Jump to content

Welcome to the new Traders Laboratory! Please bear with us as we finish the migration over the next few days. If you find any issues, want to leave feedback, get in touch with us, or offer suggestions please post to the Support forum here.

  • Welcome Guests

    Welcome. You are currently viewing the forum as a guest which does not give you access to all the great features at Traders Laboratory such as interacting with members, access to all forums, downloading attachments, and eligibility to win free giveaways. Registration is fast, simple and absolutely free. Create a FREE Traders Laboratory account here.

Do Or Die

Divergence Trading Strategy- Advanced

Recommended Posts

Hi,

 

This follows from the RS- Internal thread.

 

I have been able to code the classic divergences to a satisfactory level without a future looking formula. The peculiarity of this method is that it detects a divergence before the second consecutive peak/trough actually occurs on chart (anticipatory discovery). This eliminates the huge lag in decision making caused by waiting to confirm the second peak/trough. See this chart:

attachment.php?attachmentid=26836&stc=1&d=1323333376

 

Most codes that I've seen around either use a future looking formula like zig-zag and/or wait for the confirmation of second peak/trough. By the time the second consecutive pivot is confirmed, market has already moved away by few bars. In V-shaped pivots, the move is already over if one goes by the traditional way of comparing two peaks on prices vs. an oscillator.

 

More charts:

attachment.php?attachmentid=26835&stc=1&d=1323333376

attachment.php?attachmentid=26837&stc=1&d=1323333376

attachment.php?attachmentid=26838&stc=1&d=1323333376

 

BTW, the 'advanced' word in title is more of a cliche; the strategy is actually basic (conceptual); i.e. mark opportunity when a stock seems to move lower while it's internal relative strength actually increases.

 

I will be calling some signals live in this thread, so it will also serve the purpose of a journal, to improve the strategy.

AAPL.thumb.png.16c0d7ce7ed56cd6015e8565a14fe6dc.png

5aa710ba4f0fa_ibmzoom.thumb.png.7ba3286cf4d4399726c07ed4bdd89021.png

IBM.thumb.png.206ece6e28784d626ba277e67dd0e1f1.png

AET.thumb.png.45f98de80fd6b352d6bfd912092e85dd.png

Edited by Do Or Die

Share this post


Link to post
Share on other sites

Earlier detection of RSI divergence also helps in keeping tighter stop. So it helps in both reducing the risk and maximizing potential reward. I use the most recent pivot high, bar high or support as stop loss.

 

Shorts triggered in VRSN, DGX, AET, CMS, EOG, ETN, NSC, SLB, FDX.

Share this post


Link to post
Share on other sites

RSI is still completely based on price. So the divergence is between raw price and a means of measuring price. Divergences that only look at price do not consider the forces that drive price.

 

More reliabe divergeces are the ones between price and the buying and selling volumes that propel price.

 

The chart below shows a session low in the ES where there was an obvious lower low in price but at the same time there was a higher low in the indicator of buying a selling strength and that the higher low in the indicator actually came before the lower low in price.

 

tpt615.jpg

 

More Price/Balance of Trade Divergences:

 

tpt605.jpg

 

 

tpt609.jpg

 

 

nnt2.jpg

 

 

tpt598.jpg

 

 

tpt599.jpg

 

 

Cheers,

 

UrmaBlume

Share this post


Link to post
Share on other sites

The point is that price is not the best predictor of price and that trade imbalance is what drives price. Thus divergence between raw price movements and the forces that drive price stand to deliver a more reliable signal than divergence between price and just another measure of price.

 

Measures of divergence between price and RSI, MACD and Stochastic are not really so much divergences as a matter of process and settings on the same input.

 

However divergences between price and indicators based on order flow/balance of trade with price as no part of their calculation measure a divergence between price and what drives price. A much more reliable indicator with a greater depth of information.

 

The herd uses RSI, MACD and Stochastics and for using those original, state of the art tools and techniques the herd is rewarded as blind, unthinking, uncreative followers should be rewarded.

