Economic Trends

Long-term trends grow from short term trends. We attampt to determine the short term trends and where they are pointing.

BlockChain

4 Investments Making Waves in the Technology Sector

Leave a Comment / Bitcoin / By

Innovation in the technology market gives rise to important investment opportunities. It only makes sense that new, useful technology improves lives, and people want to ride the wave of profits that come from the demand for such tech innovations. However, with technology always changing, it can be difficult to know which technologies provide investors with an opportunity to reap huge returns on their investments. The following are four investment opportunities creating considerable waves in the technology sector.

4 Investments Making Waves in the Technology Sector Read More »

Dow Last 10 Years

The Markets in Perspective: What Goes up Must Come down?

Leave a Comment / Investing / By

Traders routinely fixate on short-term price movements in their chosen financial instruments. Longer-term investors need a wider focus on stocks, forex, indices, FED actions and commodities to gain a better market perspective. The performance of US markets is worthy of mention, particularly since the epic global meltdown following the financial crisis of 2009/10.

The Markets in Perspective: What Goes up Must Come down? Read More »

Chinese Hold US Treas Bar Chart

U.S.-China Trade War: Who will Win?

Leave a Comment / Economic Trends / By

One of Trump’s campaign platforms was that the U.S. wasn’t getting fair deals in international trade. His two biggest examples were NAFTA (trade with Canada and Mexico) and trade with China. And in 2018 the media panicked and drove the markets down anticipating that Trump would somehow destroy all trade and the U.S. would plunge the world into another depression. Then in  November 2018 NAFTA (North American Free Trade) was replaced by USMCA (United States-Mexico-Canada-Agreement) which included  new protections for U.S. intellectual property, Digital Trade, Anti-corruption, and Good Regulatory Practices. It also included provisions “Creating a more level playing field for American workers, including improved rules of origin for automobiles, trucks, other products, and disciplines on currency manipulation.”And now six months later the Trump administration is taking on China. But China is not Mexico and it has a lot more clout so where does the U.S. stand in this fight? 

U.S.-China Trade War: Who will Win? Read More »

Stocks Up Rates Up

Do the FED’s Interest Rates Affect the Stock Market?

Leave a Comment / Stock Market / By

In anticipation of the September 25-26 Fed meeting, CNBC ran this headline (Sept. 21): “Record High Stocks Face Fed Rate Hike.” implying that the Fed’s interest rate decisions actually affect the stock market. Common wisdom says that “falling interest rates means higher stock prices, while rising interest rates means lower stock prices.” At first blush this might sound logical because rising interest rates makes fixed income investments more attractive because they pay more and have less risk than stocks. So some of the available capital will flow into bonds, etc. thus starving the stock market and putting downward pressure on prices.  In this article, Elliott Wave International contends that there is actually no consistent relationship between interest rates and the stock market and they present examples of how the exact opposite of what you would expect has happened.

Do the FED’s Interest Rates Affect the Stock Market? Read More »

Don’t Count Your North Korean Chickens Before They’re Hatched

Leave a Comment / Asia / By

A few weeks ago, I was telling a few thousand of my “closest friends” on Facebook that you can’t count your North Korean chickens before they hatch. North Korea has a long history of provoking the West with Nuclear threats then backing down in exchange for “concessions” and a “Treaty”. Typically this means a cash bribe from the West in exchange for a worthless promise from North Korea.  After a while the Treaty gets broken and the cycle repeats itself.  

Don’t Count Your North Korean Chickens Before They’re Hatched Read More »

Is the Current Highly Volatile Market Really Bearish?

Leave a Comment / Stock Market / By

In the following article, Chris Ciovacco of Ciovacco Capital Management looks at the current market volatility compared to similar occurrences in past years to determine how much risk is in the market today.

Price Action Year-to-Date:- What Can We Learn from History?
Reference Points Provide Context
A December 2016 post highlighted similarities between late 2016/early 2017 and the 1994-1995 period.  The analogy proved useful in 2017 with stocks posting a rare low-volatility year that featured a strong bullish trend, which compared very favorably with the strong-gains/low-volatility year of 1995.

Is the Current Highly Volatile Market Really Bearish? Read More »

Scroll to Top