Hotlines
Can’t Win Them All
Sometimes all the technical and fundamental indicators point in a certain direction but the markets still end up heading a different way. This situation is the case with our TLT and GDX put positions. Considering the time and price that underlie each trade, it seems best to exit while we can still get something for them. When […]
Get Ready for a Change in Direction
Stocks appear to have peaked short term. Emerging markets and commodities have rolled over. U.S. stocks have shown some short-term weakness but we expect prices to fall more precipitously in the days ahead. We are watching closely the action in the U.S. dollar, which has been weak of late. If the dollar strengthens, gold and […]
Time to Buy Volatility
As we mentioned in our alert earlier this week, artificial market forces seem to be keeping stocks propped up going into quarter’s end. But a different picture is manifesting itself in the underlying market technical indicators. While April is seasonally a good month for investors, we believe these technical factors will lead to a bumpy start […]
Witnessing Window Dressing as the Quarter Ends
The stock market got what it wanted yesterday from Fed Chair Janet Yellen. Interest rate hikes are on hold and the reason is global uncertainty. Given the fragility of the world economy, the risk of raising rates and a strong dollar is just too high right now. Markets soared here in the United States on […]
Leaning Short with No Options
The market has had a tremendous run. The Dow Industrials has run up 2,000 points since Feb. 8. The S&P 500 has advanced more than 12% in the same time period. After a run like that, it is time for a pause. We are adding two new exchange-traded fund (ETF) positions to our ETF Trader’s […]
Sell When You Can, Not When You Must
We have seen a tremendous run in oil and our related Russia trade over the last two weeks. We are sitting on gains of more than 170% in our USO options spread and 101% on a Russia ETF option, not to mention the 13% and 10% in the USO and RSX ETFs, respectively. Those returns are […]
Fed Day, Get Ready for Some Big Moves in the Markets
The Fed plans to announce its decision on interest rates and monetary policy later today. The U.S. central bank is not expected to announce an interest rate hike today but the question will be when it will happen next. We’re sure the Fed will offer language today that gives the central bankers some flexibility but […]
In Front of the Bankers
During the next two weeks, three of the world’s major central banks will be announcing monetary policy moves. The Europeans and Japanese need more economic growth, as they have already implemented quantitative easing (QE) and negative interest rates. What comes next will most likely be either action the market is already building into expectations or further […]
Book Some Gains and Go Back to the Well
The first order of business is to sell our XLF March $21 Calls (XLF160318C00021000) and XLU March $46 Puts (XLU160318P00046000). We expect to book a profit of 45% on the XLF trade and a 20% gain on the XLU trade. We are taking the gains while we can as the stock market is reaching our […]
Stocks Are in No Man’s Land Waiting for the Next Move
The stock market rally has stalled. The S&P 500 traded as high as 1,946 on Monday and since has given up 50 points to the downside. We are placing on hold all open positions within the ETF Trader’s Edge portfolio. We are waiting for the market’s next move before recommending any new trades. If there […]
Jim Woods is a 30-plus-year veteran of the markets with varied experience as a broker, hedge fund trader, financial writer, author and newsletter editor.
His books include co-authoring, “Billion Dollar Green: Profit from the Eco Revolution,” and “The Wealth Shield: How to Invest and Protect Your Money from Another Stock Market Crash, Financial Crisis or Global Economic Collapse.” He’s also ghostwritten many books and articles, as well as edited content for some of the investment industry’s biggest luminaries. Read more about Jim Woods.