 

Information = Equity

 

If your information is the same as everybody else's then expect to have the same result as most everybody else and we all know what that is.

 

UrmaBlume

Share this post


Link to post
Share on other sites
Hello,I think you have written a lot about the 'herd mentality' and your 'proprietary' indicator. So I asked you to log a live trade record (in another thread).thanks.

 

I thought the topic here was "Divergene Trading Strategy - Advanced."

 

My point is that divergence trading using RSI, MACD or Stochastic is hardly advanced and has been known and used by the herd for decades with herd type results.

 

As to a live trade record - its your thread so why not post one.

 

My post is about Divergence Trading and discusses divergence between price and the force that propels price instead of the difference between 2 different measures of price which is really no true divergence at all.

 

I have mentioned no product, service or site here. My posts have been on topic and so should your replies.

 

The topic here is Divergence Trading and I say that a Divergence/Difference between price and the forces that drive price is truer measure of divergence than a difference between price and just another measure of price.

 

UrmaBlume

Share this post


Link to post
Share on other sites
I thought the topic here was "Divergene Trading Strategy - Advanced."

 

My point is that divergence trading using RSI, MACD or Stochastic is hardly advanced and has been known and used by the herd for decades with herd type results.

 

Good to know that you read the title. I wish so much that you also read the first few lines of post before hurrying to promote your indicator.

As to a live trade record - its your thread so why not post one.

ROFL.

 

Amazing.

 

All the signals I posted are in profit. I will post live signals, which are a good proxy for my analytical methods. I do not need to post actual trades because I'm not and do not ever intend to solicit money for indicators or money management.

 

I will leave you now to re-think before attempting another off-topic post.

Share this post


Link to post
Share on other sites

Trade Records and whether or not I am a vendor are hardly to topic. Yes, indeed, I do run a software company and I have paid TL for a sponsored thread where I discuss my products. Here, in this discussion of Divergences, you have made much mention of that - I have made none.

 

My premise is that Divvergences that note RSI, MACD & Stochastic are old news and have been used ineffectively for decades by public/retail traders who don't seem to be able to see beyond the sameO, sameO.

 

The second part of that premise, still on the topic of divergence, is that measures of divergence between price and indicators that consider the buying and selling volumes/forces that propel price offers a much more reliable indication of both divergence and pending change.

 

In numbers, a very, very small percentage of total traders make money long term. Also that same very small percentage of traders make a very, very big percentage of the total money that is made.

 

My money bet is that of that very small percentage of those who make all the real money in this game are using Price/RSI divergences. What a huge laugh you would get if you took that approach to any profitable, tech-based trading or hedge fund operation today.

 

How say you?

 

UrmaBlume

Share this post


Link to post
Share on other sites
Trade Records and whether or not I am a vendor are hardly to topic.

Since you asked, you have posted historical charts with colorful indicator. You are promoting a particular indicator, which is only available on payments. Unlike you, I have taken the pain to explain my method in great detail.

 

What a huge laugh you would get if you took that approach to any profitable, tech-based trading or hedge fund operation today.

 

FYI, there are thousands of vendors on internet who claim their indicators are 'scientific' using all the 'scientific' terminology. Apparently many also claim to successfully pick the tops and bottom, similar to your posted charts. How many call their trades live? How many have guts to register as CTA and stop relying on income from selling indicators? I've come across only one DISFA Global. Goodluck in your career.

 

In any case, I will try to ignore any off topic posts, and concentrate back on trading :cool:

Share this post


Link to post
Share on other sites

There are many indicators both free and for sale that read order flow and the balance of trade - not just mine.

 

I say that divergences between price and the forces that drive price are more useful than divergences between price and just another calculation of price.

 

So, if the topic here is divergence as a strategy then which do you think should be more useful - price compared to price or price compared to the forces that drive price.

