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  • Finance 0

    DAX 30 At Risk Of Breaching Its January Low

    The German DAX 30 remains fragile and a soft NFP outcome (less than 190k) may trigger a slide below the January 2016 low of 9253, which, not dissimilar to a medieval trap door, could quickly open for a decline to the August 8 low of 8887. For the imminent downward trend to end, a break to yesterday’s high of 9628 is needed. If this happens then the DAX 30 may try to reach the January 27 high of 9927 over the next few weeks. However, bullish traders are probably better off trading the S&P 500 if they are expecting a good NFP report as its stance is already bullish and may therefore capitalise better on a good NFP reading. The S&P...
    On February 5, 2016 / By
  • Finance 0

    Is Now The Time To Buy Box Stock?

    Box The purchase of UStream by IBM (NYSE:IBM), and the dire financial straits of small cloud-based companies, puts a spotlight on Box (NYSE:BOX) as a stock to buy for a buy-out. After a 50% fall in the stock price, is now the time to buy Box stock? Source: BOX stock price chart by amigobulls.com Box originally rose to prominence for its simple cloud storage business model, but that quickly became commoditized and its second act is more promising. Box now bills itself as a content management and collaboration platform, developing new types of workflows and focusing on services for enterprises. It even opened an office in New York Cit...
    On February 5, 2016 / By
  • Finance 0

    BoE Keeps The 0.5% Rate

    On Wednesday, the EUR/USD major hit a three-month high at 1.1079, adhering still to the bullish tone. Overall, the risk aversion surrounding the greenback boosted the EUR and gave an additional push to the pair resulting in its best performance since the 7th of January. The latest US economic reports show a weakening in January’s KPIs (Key Performance Index) postponing the expected Fed rate hike in March and weakening the US dollar. Credits: Image via SouthEastern Star/ Flickr The pressure surrounding the dollar got even higher as the New York Fed representative Dudley mentioned in his recent release that the financial tightening will most ...
    On February 5, 2016 / By
  • Finance 0

    Health Equity Inc. Review

    Second Opinion  is a service offered to our Gold Members. Fellow member Anthony requested I review his rationale for entering a trade in Health Equity Inc. Anthony did a very good job oa screening out and excellent candidate as a contrarian trader to the long side. The question is this? Is (HQY) a buy at this current level? The stock chart on a historic basis implies that stronger historic support is below current levels but we are close. Daily RSI is oversold as well as the stock trading down below the 3rd standard deviation Bollinger Bands. While I do not put much weight on the Bollinger Bands on a stand alone basis when combined with the ...
    On February 5, 2016 / By
  • Finance 0

    Michael Kors Holdings Ltd.: Catching A Falling Knife?

    Wrtitten by Charles Mizrahi, Insider Wealth Alert “Everyone likes buying a bargain, but catching a falling knife is no fun at all.” -Wall Street Journal, January 21, 2016 Buying a stock at a bargain price AND catching a falling knife, are joined at the hip. Who wouldn’t want to buy a stock while its price is plunging…and see the price pivot and soar higher? Unfortunately, buying at the bottom bid and selling at the highest offer—when they do occur—are outlier events. Many times, a bargain price quickly become a bigger bargain in a falling market. Bernard Baruch warned: “Don’t try to buy at the bottom and sell at the top. Th...
    On February 5, 2016 / By
  • Finance 0

    Gold Stock Sector: Rubber, Meet Road

    The process of finding and confirming a bottom in the gold sector is now front and center as more of the fundamentals that actually matter come into place. To those fundamentals, we need to marry the technicals. We have consistently worked a theme that sees a comparison to the 1999-2001 bottoming phase in the gold sector. That was a time when stock markets topped out, an economic counter cycle took hold and gold began out performing most other items. Within this, we have also been considering the possibility of a final washout within the sector, whereby prices decline despite continually improving fundamentals. This condition was in play in...
    On February 5, 2016 / By
  • Finance 0

    TPP Moves To Ratification Phase

    A controversial trade agreement, the Trans Pacific Partnership, has been agreed by the trade ministers of its twelve constituent countries and now moves to a ratification process in member states. The signatory nations now have two years to obtain any necessary endorsement of the deal at governmental/parliamentary level before it can come into full force. TPP is a trade deal which embraces some 40% of global trade. The signatory states are Japan, Malaysia, Vietnam, Singapore, Brunei, Australia, New Zealand, Canada, Mexico, Chile, Peru and the United States. President Obama is a key supporter of TPP. In his opinion, it will safeguard US jobs: ...
    On February 5, 2016 / By
  • Finance 0

    It Is Not All About U.S. Jobs

    The U.S. nonfarm payroll report typically dominates the first Friday a new month. In recent years, it has become among the most important economic reports globally. Not today.   The market’s focus has shifted from Chinese stocks and yuan that dominated the first week or so, then oil, and now it is heightened concern about a U.S. recession. This means there is likely to be an asymmetrical response to the jobs report. Stronger than expected data is unlikely to deter those who think the U.S. is in or about to enter a recession. They will dismiss the employment data as backward looking, and a lagging indicator. A poor report will likely en...
    On February 5, 2016 / By
  • Finance 0

    The Case For A Bear Market In U.S. Stocks Growls On

    What does a bear market for the US equity market look like? Current conditions seem to fit the bill. The clues, after all, are piling up, including the early warning that’s still in progress via a relatively reliable quantitative tool—the Hidden Markov model (HMM). This is old news, of course, which means that it’s time to focus on early signs that the bear has run its course. Yes, it’s still early in the game on that score. But recognizing that the market’s bullish tide has probably turned leads to the obvious questions: What will a bottom look like and when will it arrive? No one really knows, but the toolkit that helped identif...
    On February 5, 2016 / By
  • Finance 0

    FTSE 100 Remains Bearish Ahead Of NFP

    The outlook for the FTSE 100 is little changed from yesterday. It’s choppy around the 5880 level and will continue to be so for the next few hours as traders tend to be hesitant to enter with fresh positions ahead of today’s U.S. Non-Farm Payrolls report. A Bloomberg News poll projects an NFP outcome of 190k from 295k, and for the unemployment rate to remain unchanged at 5%. My main case would be for a higher than expected NFP outcome to boost the FTSE 100 as U.S. stock markets gain (more people in work would highlight that the economy is doing better than expected). However, a very strong NFP may also trigger a selloff in crude oil p...
    On February 5, 2016 / By