How to Trade for Dystopian Days
This weekend’s assassination attempt on the former president, and distinctly downbeat vibes throughout the economy, make it worthwhile to consider… a gigantic bummer. Possibly. If you were contemplating a dystopian United States - a dystopian world, really - what would you invest in? Maybe one of the few online bastions of free speech? RUM and…
TheoTrade's Tale of the Tape: Events Make a Dovish Pivot
What a week it was. Between failed assassinations and lower-than-expected inflation reports, it appears that markets are now on a one-way road to September rate cuts. Stocks are at new all-time highs, and the consensus on rate cuts being bullish for stocks continues to grow. I’m pleased with the sector performance rankings that I’m seeing…
…And the Rally Goes On with Absolutely Manic Rotations
You know, I don’t care if you’re fundamentally bullish about this market or bearish, you have to just take a step back in shock and awe and try and get a grip on the magnificent sell-side activity we got yesterday. And on a day when we saw relatively soft inflation data - pure catnip for…
Tech Just Scared Traders Into Safety - Here’s What to Do
Markets go up and down every day. Sometimes that’s not really significant - just the ebb and flow of capital. On other days, though, there’s a real shift in key sectors. That’s what we got today. The tech-heavy NASDAQ had sunk more than 1.7% by 3:30 PM, whereas the broader S&P 500 had dropped just…
How We Made 26% on My Latest Tesla Trade
It’s no secret that the “Magnificent Seven” stocks have been a significant driver of returns to the upside in the indexes. I do, however, take issue with the notion that those are the only stocks pushing this market higher. Of the “Magnificent Seven,” there had been only one real laggard - Tesla. But, in case…
The Runaway Rally Before Earnings and CPI
The bulls just cannot be beaten right now. It’s another day, another set of all-time highs. As I write this, I’m watching the market hit - bullseye! - the upper edge of its 56.33 expected move. And here’s the thing - tomorrow, we’ll get important CPI inflation data. Even better, we’ll be moving deeper into…
TSLA Hit Our Target - Here’s What’s Next
Traders following along with us were able to bank some significant swing-trading profits on TSLA - around 26% in a week. To do that in a timeframe where the broader market has tacked on around 3% is no mean feat. That said, what’s coming around the corner - in an entirely different sector - could…
This VIX Whale Trade Should Make You Nervous
The S&P 500 is hitting all-time highs on a regular, almost serial basis these days. When the market lets the good times roll, they roll indeed. It seems as though session after session is going swimmingly for equities. But for all swimmers, it’s what lies beneath they should worry about… In this case, it’s whales.…
Watch These Algos Hijack an $806 Billion Chipmaker
From a Reuters article this week: “A U.S. stock rally supercharged by excitement over artificial intelligence is drawing comparisons with the dotcom bubble two decades ago, raising the question of whether prices have again been inflated by optimism over a revolutionary technology.” Reuters would never come out and say this, but from where I’m standing…
TheoTrade's Tale of the Tape: What to Do About Last Week’s Risk-On Surprise
Markets are back in full swing this week, and I have to say I was pleasantly surprised by the price action last week. Both the Nasdaq and S&P 500 exploded to new all-time highs, but the Dow continues to lag behind. We also saw a notable rally in precious metals, which together with stocks, has…