 

Readers here are more interested in learning better sources of trade decision support information than they are hearing you complaining about me being in the software business.

 

Everybody already knows about divergences between price and RSI, MACD and Stochastic - far fewer know about divergences between price and order flow.

 

If the whole purpose of Trader's Laboratory is the rational disucssion of trading techniques and technologies, then I propose this question to you and other readers here

 

Which form of divergence seems to offer more reliable/useful trade decision support information:

 

Divergences/differences between price and a recalculation of price or

 

Divergences/differences between price and the buying and selling volumes that

propel/motivate price?

 

No reason to get mad or feel threatened - Here I have merely put forth both a premise and a question, both of which are completely on topic.

 

UrmaBlume

Share this post


Link to post
Share on other sites

If the whole purpose of Trader's Laboratory is the rational disucssion of trading techniques and technologies, then I propose this question to you and other readers here

 

Which form of divergence seems to offer more reliable/useful trade decision support information:

 

Divergences/differences between price and a recalculation of price or

 

Divergences/differences between price and the buying and selling volumes that

propel/motivate price?

 

 

Let me repeat it (perhaps) fourth time icon10.gif

 

I am maintaining a log here about the strategy which you call 'herd mentality'.

 

You go ahead and log live trades for whatever you feel is the greater truth.

 

Let PnL speak louder than charts.

Share this post


Link to post
Share on other sites

posting a picture of a 10 pt run- took 6.5 out of it- from today from 11:51 est. This is my entry chart so you cant see the whole move on this chart. also will leave discussion of what the lines on chart are out of it. key is you see the dvg from the thick blue line. Dvg is based on price and volume not oscillators. Top bars are price.

5aa710ba8f654_dvgtradedecember.thumb.jpg.e2cd97df9c6844e5ebf07ab65cd55226.jpg

Share this post


Link to post
Share on other sites
posting a picture of a 10 pt run- took 6.5 out of it- from today from 11:51 est. This is my entry chart so you cant see the whole move on this chart.

 

LOL, more historical charts. Strange why people shy away from logging a live track record. One more and I will dump this thread to start another in Traders Log section.

Share this post


Link to post
Share on other sites
One more and I will dump this thread to start another in Traders Log section.

 

Well said. The title of the thread implies it is to be a discussion about divergences and trading strategies related to divergences, if not and it is to just be a log of your trades you should have said so.

 

Yet still the question remains:

 

"Which form of divergence seems to offer more reliable/useful trade decision support information:

 

Divergences/differences between price and a recalculation of price or

 

Divergences/differences between price and the buying and selling volumes that

propel/motivate price?"

Share this post


Link to post
Share on other sites

Actually I mentioned in the first post that this thread is for maintaining log of live signals.But apparently you did not read that in a hurry to post charts of your 'proprietary' indicator.

 

Yet, the question still remains:

How many call their trades live? How many have guts to register as CTA and stop relying on income from selling indicators? I've come across only one DISFA Global. Goodluck in your career.

 

Historical charts with mysterious 'holy grail' indicators form the perfect recipe to trap newbies icon10.gif

Share this post


Link to post
Share on other sites
LOL, more historical charts. Strange why people shy away from logging a live track record. One more and I will dump this thread to start another in Traders Log section.

 

It seems to me that people feel like they will lose something more than money if they post live trades. I have tried endlessly to get others to post trades. My feeling is that if you are going to say you are capable of doing something, then you should be willing to show it.

 

I did it in the S&P 500 short term trading log ( I think that is the name) and I do recommend it. You will feel a bit vulnerable, but that feeling passes and as your ego gets tamed. A tamed ego is important to a trader.

Share this post


Link to post
Share on other sites

Continued from the starting posts...

 

dgx, aet, cms, etn, nsc, slb, fdx, are in favor.

 

eog and etn somewhat dangerous.

 

No long signals, yet. All trades on daily charts only, because they can be conveniently posted in non-market hours. If feasible, I will try to post maybe few on intraday time frame such as 2-minute.

