Hello traders everywhere! Adam Hewison here, co-founder of MarketClub with your mid-day market update for Friday, the 15th of March.
The Whale Trade That Won't Die
I'm sure by now you've heard of the disastrous whale trade that was made by J.P. Morgan (JPM) that came out of their London office. This trade cost J.P. Morgan a cool $6 billion. Well, the folks responsible for this trade are getting grilled on Capitol Hill today and I doubt seriously if anything will ever come of the "kabuki theater." Today's hearings allow Senators to pontificate and look very serious, as it plays well in their voting districts. Normally these type of Washington theatrics have very little effect on what's going on in the real world and in the marketplace. Today we will be looking at J.P. Morgan to see how this stock has performed so far this year.
How Much Do You Buy Online?
One thing I find myself doing increasingly more and more is buying stuff online. I mainly purchase products from Amazon, as I know and trust their brand and they deliver what they say they are going to deliver at a cost that is fair. The product is delivered on time to your doorstep. I don't ever recall having an ordering problem with Amazon, which is more than can be said for many companies in the online space. With the growing trend for ordering products online, this could be a bonus for two stocks in particular. We will be looking at FEDEX (FDX) and United Parcel Services (UPS).
Three Stocks on the Move Today Based on Our Trade Triangle Technology:
The Perfect Weekend for a 52-Week High Trade
Here are the three rules you need to trade "The 52-week new highs on Friday Rule."
These are the exact rules that at trader friend of mine used to make his millions.
* Rule #1: On a new 52-week high when the market closes at or close to its high on a Friday, buy and go home long for the weekend.
* Rule #2: Exit long position on the opening the following Tuesday.
* Rule #3: if the market opens lower on Monday exit this position immediately.
There you have it. These are the only three rules that you need to trade "The 52-week new highs on Friday rule" successfully.
The "The 52-week new highs on Friday Rule" works extremely well in futures and in Forex.
IT'S GETTING CLOSER - CHAOS AHEAD
March 27th - Budget Resolution Expires
May 19th - Debt Ceiling Suspension Expires
Have a great trading day,