Market Wrap

January 23 Market Wrap — Slight hangover following ECB exuberance

As has so often happened in the past, with our own Fed announcements, Thursday’s ECB announcement received a joyful response with lots of buyers hitting the tape with the knowledge that the ECB was filling in for the Fed and that the central banks surely have our backs and won’t let the nasty […]

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January 22 Market Wrap — Bullish reaction to ECB

The initial reaction to the ECB announcement this morning was a quick pop up but then selling. The bearish setup we had, looking for one quick high and then a selloff was looking good until the dipsters arrived. The spike down in the morning was followed by a stronger spike back up and that had […]

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January 21 Market Wrap — On hold for ECB

With the Fed mostly out of the QE picture (for now) all eyes and ears are on the ECB to see how much QE they’ll launch. A leak of information this morning about what the ECB will do may have been a test of the market’s reaction. Equity futures had declined during the overnight session and the cash market […]

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January 20 Market Wrap — Waiting for the ECB’s next move

Following the choppy after-hours sessions between Sunday night, Monday morning and Monday night into Tuesday morning, the market opened with a relatively small gap up but the sellers smacked the market right back down following the open. After the initial spike back down the market chopped […]

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January 16 Market Wrap — Bounce into the weekend

As can be seen in the tables above, nearly all indexes finished in the red for the week, something that is unusual for an opex week. The market got a nice oversold bounce on Friday, which cut the losses for the week and the month in half but obviously the month of January continues to go poorly for the […]

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January 9 Market Wrap — Change in character

Friday started off with a small pop up at the open, thanks to the NFP report, but then immediately sold off. SPX dropped 26 points high to low by mid-morning and then spent the rest of the day in a choppy bounce before giving back some of its bounce into the close. The NFP report was actually […]

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January 8 Market Wrap — Fed and ECB to the rescue

Wednesday evening the Chicago Fed President Charles Evans was sent out to rescue the market (a day late since the market had already bounced off Tuesday’s low but it was for safety sake) and futures ramped higher. He said the FOMC should continue to exercise caution with interest rates and not be in […]

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January 7 Market Wrap — Oversold bounce

Today was spelled R-E-L-I-E-F. Following 5 straight-down sessions off the December 29th high, today’s bounce was a relief to investors who are starting to worry about the idea that this market can’t go down. Exceeding 3 straight-down days, on Monday, had broken a string that was not broken in all of 2014. […]

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January 6 Market Wrap — Another bad day for the bulls

More worries about oil’s decline (where’s the bottom?) is spooking more investors out of their stock positions out of fear of a slowing economy. The strong decline in the price of oil is already rippling through the businesses that provide products and services to the oil industry. The dollar consolidated today […]

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January 5 Market Wrap — Broken record

Today’s loss for SPX was the 4th straight day in a row, which is the first time it has done that since December 2013. Pretty amazing when you think about that — in all of 2014 SPX never declined for more than 3 straight days. So we’ve started off 2015 on a different footing than last January, although the end […]

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