Author: The INO.com Team

Brutal Week Comes To A Disappointing End

Posted on by The INO.com Team

Hello traders everywhere. There is no doubt that this week has been brutal for traders with the stock market posting one of the worst weeks of the year. You only have to look at the DOW, and it's over 1300 point loss on the week for evidence. The DOW and S&P 500 will close down around 6% on the week. Both indexes are in corrections, and both are on track for their worst December performance since the Great Depression in 1931, down more than 11% each this month.

DOW

The NASDAQ is having it's worst week in nine months losing over 7% and officially entering a bear market. It's actually trading at a new fifteen-month low. With that move lower we finally got the red weekly Trade Triangle that we've been waiting on. The NASDAQ has now joined the DOW and S&P 500 with negative long-term downtrends. It looks like that death cross may have been right after all.

Key Levels To Watch Next Week:

Continue reading "Brutal Week Comes To A Disappointing End" →

Weekly Futures Recap With Mike Seery

Posted on by The INO.com Team

We've asked Michael Seery of SEERYFUTURES.COM to give our INO readers a weekly recap of the Futures market. He has been Senior Analyst for close to 15 years and has extensive knowledge of all of the commodity and option markets.

Michael frequently appears on multiple business networks including Bloomberg news, Fox Business, CNBC Worldwide, CNN Business, and Bloomberg TV. He is also a guest on First Business, which is a national and internationally syndicated business show.

Gold Futures

Gold futures in the February contract settled last Friday in New York at 1,252 an ounce while currently trading at 1,240 down about $12 for the trading week lower for the 2nd consecutive session. I have been recommending a bullish position from around the 1,252 level, and if you took that trade, the stop loss has been raised to 1,226 as the chart structure is outstanding due to the low volatility. Gold prices hit a five-month high in last week's trade, but the U.S. Dollar has hit a 1.5 year high today as that is putting pressure on gold and the precious metals across the board as I will not 2nd guess as I will continue to place the proper stop loss and see what next week's trade brings. Money flows have been exiting the U.S equity market rather dramatically over the last several weeks as that has helped push gold prices higher as I also have a bullish silver recommendation which is also under pressure in today's trade. The next major level of resistance around the 1,255 level and if that is broken I think there is the possibility prices could trade up to the 1,300 level in the coming weeks or months ahead as I would have to believe that the volatility will start to expand as we exit 2018.
TREND: HIGHER
CHART STRUCTURE: EXCELLENT
VOLATILITY: LOW
Continue reading "Weekly Futures Recap With Mike Seery" →

How Low Could The S&P 500 Go?

Posted on by The INO.com Team

Our target for the first half of 2019 is and has been the 2100 to 2200 area for the S&P 500. A friend asked…

I’ve been meaning to ask (and possibly) know the answer, 2100-2200 for H1 2019 is your ultimate bear market target or opening act?

Opening act. It could be the ultimate target because there is a lot of support at that area and a good solid bear phase could put the Fed on ice and impose some changes to Donald Trump’s bull in a China shop policy style.

So, for now, I see no reason to make dire proclamations beyond that key support level, as so much will depend on incoming information in 2019. At this point, even 2100-2200 is not technically in the bag because the US stock market clung to last-ditch daily chart support, as per the marginally favored short-term NFTRH view. So all of we bear callers need to remember that as ugly as the charts are, support is not broken until it is… broken.

I was going to cover this in NFTRH 530‘s Opening Notes segment, but why not make it a public post and save NFTRH’s virtual ink for more immediate issues going on with the markets? Before we dial out to a couple of simple SPX charts showing the prospective downside targets, let's review the situation with a less than simple chart. Continue reading "How Low Could The S&P 500 Go?" →

U.S. Indexes Erase Weekly Gains

Posted on by The INO.com Team

Hello traders everywhere. Mid-week things were looking positive for the stock market overall as fears of a long-term trade war with China lessened on news that the U.S. and China began to talk about settling the disagreement. However, weak economic data from China and Europe rekindled fears of slowing global growth, and Johnson & Johnson (JNJ) is leading the lower sustaining significant losses after Reuters reported the company knew for decades that asbestos lurked in its Baby Powder.

weekly loss

All three indexes are suffering losses over 1.3% on the day which has effectively erased the weekly gains that all three indexes were looking to post. The DOW will end the week in negative territory losing almost one percent at -.90%. The S&P 500 will post a weekly loss of around -.80%, and NASDAQ is trying to finish the week unchanged floating between and gain and loss for the week. Continue reading "U.S. Indexes Erase Weekly Gains" →

Stocks Jumped On China Trade Talks

Posted on by The INO.com Team

Hello traders everywhere. Stocks jumped higher at the open of trading after news broke that the U.S. and China started the latest round of trade talks with a phone call involving Treasury Secretary Steven Mnuchin, U.S. Trade Representative Robert Lighthizer, and Chinese Vice Premier Liu He. It's been reported by people familiar with the call that they discussed Chinese purchases of agricultural products and changes to fundamental Chinese economic policies.

But the markets soon fell from those highs and have settled in what I would call muted trading today, which is a far cry from the recent volatility.

Stocks jumped

The DOW finally joined the red monthly Trade Triangle club issuing a new one at 24,122.23 on Monday when it traded below 24,000 for the first time since June 28th of this year. Not to be outdone the S&P 500 issued a new red weekly Trade Triangle at 2,621.53 pushing the Chart Analysis Score to -100 once again. The NASDAQ remains in a sidelines position with a red monthly Trade Triangle and green weekly Trade Triangle. A move below 6,830.76 will trigger a red weekly Trade Triangle indicating that a move lower could be ahead. Continue reading "Stocks Jumped On China Trade Talks" →