 

PS: Do not post in this thread the following, you are always free to start your own thread:

1. Charts with mysterious black-box indicators

2. Claims about profitability of a method without log of live trades

3. Please read the starting post, inclusive of these sentences:

"BTW, the 'advanced' word in title is more of a cliche"...

"I will be calling some signals live in this thread, so it will also serve the purpose of a journal..."

Share this post


Link to post
Share on other sites

First I apologize. I thought this was a thread on discussing divergence trading. I thought that the traders log section was for people posting a log of their trades and trading method. My mistake.

 

Second I posted because I agree with Urma about methods of reading divergence that do not depend upon oscillators like RSI etc.

 

Third using delta candles to read divergence is hardly black box and I am willing to bet there are other good traders on this forum that use delta candles the same way I do.

 

Fourth I have been running a free skype room for 18 months where I share my trades live and other share theirs as well. The room has about 30 to 40 members maybe more so there are plenty of folks that can attest to my live trading.

 

Fifth what good is a log other than an ego massage. Open or join a skype room and call your trades as they happen so the world can see in real time the entries and exit. Posting a log is just another way of past posting.

Share this post


Link to post
Share on other sites

First, if someone *really* wants to teach me something useful I would willfully bow in respect.

 

Second, it is usually a good practice in forums to read someone's post before replying. In the case something is not clear, straightforward attacking shows the insecurity of the poster. My method of marking a divergence, as explained previously, cannot be found on internet or textbooks. In any case if it gives some the right to call it 'laughable' and 'herd mentality', I'll let my live log speak who is laughable here.

 

Third, you made a small post with a chart that had no labels. "key is you see the dvg from the thick blue line." How do you suppose for me to learn about the blue line? and how to assume delta candles?

 

Fourth, I'm done running a private forum for strictly professional traders. I'm done running chat rooms before that. And I think this stuff is totally off-topic to this thread.

 

Fifth, it is usually a good practice in forums to read someone's post before replying. In the case something is not clear, straightforward attacking shows the insecurity of the poster. I used the word 'live' along with tradelog every time. Posting within minutes of signal generation is irrelevant if working on daily time frame. For example, the two short calls on AAPL mentioned here http://www.traderslaboratory.com/forums/stock-trading-laboratory/10662-stocks-model-2.html lack hindsight completely. Similarly the signals I mentioned in this thread are supposed to be carried for weeks, (that is called daily time frame), so they are credible enough even if posted after market hours.

 

PS: Do not post in this thread the following, you are always free to start your own thread:

1. Charts with mysterious black-box indicators

2. Claims about profitability of a method without log of live trades

3. Please read the starting post, inclusive of these sentences:

"BTW, the 'advanced' word in title is more of a cliche"...

"I will be calling some signals live in this thread, so it will also serve the purpose of a journal..."

Share this post


Link to post
Share on other sites

Do Or Die,

 

It's very easy to stop the arguing or debates (depending upon how it's looked at) via asking the forum manager to change your thread titled to the following...

 

RSI Divergence Trading Strategy (Live Calls Only)

 

or

 

RSI Divergence Trading Strategy (Real-Time Trades Only)

 

I say that because when I read the titled and then I see the discussion...it's a little confusing because your first message post seems as if you're the one making live calls and that there's "no requirement" for others to make live calls.

 

Edit - I enjoy reading threads with live calls (real-time trades or real-time price action discusions)...it's just as useful or arguably more useful than hindsight analysis.

 

Out of curiosity, how do you select which stocks to monitor for RSI Divergence trade signals. Meaning, do you follow a specific type of stock and only watch those stocks for RSI divergence setups. ???

Edited by wrbtrader

Share this post


Link to post
Share on other sites

Actually I thought the same for a moment, but gave up on the idea immediately because the title does not gives anyone the right to call strategy useless. Also, I do not censor discussions without live calls, but if someone is promoting a method religiously, he should provide a credible trade log. Refer to MightyMouse's post, there was similar post from Tams deleted for being blunt.

