The other day I was in my local branch of a Too Big To Fail bank where I have a few accounts. One of them is a savings account in which I keep some of my “dry powder” cash stored. It had been a while since I had checked what kind of return the savings…
The difference between success and failure in Forex trading is very likely to depend upon which currency pairs you choose to trade each week, and not on the exact trading methods you might use to determine trade entries and exits. Each week I am going to analyze fundamentals, sentiment and technical positions in order to…
Three years ago, Larry Summers reacquainted us with the term “secular stagnation” – a term originally used during the Great Depression to describe an extended period of weak but positive economic growth. In an interview this week, he stated he still agrees with that particular assessment of the overall economic situation: “When I made my comments…
After a focus on the US, markets now shift to the old continent. The ECB has its inflation numbers. Will it decide to initiate the beginning of the end of the QE program? Or will Draghi drag down the euro? In the UK, the night between Thursday and Friday could be critical for the pound…
AT40 = 55.3% of stocks are trading above their respective 40-day moving averages (DMAs)AT200 = 56.8% of stocks are trading above their respective 200DMAsVIX = 9.8 (volatility index)Short-term Trading Call: cautiously bullish Commentary In my last Above the 40 post, I noted how the trading action made it hard for me to cling to my cautiously bullish short-term trading…
The Dollar sold off, and metals rallied after Friday’s weak employment numbers. The April and March data was revised lower, adding fuel to gold’s rebound. Oddly, the softer than expected economic data didn’t affect the odds for a June rate hike which remain at 94.6%. The steadfast underperformance in miners contradicts the persistent rally in metals. Nevertheless,…
Business Development Companies, or BDCs, have become popular among income investors, particularly retirees. That is because BDCs, as an alternative asset class, offer very high dividend yields, thanks in part to a favorable tax structure. For example, Solar Senior Capital (SUNS) has a current dividend yield of 8.4%. You can see the full list of established…
As I observed over the last two weeks, most Fed presidents believe they have achieved their dual mandate – full employment and inflation near 2%. Today, I want to look at the counter-arguments to this assessment – that the U.S. is not at full employment and that inflation is in fact weaker than 2%. Assuming…
The Canadian dollar was almost unchanged last week, with USD/CAD closing at 1.3480. This week’s key event is Employment Change. Here is an outlook on the major market-movers and an updated technical analysis for USD/CAD. In the US, Nonfarm Payrolls was dismal, as the gain of 138 thousand was well below expectations. This reading was surprising, coming on the…
This week’s two main events, the ECB meeting and the UK national election have drawn investors intentions in recent weeks. The ECB may take a baby step on what promises several quarters before an exit path from its extraordinary monetary policy. UK Prime Minister May’s call for a snap election was seen as a strong…
