Mar 1, 2010

Daily Markets - Financial News And Opinions

Daily Markets - Financial News And Opinions


Forex Trading: Eurozone Unemployment

Posted: 01 Mar 2010 02:03 AM PST

Eurozone Unemployment came in at 9.9%, better than the 10.1% expected and prior reading of 10.0%.
Eur/Usd is up about 10 points since release currently trading at … [visit site to read more]


Portfolio Allocation: Rebalancing Reduces Risk

Posted: 01 Mar 2010 02:01 AM PST

When determining the mix of asset classes to include in our portfolio - be it an IRA, 401k or Ameritrade - we consider many factors.  As I see them, the basics of these are:

Performance - what return we expect
Risk Level - how much volatility we can stomach
Time Horizon - how long are we going to invest

I put together four model portfolios considering the first two of those considerations.  I really have not dived into time horizon yet, but that will come.  I made the … [visit site to read more]


Forex Trading Review For Monday 1 March

Posted: 01 Mar 2010 01:55 AM PST

USD Dollar (USD)

The Dollar weakened against most of the currencies on a volatile trading. The GDP came out 5.9% better than expected 5.6%. An unexpected drop in the Existing Home Sales data that came out 5.05M vs. expected 5.5M sent the dollar lower. The Dow Jones closed almost unchanged gaining 0.04% and the NASDAQ rose by 0.18%. The Crude Oil attempting to get back the 80$ a barrel and the Gold (XAU) jumped and closed at 1117$ an ounce. Today, The Personal Spending is expected at 0.4% vs. … [visit site to read more]


Forex Trading: Eurozone Final PMI

Posted: 01 Mar 2010 01:03 AM PST

Eurozone Final PMI came in at 54.2, slightly stronger than the 54.1 expected and prior reading of 54.1.
No major market reaction upon release of figure although Eur/Usd is trading higher in recent trading currently at … [visit site to read more]


Video: Ford Invests In N. American Engine Plants

Posted: 01 Mar 2010 01:00 AM PST

Ford Motor Co. will be investing in engine plants in Cleveland, Ohio and Windsor, Ontario. … [visit site to read more]


AEI Says “Why Can’t We Be Like Canada”???

Posted: 01 Mar 2010 12:08 AM PST

I sat here on a lazy Sunday night at my house in Vancouver, which is about 15 minutes away from Cypress Bowl, one of the venues of the Vancouver 2010 Olympics. I contemplated the friendly* but fierce rivalry in men's hockey between Canada and the United States.

A change of heart?
Down south, there was an article from Mark Perry, a visiting scholar at the American Enterprises Institute, entitled Due North: Canada's Marvelous Mortgage and Banking System. In the article, Perry pointed out … [visit site to read more]


Rising Wages In China = Re-Valuing China’s Currency

Posted: 01 Mar 2010 12:01 AM PST

NEW YORK TIMES — “Just a year after laying off millions of factory workers, China is facing an increasingly acute labor shortage. As American workers struggle with near double-digit unemployment, unskilled factory workers here in China’s industrial heartland are being offered signing bonuses. Factory wages have risen as much as 20 percent in recent months (see chart).

Some manufacturers, already weeks behind schedule because they can’t find enough workers, are closing down … [visit site to read more]


Three ETFs To Watch This Week: VXX, FXA, ECH

Posted: 28 Feb 2010 11:30 PM PST

Equity markets were choppy last week as investors digested a slew of data regarding all facets of the economy. Consumer confidence was sharply lower, while unemployment claims rose and existing home sales sunk, calling into question the strength of a global recovery. Across the Atlantic, investors remained worried about the future of the euro as continued Greek troubles weighed on European markets after the EU rejected a Greek austerity plan, saying that it was about $5.4 billion short of what … [visit site to read more]


US Stock Market: Looking For Next Phase And Assembling A Watchlist

Posted: 28 Feb 2010 11:01 PM PST

In “Financial Stocks are Laggards” of March 20, 2009, I included a graphic depicting the various stages in a market’s life cycle guessing at that early date that the market was then moving into the accumulation phase:

“Moving from Relief to Optimism” of July 27 included a similar schematic about the typical market cycle, this one depicting the the phases of market emotions:

In that post, I wrote:
When the upcoming “traders’ remorse” correction starts winding down, market … [visit site to read more]


Chile ETF (ECH), Copper ETF (JJC) In Focus Following Earthquake

Posted: 28 Feb 2010 11:00 PM PST

Just weeks after a devastating earthquake sparked a humanitarian crisis in Haiti, another natural disaster has hit the South American nation of Chile. Early Saturday morning, a magnitude 8.8 earthquake, the fifth strongest ever measured in the country, occurred off of Chile's coast, causing massive destruction throughout the region. At least 100 aftershocks of magnitude 5.0 or greater have hit since the quake, complicating relief efforts significantly. The death toll has already topped 700, … [visit site to read more]


Stock Market Rallies Getting Weaker And Weaker

Posted: 28 Feb 2010 10:01 PM PST

This is a commentary on the SP 500 index and the broader NYSE index.  As I often mention here for Partners, we try to work in probabilities and then plan accordingly with our investing and trading.  I look at Elliott Waves, Fibonacci levels, oversold and overbought patterns, cycles, and other indicators to give me some clues.  Today, we look at an indicator called The Force Index.

The Force Index:  Developed by Dr Alexander Elder, the Force index combines price movements and volume … [visit site to read more]


More On Company Insiders

Posted: 28 Feb 2010 08:03 PM PST

This week’s sentiment report highlighted company insiders and the fact that they have stepped up their selling. Some may question the wisdom of following company insiders. After all, they were buying at the October, 2007 top and have been selling for the past 8 months.

Figure 1 is a weekly chart of the S&P500 with the InsiderScore “entire market” value in the lower panel, and here we focus on the 2007 topping process. Insiders were buying to an extreme degree and I have highlighted those … [visit site to read more]


6 ETFs To Play A Financial Sector Recovery

Posted: 28 Feb 2010 08:01 PM PST

The financial sector’s recovery may ultimately be an uneven one. Regional banks may prosper while larger ones still struggle under the weight of TARP and increased scrutiny. There are exchange traded funds (ETFs) to play the recovery - wherever it’s happening.

After a year of recuperating from the financial crisis, big banks may be healthy enough to resume the task of making big money. If not, there’s regional banks, which won’t be targeted in any limits on size that come down from the … [visit site to read more]


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