 

I'm running the scan for divergence on SnP 500 symbols only; days on which there are 5 or more signals are preferred.

 

As per my username, 'Do Or Die'; challenges inspire me, and short-term failures motivate to improve long-term strategy. So loving all the 'arguments' :)

 

PS: Do not post in this thread the following, you are always free to start your own thread:

1. Charts with mysterious black-box indicators

2. Claims about profitability of a method without log of live trades

3. Please read the starting post, inclusive of these sentences:

"BTW, the 'advanced' word in title is more of a cliche"...

"I will be calling some signals live in this thread, so it will also serve the purpose of a journal..."

Share this post


Link to post
Share on other sites
First I apologize. I thought this was a thread on discussing divergence trading. I thought that the traders log section was for people posting a log of their trades and trading method. My mistake.

 

Second I posted because I agree with Urma about methods of reading divergence that do not depend upon oscillators like RSI etc.

 

Third using delta candles to read divergence is hardly black box and I am willing to bet there are other good traders on this forum that use delta candles the same way I do.

 

Fourth I have been running a free skype room for 18 months where I share my trades live and other share theirs as well. The room has about 30 to 40 members maybe more so there are plenty of folks that can attest to my live trading.

 

Fifth what good is a log other than an ego massage. Open or join a skype room and call your trades as they happen so the world can see in real time the entries and exit. Posting a log is just another way of past posting.

 

 

Very well said Hunter.

 

Delta or my moving window of order flow are hardly mysterious black box indicators. While they haven't been around as long as RSI, MACD & Stochastic, many traders are starting to find they improve the efficacy of thier trading and offer more setups than merely spotting divergences.

 

It may be that the resistance to discussing anything other that price/price divergences is because the topic is out of the OP's depth. Price/Price divergences which are not real divergences at all have been around forever and discarded by those that have suffered the cost of trading them.

 

Price/Price divegences are hardly divergence because how can price diverge from itself. Divergence between price and buying and selling volumes is another matter and can be a very effective means of noting either reduced or increasing strength behind price.

 

Price/Price divergence advanced? Hardly. There is indeed a place for logs and that's where this guy should post his "advanced divergence trading strategy."

 

UrmaBlume

Share this post


Link to post
Share on other sites
@URMA Would you mind posting some charts showing examples of where your divergence worked and regular price divergence did not work please.

 

Wow, more historical charts for the mysterious black box indicator.

 

The indicator for which Mr. Vendor cannot share code or make live calls.

 

PS: Do not post in this thread the following, you are always free to start your own thread:

1. Charts with mysterious black-box indicators

2. Claims about profitability of a method without log of live trades

3. Please read the starting post, inclusive of these sentences:

"BTW, the 'advanced' word in title is more of a cliche"...

"I will be calling some signals live in this thread, so it will also serve the purpose of a journal..."

Edited by Do Or Die

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.


