A Rally from Russia with Crazy, Psychotic Love

06Feb9:21 pmEST

Saturday Night at Market Chess Cinemas

Serpico (1973) is one of those iconic films from the 1970s, starring Al Pacino as a gutsy New York cop who serves as a whistleblower to corruption on the force at the expense of any semblance of minor peace and harmony. This film is based on a true story. Legendary director Sidney Lumet captures the bad bravery which the real-life Frank...

05Feb3:06 pmEST

Defense Wins Championships (and Enables You to Survive in Markets)

As we approach Super Bowl 50 this Sunday between the Carolina Panthers and the Denver Broncos, it is a good reminder that, despite the well-deserved attention both teams' offensive quarterbacks have received, the Panthers and Broncos also play great defense. Whichever team plays better defense on Sunday, in all likelihood, will win the...

05Feb1:09 pmEST

This Chart Has a Definite O Face

On the back of our recent analysis about some crowded trades in the "safe" sectors and stocks, like AWK, we also have the REITs looking long in the tooth, or perhaps in need of at least a respite. SPG is the top holding in the IYR, and it sure does look dodgy on long-term timeframes. But MAA is also getting clocked today, too, after a...

05Feb11:14 amEST

Spelling Out Fear Before We Can Be Greedy

“Be Fearful When Others Are Greedy and Greedy When Others Are Fearful” ― Warren Buffett Without question, Mr. Buffett's famous Wall Street axiom always makes for a great soundbite. Applied to the current market, however, even with a persistently weak Nasdaq and multi-year winners like NFLX and SBUX which are suddenly unable to muster even a...

04Feb5:00 pmEST

Stock Market Recap 02/04/16 {Video}

The following video is a brief, condensed version of the Stock Market Recap which I present each evening to members of Market Chess Subscription Services . In the longer version, I offer tons of actionable trade ideas, educational content, and in-depth objective analysis across all markets. If you enjoy my videos and blog posts, then please...

04Feb3:26 pmEST

The Path of Least Credulity

The rotation into and sharp rallies in the global materials/energy complex, away from extended long-term leaders like FANG, HD, SBUX, even AWK, today needs to be monitored closely in the coming weeks for sustainability. In front of the jobs number tomorrow morning it is also tough to draw too many conclusions, especially regarding precious...

04Feb12:33 pmEST

Surviving the Winter

After several opportunities for bears, the Euro has failed to break lower in an ongoing bear market. Instead, we have seen a ferocious short squeeze higher, perhaps indicating the "pain trade" in what had been a crowded thesis. For my money, the Euro never triggered a fresh short entry, rendering me an interested spectator. To update the big...

04Feb11:00 amEST

Going with the Flow

While it may very well seem like there is no rhyme or reason to this price action of late, buyers sure did not waver from what could have been a very bloody morning off a downside reversal in the futures overnight. Instead of a bloodbath, however, we are now seeing plenty of squeezes to upside, especially in beaten-down junk like CREE FIT MBLY...

03Feb5:03 pmEST

Stock Market Recap 02/03/16 {Video}

The following video is a brief, condensed version of the Stock Market Recap which I present each evening to members of Market Chess Subscription Services . In the longer version, I offer tons of actionable trade ideas, educational content, and in-depth objective analysis across all markets. If you enjoy my videos and blog posts, then please...

03Feb3:31 pmEST

A Rally from Russia with Crazy, Psychotic Love

A sharp upside reversal this afternoon was led by energy and especially Russia in the emerging markets in what seems like a helter-skelter tape full of wild mood swings. The RSX is the Russia country ETF, with the RUSL being the triple-long version of that ETF. Russia, China, Brazil, as well as the XLE and USO are now back over their...