David (3)Futures & options trader, B.A. Economics - University of Colorado at Boulder.
StockJock-e (45)Options trader, technical analyst, drinker of microwaved instant coffee.
General stock market commentary
The following is an article published by Mark Vierra
If you see gold turning inverse to the S&P time and time again the S&P has turned the same direction as Gold.
Is it the cycle of the dog wagging the tail or am I looking at the tail wagging the dog? The same bad news that affects the S&P affects the dollar. When the dollar loses its value, goods, services, stocks and gold, everything go up in price.
Read the full article here.
The latest article from Mark Vierra about the US dollar:
“The USD has not been the only reserve currency for many years (e.g., SDRs and a substantial amount of euros are held by Central Banks). Also, many partners with China trade in yuan, sometimes referred to as the renminbi (CNY). However, all of this is a tiny fraction when looking at the enormous amount of U.S. global trade. The BRIC (Brazil, Russia, India, China) nations — and as of 2011, many consider South Africa the newest member of the BRICS — use other currencies when trading with each other, and are only a small minority of the total global trade. It’s important to remember that the largest trade partner is what normally determines the preferred currency.”
Read the whole article here:
http://m.seekingalpha.com/article/1052081
Our weekly stock market today thread is up and running. Every week have have intraday discussion on market activity and economic events that move the stock market.
Drop by the forums today!
Click here for this weeks Stock Market Today thread.
A great clip here from PBS talking about Iomega and the hype that surrounded the stock in the mid 90′s. The names change, the platforms, technology and investors are different these days, but the story always remains the same.
We are happy to announce the creation of our Investing Forum which will focus on… investing!
Whilst majority of the members on this forum are active traders, one must not forget that majority of us do indeed have longer term portfolios.
The new investing forum will create an area where investors can share and discuss strategies and techniques on how to invest for the long term.
This is a work in progress, so if you have any investing advice or suggestions, please drop by the new investing forum and share with the rest of us!
The latest Facebook rumblings have been mentioning a possible filing for an IPO this month. We have yet to see anything, and if the market turns south, Im sure the last thing FBOOK would want is to try IPO in a bad market.
There is an active thread on the fbook ipo going on the boards.
“While valuations for the company have gone to as high as $100 billion in private markets, an initial registration statement is all it takes to provide a much clearer picture of how Facebook’s metrics are faring.”
The financial markets exploded to the upside overnight with news of Europe’s triple resolution of their sovereign debt crisis. As I predicted in my letter only yesterday, the move has caught traders by surprise, enabling markets to break out to the upside from the recent ranges, and give this fall rally longer legs than most expect.
As I write this piece, the (SPX) futures have popped to 1275, a new high for this move. Ten year Treasury yields have ratcheted back up to 2.26%, and the dollar is in full flight against a basket of currencies. Here are the details in summary:
*Capital for the European Financial Stability Fund will be increased to €1 trillion.
*Greek debt will be written down 50%, halving the country’s debt to GDP ratio in one fell swoop.
*European bank capital ratios must be raised from 6% to 9% by June next year.
The market closed strong, even with banks lagging, which is an amazing feat!
Most notable is the strength in Google (GOOG:NASDAQ) which help the morning gap and closed strong on the day +4% at $591.
An interesting tidbit in the WSJ today:
Google Inc. (GOOG) said it will shut down its Buzz update service within a few weeks, closing the books on a controversial product that has been quickly overshadowed by the growing popularity of its Google+ social-networking site.
Shares were recently up 5.9% at $592.10 Friday, ahead of the broader market. The stock has gained 12% over the past three months.
Chief Executive Larry Page this week said Google+ now has more than 40 million users, reflecting the steep growth trajectory of a service the company only launched this summer. By comparison, rival Facebook Inc., which was founded in 2004, now has more than 750 million users of its social-networking service.
Apple Inc was the other great leading tech stock, closing just shy of a new 52wk high at $422. The new iphone 4S started hitting the shelves, as always, Apple fans going nuts for it!
Apple’s (AAPL:NASDAQ) latest iPhone arrived in stores Friday in the U.S. and a half-dozen other countries, as the company hopes to cement its position as the world’s leading smartphone maker. As has become the custom for Apple product launches, throngs of eager customers lined up in front of Apple’s retail stores to be among the first to get their hands on the new phone, the iPhone 4S. – WSJ
Browsing over the Trade Journals and Stock Tips section, I was really impressed with some very good analysis over the past few sessions.
Today we got slammed, the financial stocks were bringing the pain with -8% moves for BAC and Citi. The final hour of the day saw sellers hitting the bid right into the close. The S&P is now challenging the recent lows and fell below slightly during the session.
Through this selling, HSM member o7media has been making some impressive intra-day calls during trading hours on the Stock Market Today thread. He was also hitting the 99.94 percential in the CNBC million dollar challenge, coming in 191st place as of last week.
Binks watch list has had some very nice lower priced stocks that have made good move, his thread is also worth keeping tabs upon.
There are a ton of resources on hotstockmarket.com with tips from all kinds of traders on different trading strategies.
If you are getting started and are wondering on how to trade the stock market, I will be building up some links to different articles and resources here, adding them as I find more.
The most obvious place to start would be in our very own education section, we have years of articles written by some very knowledgeable traders. Let us start off with some basic money management contrubited by HSM member Chan.
This set of articles revolve around the topic of basic money management, and is a good start.