  • Similar Content

    • By millonmethod
      Hello everyone!
      I am an advanced trader, with many years of experience (about 15 years - 10 living exclusively from this)
      I am going to give you some tips that you must know:
      There are going to be many people who tell you that trade is easy, that with only crossiing a line  with another one you will win a lot of money.... and that´s not true.  No, Sir, reality is far away from that. Many people who start arrive here with the hope that someone "gives them" a free method, they watch youtube videos thinking that this will give them the "strategy" and in a few days they realize that it does not work for them - they lose money - and then They go looking for a new one ... and so on. YES, IT´S TRUE YOU EARN IN TRADING, A LOT. BUT THINK: for a few to win (10% + any BROKER) many others must lose (90% people). YOU MUST HAVE A MONEY MANAGMENT FORMULA ( you can email me) People study so many years to live on this, not because they are dumb, but to know what they do, when, and have absolute effectiveness. It´s very easy to get lost here: do not disperse, jumping from one to another strategy WILL NEVER give you money, it will only waste your time and make you nervous when trading. PEOPLE WHO CHANGE THEIR METHOD CONSTANTLY : LOOOOSE ALWAYS.   If you have the knowledge to develop it, take your time and do it.  Always try it first on DEMO for at least 2 weeks! If not: search to buy a solid strategy (no you tube videos pleassse ! Avoid losing money! ) This is like any business, it requires some capital to start (capital = money in the broker + solid made /purchased strategy) If you are lost: I RECOMMEND YOU NOT TO WASTE TIME IN YOUTUBE, JOIN PEOPLE WHO HAVE EXPERIENCE AND IF YOU ARE GOING TO BUY A METHOD ... PLEASE !!!! DO NOT BUY 10 BAD AND CHEAP METHODS, SAVE MONEY AND BUY ONLY 1 BUT EXCLUSIVE AND MUST ALLWAYS HAVE SUPPORT !!!!!  Do not buy Signals! They never keep up with constant profits! One week will win and the next will lose. Nothing that does not depend absolutely on you will give you the money you are looking for. And if you do not have a strategy (made or purchased) do not even try PLEASE PLEASE PLEASE: DO NOT USE REAL MONEY! AT LEAST 2 WEEK DEMO FREE HELP HERE!!!!!  IF YOU FOLLOW MY ADVICE YOU WILL BE PART OF THAT 10% WINNER, email me.
      Have a nice trading day
       
