We Finally Parked the Truck on this Gold Stock
If you’ve been following any of my trades in the past few months, I’ve been very loud about the bull trend in gold, and by extension, precious metal stocks. One of my favorite names in the space that I continue to own is AngloGold Ashanti (Ticker: AU). I started buying this stock in late-February, and…
The Right Sectors Are Leading Now, But…
It might feel like the Japanese yen carry trade blew up 100 years ago, but trust me - it’s only been a week or so since the dam broke. If it feels longer than that, it’s because stocks have managed to squeeze much higher from last week’s yen-induced lows; short-sighted traders have already forgotten. This…
TheoTrade’s Tale of the Tape: Taking Stock of Stocks Since Last Week
Well, that sure was a dramatic week! But now that we have the final score from last week’s rollercoaster of trading, a proper assessment can be made. One thing’s for sure - there’s been a total shift in sentiment over the past few weeks. We’re no longer in the feel-good, euphoric environment of mid-July. Now,…
The Japanese Yen Was the Canary in the Coal Mine - As I Warned
Hello and Happy Friday TheoTrader! Back in April, I sent you a letter talking about a potential currency crisis, specifically on the Japanese Yen. As it turns out, we were months ahead of the curve, as the Bank of Japan finally lifted off the zero bound recently, which led to a massive rebound in the…
I Was Right About This Week’s Huge Downturn
Well, it’s finally happened. I’ve been warning for months - since it was cooler outside - that the carry trade in increasingly expensive Japanese yen was likely to blow the markets apart. And wouldn’t you know it… the mad traders’ rush to unwind their suddenly-expensive yen carry trades has at last blown the markets apart.…
The Yen Carry Trade Exploded… And Contagion Is Spreading to the U.S.
Sunday night’s headlines were unsettling as an onlooker - you could watch the carnage erupt in big Asian markets like Korea and especially Japan, where the Nikkei just had its roughest session ever. So I knew even then it would only be a matter of hours before the carnage jumped back over the International Date…
TheoTrade’s Tale of the Tape: Now the Smart Move Is to Wait
Well, by now everyone has pretty much accepted that we’re in a risk-off market environment. The public is starting to panic, as the unwind of the carry trade in the Japanese yen triggers margin calls across the world. I raised a substantial amount of cash over the past couple of weeks, and even had members…
I Wasn’t Joking About “Risk-Off” - This Is What to Do
Over the past couple of weeks here in Sector Leader Bullseye, I’ve been ringing the alarm surrounding the flow of capital into defensive segments of the market. In fact, I felt so strongly about it that I was compelled to do a special session on Wednesday on the cautionary rotations taking place underneath the surface…
Tech Is Weighing Down the Markets in a Flight to Safety
It’s tough to call them the Magnificent Seven anymore, at least with a straight face, but these stocks - once the leaders among leaders - are all down today. It’s one of the starkest reminders yet that tech is becoming a hurdle for the indexes to clear, rather than a springboard for launch. The selloff…
TheoTrade’s Tale of the Tape: The Flight to Safety Accelerates
Between election season, economic data, and September rate cuts all but confirmed, markets are fresh off a volatile week of trading. In fact, Friday’s rally staved off what could have been a cataclysmic close to the week. In recent weeks, I’ve made a point of updating you on some of the cautionary capital flows taking…