Rates" →

Hello traders everywhere. What looked to be another record-setting week mid-week has turned ugly the last couple of days with the DOW posting back to back 200 point losses to end the week and finishing down over -.3% on the week. The S&P 500 and NASDAQ will both have two daily losses to end the week with the S&P losing over -1% and the NASDAQ losing over -3.5%, triggering a new red weekly Trade Triangle, as the tech sector is experiencing yet another sell-off.

The recent weakness can be attributed to the mixed jobs report that shows a tightening job market that is pushing interest rates higher. The U.S. economy added 134,000 in September, well below the expected gain of 185,000. However, the U.S. unemployment rate fell to its lowest level since 1969. Job gains for August also received a sharp upward revision to an addition of 270,000 jobs from 201,000. Wages, meanwhile, grew by 2.8% last month on a year-over-year basis to match expectations.

The 10-year note yield rose to 3.227% and hit a fresh 2011 high while the two-year note yield advanced to 2.897%. Yields have been on the rise this week amid strong economic data.

Key Levels To Watch Next Week:

Continue reading "Back To Back Losses To End Week" →

Hello traders everywhere. Once again the DOW has reached a record high, this time at the opening of trading then heading higher from there. The move higher marks the fifth straight day that the DOW has traded higher. The reason for the continued optimism? better-than-expected jobs creation last month.

Private payrolls increased by 230,000 in September, the most since February, according to a report from ADP and Moody's Analytics. Economists had expected a gain of 185,000. The report is often seen as a preview of the government's nonfarm payrolls report, which is set for release Friday morning.

Decreasing fears of a global trade war have helped boost the stock market as we start the fourth quarter of 2018. This week Canada joined a trade deal between the U.S. and Mexico (USMCA). The agreement grants U.S. dairy farmers access to the Canadian market, while Canada agreed to effectively cap automobile exports to the States.

Next up, China. Can President Trump get a deal worked out with the Chinese government?

Key Levels To Watch This Week:

Continue reading "DOW Rallies To Another Record High" →

Hello traders everywhere. Barring a surprise it's widely expected that the Federal Reserve will announce that they are going to raise rates by 25 basis points today, making this the eighth time it has tightened policy and raised rates since 2015. Fed officials will also present some revised projections for future rate moves along with their outlook for inflation, employment, and growth.

This week's two-day policy meeting could mark the formal end of the "accommodative" level of rates the Fed has used to support the American economy since the onset of the 2007-2009 recession.

Crude oil has backed off its recent highs, the highest levels in almost for years, as Washington tried to assure consumers that the market would be well supplied before sanctions are re-imposed on producer Iran. The U.S. will apply sanctions to halt oil exports from Iran, the third-largest producer in the Organization of the Petroleum Exporting Countries (OPEC), starting on Nov. 4. The pending loss of Iranian supply has been a major factor in the recent surge in crude prices. Many analysts believe that the loss of Iranian oil will push the price of oil to $100.

Key Levels To Watch This Week:

Continue reading "Stocks Steady Ahead of Fed Announcement" →