       
  • Topics

  • Posts

    • Date: 16th April 2024. Market News – Stocks and currencies sell off; USD up. Economic Indicators & Central Banks:   Stocks and currencies sell off, while the US Dollar picks up haven flows. Treasuries yields spiked again to fresh 2024 peaks before paring losses into the close, post, the stronger than expected retail sales eliciting a broad sell off in the markets. Rates surged as the data pushed rate cut bets further into the future with July now less than a 50-50 chance. Wall Street finished with steep declines led by tech. Stocks opened in the green on a relief trade after Israel repulsed the well advertised attack from Iran on Sunday. But equities turned sharply lower and extended last week’s declines amid the rise in yields. Investor concerns were intensified as Israel threatened retaliation. There’s growing anxiety over earnings even after a big beat from Goldman Sachs. UK labor market data was mixed, as the ILO unemployment rate unexpectedly lifted, while wage growth came in higher than anticipated – The data suggests that the labor market is catching up with the recession. Mixed messages then for the BoE. China grew by 5.3% in Q1 however the numbers are causing a lot of doubts over sustainability of this growth. The bounce came in the first 2 months of the year. In March, growth in retail sales slumped and industrial output decelerated below forecasts, suggesting challenges on the horizon. Today: Germany ZEW, US housing starts & industrial production, Fed Vice Chair Philip Jefferson speech, BOE Bailey speech & IMF outlook. Earnings releases: Morgan Stanley and Bank of America. Financial Markets Performance:   The US Dollar rallied to 106.19 after testing 106.25, gaining against JPY and rising to 154.23, despite intervention risk. Yen traders started to see the 160 mark as the next Resistance level. Gold surged 1.76% to $2386 per ounce amid geopolitical risks and Chinese buying, even as the USD firmed and yields climbed. USOIL is flat at $85 per barrel. Market Trends:   Breaks of key technical levels exacerbated the sell off. Tech was the big loser with the NASDAQ plunging -1.79% to 15,885 while the S&P500 dropped -1.20% to 5061, with the Dow sliding -0.65% to 37,735. The S&P had the biggest 2-day sell off since March 2023. Nikkei and ASX lost -1.9% and -1.8% respectively, and the Hang Seng is down -2.1%. European bourses are down more than -1% and US futures are also in the red. CTA selling tsunami: “Just a few points lower CTAs will for the first time this year start selling in size, to add insult to injury, we are breaking major trend-lines in equities and the gamma stabilizer is totally gone.” Short term CTA threshold levels are kicking in big time according to GS. Medium term is 4873 (most important) while the long term level is at 4605. Always trade with strict risk management. Your capital is the single most important aspect of your trading business. Please note that times displayed based on local time zone and are from time of writing this report. Click HERE to access the full HFM Economic calendar. Want to learn to trade and analyse the markets? Join our webinars and get analysis and trading ideas combined with better understanding on how markets work. Click HERE to register for FREE! Click HERE to READ more Market news. Andria Pichidi Market Analyst HFMarkets Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.
    • Date: 15th April 2024. Market News – Negative Reversion; Safe Havens Rally. Trading Leveraged Products is risky Economic Indicators & Central Banks:   Markets weigh risk of retaliation cycle in Middle East. Initially the retaliatory strike from Iran on Israel fostered a haven bid, into bonds, gold and other haven assets, as it threatens a wider regional conflict. However, this morning, Oil and Asian equity markets were muted as traders shrugged off fears of a war escalation in the Middle East. Iran said “the matter can be deemed concluded”, and President Joe Biden has called on Israel to exercise restraint following Iran’s drone and missile strike, as part of Washington’s efforts to ease tensions in the Middle East and minimize the likelihood of a widespread regional conflict. New US and UK sanctions banned deliveries of Russian supplies, i.e. key industrial metals, produced after midnight on Friday. Aluminum jumped 9.4%, nickel rose 8.8%, suggesting brokers are bracing for major supply chain disruption. Financial Markets Performance:   The USDIndex fell back from highs over 106 to currently 105.70. The Yen dip against USD to 153.85. USOIL settled lower at 84.50 per barrel and Gold is trading below session highs at currently $2357.92 per ounce. Copper, more liquid and driven by the global economy over recent weeks, was more subdued this morning. Currently at $4.3180. Market Trends:   Asian stock markets traded mixed, but European and US futures are slightly higher after a tough session on Friday and yields have picked up. Mainland China bourses outperformed overnight, after Beijing offered renewed regulatory support. The PBOC meanwhile left the 1-year MLF rate unchanged, while once again draining funds from the system. Nikkei slipped 1% to 39,114.19. On Friday, NASDAQ slumped -1.62% to 16,175, unwinding most of Thursday’s 1.68% jump to a new all-time high at 16,442. The S&P500 fell -1.46% and the Dow dropped 1.24%. Declines were broadbased with all 11 sectors of the S&P finishing in the red. JPMorgan Chase sank 6.5% despite reporting stronger profit in Q1. The nation’s largest bank gave a forecast for a key source of income this year that fell below Wall Street’s estimate, calling for only modest growth. Apple shipments drop by 10% in Q1. Always trade with strict risk management. Your capital is the single most important aspect of your trading business. Please note that times displayed based on local time zone and are from time of writing this report. Click HERE to access the full HFM Economic calendar. Want to learn to trade and analyse the markets? Join our webinars and get analysis and trading ideas combined with better understanding on how markets work. Click HERE to register for FREE! Click HERE to READ more Market news. Andria Pichidi Market Analyst HFMarkets Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.
