US market sold off sharply yesterday
It was a day of red across the screen. Politics drove the market down. Here’s the market worry: Republicans infighting can lead to Democratic sweep in Congress and with Hillary Clinton as President, the country can take a dramatic left turn which will be bad for big business
S&P 500 at 100 dma:
S&P500 bounced from 100 dma last time. Will it do the same again as S&P500 is once again at 100 dma now. Today around 1:00 pm CST, US Fed will release meeting notes of last Fed meet. Will it help Bulls regain control of the market
Why S&P 500 at 100 dma matters? - Because everybody is watching it
— Bloomberg (@business) October 12, 2016
One Bullish Factor at Play: Crude Prices > $50. Will it help Exploration ETF?
XOP ETF is on verge of explosive breakout with resistance at 38. If strength in Crude sustains, then one cannot rule out that possibility
Another Bullish Factor at Play: Higher Interest rates. Will it help Financials ETF XLF?
XLF ETF is also on verge of breakout. It means two sectors that can take the market higher: Energy and Financials. But remember there is big IF right now because the breakout has not happened yet
What about economic growth prospects?
Fed's Dudley says economic expansions don't die of old age, current expansion has plenty of room to run.
— DailyFXTeamMember (@DailyFXTeam) October 12, 2016
Not convinced...ok one more reasonable voice
— Yahoo Finance (@YahooFinance) October 11, 2016
When US market sells off, nothing gets spared. Here's the state of Emerging Market ETF
Before yesterday's plunge: Emerging markets ETF (EEM) has performed thrice as well as the S&P 500 this year
Two assets that have seen big sell off in October: British Pound and Gold. Here's the Gold Chart
Gold has broken two support areas: 1. 1305 levels and 2. 200 dma. Now all hope is at $1200. Below $1200 - there will be absolute panic
Samsung Loss = Apple's Gain
One stock that got kicked up and hammered down all in last 10 days: Twitter
Market is completely confused on how to price Twitter. At CMP....it again becomes attractive take over play
Oracle at level from where it has bounced consistently in last few months
Will Bulls support the stock at current levels?
Strong Stocks are Buys on declines
Disk Drive maker SeaGate Tech has come out with solid earnings. On Charts, the stock is well positioned to rally from current levels
StarBucks stock is building a solid base for future rally?
The stock consolidates by building base, spending time - and creating ground for future run. The company has suffered a set back after revenue in the last quarter missed analysts’ estimates. The same-store sales climbed 4 percent in the Americas, decelerating from a 7 percent increase in the prior quarter.
Starbucks has a market cap of $78.17 billion and generated $19 billion in revenue in its last fiscal year
Market is really upset with Walmart
It seems like Amazon has decided to take on WalMart directly with plans of opening small Grocery and convenient stores. WalMart is losing the innovation game.
Are wages rising in America?
— Yahoo Finance (@YahooFinance) October 12, 2016
Single Product companies never turn out to be great investment. Here's Fitbit
Not convinced...Here's GoPro Chart
The real Trump Supporters: White working Class men
Trump is sweeping this demographics like no other leader in History
No matter how bullish you are...always have an exit plan
Trading without stoploss is like driving without brakes. You'll eventually crash. pic.twitter.com/B3hSBqNjZa
— Rayner Teo (@Rayner_Teo) October 6, 2016
Disclaimer – The state of the market notes is Deepak’s perspective on the market. The column is purely for educational purpose. Nothing contained herein is a solicitation to trade or a recommendation of a specific trade. By reading this publication you agree to make no trade relying in whole or in part on the comments of the writers