All markets plunge on a rare Friday decline. The selloff was broad based as every major stock index finished lower. Technology held up the best as yields declined sharply for the second straight day. Commodities and precious metals were sold off again as the U.S. Dollar strengthened.
This was a quadruple witching options expiration so some of the moves made could be a bit over done. Either way, there was some damage on the charts and this coming week will tell us a lot more.
Was it orchestrated by the Fed? Bullard mentions rising inflation and the start of tapering. Big spike in the dollar and crash in gold and silver. Commodities got slammed. Market is saying the Fed has to do something. Bond yields are falling now. 10 year at 1.45%. Tech is still performing.
Homebuilder stocks weren't bad. Lennar up big. ITB home construction ETF was up.
Watch out for Nick's free chart reading webinar.
Nicholas Santiago started trading in 1991. In 1997, he became a licensed Series 7 and 63 registered representative. He successfully managed money for a large, affluent private client group. Nick is an expert in Technical Analysis. He is a highly regarded and accomplished technician in the studies of Elliot Wave, Gann Theory, Dow Theory and Cycle Theory. After applying his knowledge to his client base and meeting his personal monetary goals, he decided it was time to begin teaching those interested in learning his trading and investing methodology. In 2007, he partnered with Gareth Soloway to form InTheMoneyStocks.com and realize his dream of educating others about the truth of the markets. He now co-heads the education department at InTheMoneyStocks and enlightens thousands of members, along with providing consulting services to hedge funds and institutions.