    • The morning of my last post I happened to glance over to the side and saw “...angst over the FOMC’s rate trajectory triggered a flight to safety, hence boosting the haven demand. “   http://www.traderslaboratory.com/forums/topic/21621-hfmarkets-hfmcom-market-analysis-services/page/17/?tab=comments#comment-228522   I reacted, but didn’t take time to  respond then... will now --- HFBlogNews, I don’t know if you are simply aggregating the chosen narratives for the day or if it’s your own reporting... either way - “flight to safety”????  haven ?????  Re: “safety  - ”Those ‘solid rocks’ are getting so fragile a hit from a dandelion blowball might shatter them... like now nobody wants to buy longer term new issues at these rates...yet the financial media still follows the scripts... The imagery they pound day in and day out makes it look like the Fed knows what they’re doing to help ‘us’... They do know what they’re doing - but it certainly is not to help ‘us’... and it is not to ‘control’ inflation... And at some point in the not too distant future, the interest due will eat a huge portion of the ‘revenue’ Re: “haven” The defaults are coming ...  The US will not be the first to default... but it will certainly not be the very last to default !! ...Enough casual anti-white racism for the day  ... just sayin’
    • Date: 12th April 2024. Producer Inflation On The Rise, But Will Earnings Hold Demand Steady?     Producer inflation rose slightly less than previous expectations, but the annual figure continues to rise. The annual PPI rose to 2.1% and the Core PPI rose to 2.4%. The NASDAQ and SNP500 end the day higher, but the Dow Jones continues to struggle. This morning earnings kick off with the banking sector including JP Morgan, BlackRock and Wells Fargo. All 3 stocks trade higher during pre-trading hours. The Euro trades lower against all currencies despite the ECB’s attempt to establish a hawkish tone. USA100 – The NASDAQ Climbs Higher, But Is the Growth Sustainable? The NASDAQ was the only index which did not witness a significant decline at the opening of the US session. In addition to this, the USA100 is the only index which is witnessing indications of a bullish market. The price has crossed onto a higher high breaking the resistance level at $18,269. The index is also trading above the 75-Bar EMA and at the 65.00 level on the RSI which signals buyers are controlling the market. However, a similar large bullish impulse wave was also formed on the 3rd and 5th of the month and was followed by a correction. Therefore, investors need to be cautious of a bearish breakout which may signal a correction back to the 75-bar EMA (18,165). The medium-term growth and its sustainability will depend on the upcoming earnings data.   Bond yields declined during this morning’s Asian session by 18 points, which is positive for the stock market. However, even with the decline, bond yields remain significantly higher than Monday’s opening yield. This week the 10-year bond yield rose from 4.424 to 4.558, which is a concern. If bond yields again start to rise, the stock market potentially can again become pressured. 25% of the NASDAQ ended the day lower and 75% higher. This gives a clear indication of the sentiment towards the technology sector and reassures traders about the price movement. Another positive was all of the top 12 influential stocks rose in value. Apple, NVIDIA and Broadcom saw the strongest gains, all rising more than 4%. Producer inflation read slightly lower than expectations, however, the index continues to rise. The Producer Price Index rose from 1.6% to 2.1% and the Core PPI from 2.1% to 2.4%. Therefore, it is not indicating inflation will become easier to tackle in the upcoming months. For this reason, investors should note that inflation and the monetary policy is still a risk and can trigger strong bearish impulse waves. EURUSD – The Euro Declines Against Major Currencies The European Central Bank is attempting to concentrate on the positive factors and give no indications of when the committee may opt to cut rates. For example, President Lagarde advises “sales figures” remain stable, but the issue remains they are stably low. Officials said the decline in prices generally confirms medium-term forecasts and is ensured by a decrease in the cost of food and goods. Most experts continue to believe that the first reduction in interest rates will happen in June, and there may be three or four in total during the year. Due to this, the Euro is declining against all currencies including the Pound, Yen and Swiss Franc. The US Dollar Index on the other hand trades 0.39% higher and is almost trading at a 23-week high. Due to this momentum, the price of the exchange continues to indicate a decline in favor of the US Dollar.   Always trade with strict risk management. Your capital is the single most important aspect of your trading business. Please note that times displayed based on local time zone and are from time of writing this report. Click HERE to access the full HFM Economic calendar. Want to learn to trade and analyse the markets? Join our webinars and get analysis and trading ideas combined with better understanding on how markets work. Click HERE to register for FREE! Click HERE to READ more Market news. Michalis Efthymiou Market Analyst HMarkets Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in FX and CFDs products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.
    • $MSFT Microsoft stock top of range breakout above 433.1, https://stockconsultant.com/?MSFT
×
×
  • Create New...

Important Information

By using this site, you agree to our Terms of Use.