Because Appearances Matter

It’s not too surprising that there’s been a firm floor under oil and gas prices, given the upcoming Aramco IPO.  But, isn’t it funny how CL has popped above its SMA200 every single day this week, even in the wake of dismal inventory data? Just like it’s funny that ES, which pretty obviously should have … continue reading →

Time for Bulls to Get Nervous?

SPX needed about 22 points downside to reach the support of its SMA50, a rising channel bottom, and a falling channel bottom.  ES, which finally reached our 2655 target from last week [see FOMC: Endgame] is currently off 30 points. At this rate, SPX will breach its support on the open, especially if USDJPY doesn’t … continue reading →

Not Exactly Reassuring…

The markets weren’t exactly reassured by Powell’s testimony yesterday.  Bottom line, no one in their right mind buys the idea that we can have such strong GDP and wage growth but still need such accommodative policy. IMO, Powell was curt and sometimes downright evasive, which didn’t help matters. Stocks plunged to our initial downside target, … continue reading →

Charts I’m Watching: Nov 5, 2018

Futures are back to flat, having bounced a bit on the Iran sanction news as it provided a modest (so far) bounce for oil and gas prices.The market has a wait and see feel to it this morning, with AAPL breaking down further……but, the algos all but ignoring it, focusing instead on dollar strength (TNX … continue reading →

Coincidences and Consequences

It’s interesting how Khashoggi’s murder top-ticked oil and gas prices… …and, so soon after Trump’s latest demand that OPEC lower oil prices. I’m certainly not insinuating that Trump had anything to do with Khashoggi’s murder. But, OPEC ignored Trump’s Sep 20 demand.  Two weeks later, oil prices had spiked 10% higher.  Since Oct 3, the … continue reading →

Appearances

It is often said that there are two sides to every story and, somewhere in middle, lies the price of oil.  Okay, I paraphrased that just a bit. But, isn’t it odd that the day after the Saudis threaten $400/barrel oil, Donald Trump suddenly embraces the ludicrous “rogue killers” theory for the death of Washington Post … continue reading →

The Devil’s Playground

Catch this news flash yesterday?  Trump, ironically at a White House meeting with the National Council for the American Worker: You’re gonna see on China, today, right after close of business…we’ll be announcing something, uh, and it will be a lot of money coming into the coffers of the United States of America, a lot … continue reading →