From the Trading Desk

Rate Hike Odds Inch Closer to 100%; Stocks Begin the Week in the Red

Traders continue to bet the Federal Reserve will once again move rates by 25 basis points next week. Odds are nearing 100% for a rate hike at next week’s meeting. While stocks were lower on the session they finished well off their lows of the day. Only the last 15 minutes or so soured the […]

Stocks Take a Rest in Light Turnover

A decent day for a rest as we see the broader market pull in on lighter volume. We need days of consolidation to digest gains properly. It would be great if we can head sideways and ease the pressure from overbought conditions. Our primary trend is in place and it would do this market some […]

Market likes Trump’s Speech; Banks Love it

Financials were the biggest benefactor of Trump’s speech today with the group up nearly 3%. Utilities were the biggest loser down nearly 1% on the session. Energy, Industrials, and Materials were all up “bigly” on the session. Volume was up across the board as traders pushed stocks further into nose bleed territory. Bonds sold off […]

Dow Streak ends ahead of Trump’s Speech

It finally happened. The Dow closed lower for the day. Today’s close does not come as a surprise and it was much worse underneath the surface. Trump’s speech will no doubt create noise for pundits to bicker over. We need to make sure we continue to remain discipline in our approach. The worse of it […]

Dow Streak Continues

The streak continues as stocks continue to push higher against all odds. This is quite the historical win streak and we continue to reap the rewards from this uptrend. At this point we continue to manage our risk and any new signals we will continue to take. No sense in fighting this trend, but at […]

Dow Makes it 10 Straight; Technology Hit

For the 10th straight session the Dow has notched gains while technology stocks finally see a hint of selling. It has been one heck of a ride for stocks since Trump’s election. Most will attribute it to tax cuts and perceived inflation fears as the Fed is set to raise rates 3 more times this […]

Dow Closes up 9th Day in a Row; 11th Record Close since Inauguration

The Federal Reserve hints at another rate hike helped elevate the Dow to more record highs during today’s session. Small cap stocks lagged the broader market, but continue to remain in its general uptrend. Volume was lower across the board as the S&P 500 and NASDAQ closed lower. Energy was the worst performing sector as […]

More New Highs as Stocks Continue their Run

Coming off the long weekend we were welcomed with more new all-time highs. This market has been incredibly strong and many are being left behind. It pays to listen to what matters and employing a strong risk management process. Volume was higher across the board as interest in getting aboard this market’s train continues to […]

Trump Bump Gains Continue; More All-Time Highs

The S&P 500 closed higher for the 7th straight time as volume expanded over Tuesday’s level. Trump once again hinted at a massive tax cut plan and traders cheered the development. In addition, Yellen’s comments regarding rate hikes helped push the odds of a March rate hike up to 63%. Odds of a June hike […]

Low Volatility Remains; NASDAQ Inches Higher

The story of this market continues to be the lack of volatility despite the Trump bump. It has been 37 days since the S&P 500 has seen a 1% move. While the put/call ratio has been above 1.0 we continue to see the VIX remain near multi-month lows. There is a lot of complacency with […]