Under pressure by the top trend line of the price channel on its monthly chart, AUD/USD pulled back from 0.7989 and moved sideways in a narrow range between 0.7875 and 0.7989. As long as the 0.7830 support holds, the sideways movement could be treated as a consolidation of the uptrend from 0.7571. Another rise towards 0.8150 is still possible after the consolidation. A break out of the 0.7989 resistance could signal resumption of the uptrend. On the downside, a breakdown below the 0.7875 support could take the price to the next support level at 0.7830. Below this level will indicate that a lengthier correction for the uptrend is underway, the...
Over the past several decades, human energy consumption has grown exponentially. For this reason, it is very unsurprising that there exist many high-quality energy businesses in our blue chip stocks database. To be a member of the Sure Dividend blue chip stocks database, a company must: Have a 100+ year operating history Pay a 3%+ dividend yield Unlike the game of poker – where the term ‘blue chip stock’ originated from – investing in blue chip stocks is far from gambling. In fact, the blue chip stocks list contains some of the safest, most conservative investments around. You can see the full list of blue chip stocks here. Chevron...
US stock indexes remain at record highs, and volatility near its lows, despite signs that their record setting run is losing steam as it becomes increasingly dependent on a narrow band of stocks. Indeed, signs that the rally is running on fumes have convinced portfolio managers and Wall Street strategists that the second-longest bull market of all time will be over in less than 18 months, while a similarly longstanding rally in bonds is also nearly ready to roll over, according to a Bloomberg survey of fund managers and strategists. “The poll of 30 finance professionals on four continents showed a lack of consensus on the asset judged as ...
The stock market, bond yields and statistical measures of the economy can be gamed, manipulated and massaged by authorities, but the real economy cannot. This is especially true for the core drivers of the economy, real (adjusted for inflation) household income and real disposable household income, i.e. the real income remaining after debt service (interest and principal), rent, healthcare co-payments and insurance and other essential living expenses. If you want to predict the future of the U.S. economy, look at real household income. If real income is stagnant or declining, households cannot afford to take on more debt or pay for addi...
Crude oil prices shot higher as the United Arab Emirates stressed its commitment to OPEC-led coordinated production cut effort and pledged to reduce shipments by a further 10 percent starting in September. The comments echoed similar remarks from Saudi Arabia yesterday. Prices got a further boost from API data showing US inventories shed a hefty 10.2 million barrels last week. The official set of EIA inventory flow statistics is now on tap, with an outflow of 3.13 million barrels is expected. An outcome closer to the API print may offer prices a further boost but the figures will compete for influence with another Department of Ener...
Asian equity markets are trading on a positive note with Shanghai Composite trading higher by 0.2%. The benchmark index in Japan too is trading higher by 0.5%. US benchmark indices closed their yesterday’s session in green after a bunch of companies reported better than expected quarterly results. Back home, share markets in India have opened the day on a flat note. The BSE Sensex is trading higher by 10 points while the NSE Nifty is trading higher by 13 points. The BSE Mid Cap Index opened up by 0.1% while BSE Small Cap index opened the day up by 0.3%. All sectoral indices have opened the day in green with metal stocks and...
Sienna Biopharmaceuticals (Nasdaq: SNNA) filed an S-1/A for its upcoming initial public offering with the Securities and Exchange Commission and is expected to make its market debut on Thursday (7/27). Sienna hopes to raise $65M, through its offer of 4,333,333 shares at a marketed price range of $14 to $16. It has an additional 650,000 shares over-allotted for its underwriters. Assuming Sienna prices at the midpoint of its proposed price range, it would have a market cap value of $317M. The underwriters for the IPO are J.P. Morgan, Cowen and BMO Capital Markets. Business overview Sienna Biopharmaceuticals is a clinical-stage pharmaceutica...
Ok, so believe it or not, you’re going to need to parse the Australian CPI print. After a dramatic (as these things go) week, the aussie is in focus on Tuesday as traders are looking to the data and also to a speech from RBA Governor Lowe for clues about what to expect from the RBA going forward. You’ll recall that last week the aussie moved sharply higher on ostensibly hawkish RBA minutes, only to be jawboned lower on Friday by Deputy Governor Guy Debelle, in what amounted to a mad scramble to walk back the FX equivalent of a rate hike. Here’s a quick visual recap for those who missed it: And here’s why this is a precarious situ...
Gold prices are down in late U.S. trading, as the dollar strengthened on the back of the better-than-expected U.S. data. The Conference Board’s consumer confidence index came in at 121.1, up from the previous month’s 117.3 and above expectations for a reading of 116.5. XAU/USD traded as low as $1249.04 an ounce but recovered some of its losses and climbed back above the 1250 level. The market is currently trading within the borders of the hourly Ichimoku cloud and it appears that prices will continue to trade within a relatively narrow range until the FOMC announcement. The support at around 1250 initially held but the tall upper shadow o...
SPX Monitoring purposes; Covered short on 7/6 at 2409.75=gain 1.2%; Short SPX 6/26/17 at 2439.07. Monitoring purposes Gold: Neutral Long Term Trend monitor purposes: Neutral. Yesterday we said, “Five of the last six instances since January 2017, when the three period moving average of the Equity Put/Call ratio reached .56 and below, produced a sideways to down market that lasted a week or longer.” The bottom window is the 21 day average of the Equity Put/Call ratio. Readings .62 and below on this moving average suggests a larger consolidation (or decline) is about to begin that usually last several week. The FOMC meeting starts today and ...