Articles
The Week Ahead – US employment and inflation figures take centre stage
After coming off a fairly quiet, US holiday shortened week, traders will have a plethora of scheduled news to digest as the market continues to swing from risk-on to risk-off as it tries to predict what the Federal Reserves next moves will be. Equity markets drifted up, the US dollar drifted down as a resilient US economy and a dovish Fed minute...
Possible high return Swing Trade on USDCHF
The USDCHF has just reached a significant support zone providing a potential entry for a low-risk high return trade. In recent weeks the USD has an aggressive pulled back on the back of weaker then expected inflation figures. This has benefited the CHF and most other non-USD currencies as expectations of a potential pivot grow and money moves away ...
What is an Economic Bubble and how to identify it?
Economic Bubbles are highly damaging phenomena’s that occur in financial systems that can cause a great deal of loss and pain to investors and traders. It is important that traders can identify the signs of a Bubble to both capitalise on opportunities and protect against the risk they pose. What is a Bub...
US stocks continue rally on ugly PMI figures and dovish FOMC minutes
US indices finished another session up after a wild ride as the “bad news is good news” narrative saw a steep rally after disappointing services and manufacturing PMI’s were released, then sold off into the European close only to rally steeply again as what was considered dovish FOMC minutes were released late in the session. All major indice...
Shares of Deere rise as financial results exceed expectations
Shares of Deere rise as financial results exceed expectations Deere & Company (NYSE: DE) announced financial results on Wednesday for the fourth quarter that ended on October 30, 2022. The US manufacturer of farm machinery and industrial equipment reported revenue of $15.536 billion for the quarter, which was above analyst forecast of $13...
How to trade in low volatility conditions
The market in recent months has created exceptionally difficult conditions to trade. Low volatility and obscure price action has reduced the volatility available for traders to capitalise on. These conditions have affected FOREX, Equity, and Index trading. It has been specifically difficult for momentum and trend following traders as a certain leve...
Stocks, commodities and cryptos bounce, USD dips as risk-on returns
Another low volatility, quiet news day saw risk assets reverse Monday’s price action with US equities steadily rising throughout the session on lack of any obvious catalyst. Tech outperformed on the improved risk outlook with global risk appetite seemingly unperturbed by the continued ramp-up of Chinese COVID restrictions. The US dollar so...
Medtronic posts mixed results
Medtronic posts mixed results Medtronic Plc (NYSE: MDT) reported latest financial results for its second quarter of fiscal year 2023, which ended October 28, 2022 on Tuesday. The medical technology company posted mixed results for the quarter. Revenue reported at $7.585 billion (down 3% year-over-year) vs. $7.698 billion expected. Earni...
Why you need to know about Expected Value
Many traders early on in their trading journey may jump into trading without knowing if their system or edge can be profitable. The most important metric that a trader should measure their system on is by using expected value. This essentially wors out the average return that the system will return for every trade that it makes, considering both wi...
Stocks and Crypto down, Oil dumps and pumps as market goes risk off amid China COVID woes
US equities finished with modest losses in Mondays session of a holiday shortened week in a low volatility session. The Dow Jones dropping 45.42 points or -0.13%, the more risk sensitive NASDAQ underperforming finishing down 121.55 points or 1.09%. Scheduled news flow was light with only scheduled speeches from Fed voting members Daly and Me...
Zoom tops Q3 estimates
Zoom Video Communications Inc. (NASDAQ: ZM) reported third quarter financial results after the market close in the US on Monday. The US communications technology company posted better-than-expected results for the quarter, topping both revenue and earnings per share (EPS) estimates. Zoom reported revenue of $1.102 billion (an increase of 5% y...
Short-term buying opportunity on Bitcoin
Bitcoin has recently tested the lows of its price range that it reached in the immediate aftermath of the FTX crisis. A long opportunity has been brought about after the price bounced off these lows near $15,863. The hourly chart shows a potential good risk reward entry. The trigger for the entry is not just the fact that price has bounced off the ...
Markets continue to be uncertain as choppy conditions continue
Markets continue to be uncertain as choppy conditions continue It was another mixed bag for the equity market last week as traders and investors tried to make sense of the current rally. With the indices seemingly pausing from their rally the market is still yet to determine if this current momentum is a true reversal and a sign of a potenti...
JD.com beats expectations
JD.com Inc. (NASDAQ: JD, HKEX: 9618) reported its latest earnings results for the three months that ended September 30, 2022, on Friday. The Chinese e-commerce company had a solid quarter – beating revenue and earnings per share (EPS) forecasts. JD reported revenue of $34.373 billion (up by 11.4% from the previous quarter) vs. $34.145 billi...
FTX, a failure in Corporate Governance and effective risk management
The FTX bankruptcy case has been a fascinating study in the failure of corporate governance providing a warning to the Cryptocurrency industry that a lack of regulation will not excuse poor financial management and that these exchanges are not immune to failure. In the last week, the company engaged distressed company expert, John Ray III to tak...