While we’ve seen the market moving almost straight up over the last eight or nine sessions, it still seems like it’s trying to figure out what’s next.
In the S&P, we’ve tested the upper end of the range, up around that 1215 level, but have yet to penetrate. And if you were to overlay a chart of the 10-year on the S&P chart, you’d see the two markets moving in opposite directions.
That, my friends, is classic asset allocation. Now, as we’ve priced in Armageddon and earnings season is upon us, the question is, when exactly are we going to see the next big move?
There’s a lot of information coming out over the next couple of days that’s important to watch.
After jobless claims and international trade came in more or less in line, what I really want to see is retail sales, business inventories and import/export numbers.
By themselves, those figures might not tell us much. But they’re pieces of the puzzle that can help us get a clearer picture of where the market could be headed.
I was very happy to have Michael Dever of Brandywine Asset Management and author of “Jackass Investing: Don’t Do It, Profit From It," as my guest host on The Jack B. Show today. In his book, Michael uses extensive research and more than 30 years of trading experience to put together and refute 20 investment myths. (Yes, folks, one of those myths is that buy and hold works for long-term investors!) I’ve talked a lot about how important it is to be a market contrarian—buy when others are selling and sell when others are buying—and to keep emotions out of your trade. Michael’s philosophy is right in step with that—terrific stuff.
I was also very happy to welcome Dave Lemont and Jeff Garcia of Currensee onto the show this morning. Currensee has created an entirely new approach to the forex market by which the top money managers in the world are brought together and individual investors like you and me are allowed to look at their track records and follow the lead of our favorites. Currensee then replicates the trades the manager makes directly into the accounts of individual investors. It’s almost like crowd-sourcing information from all the best traders and using it to inform your decisions—pretty neat stuff.
You’ve heard me talk a lot about the importance of having a non-correlating asset class as part of a properly diversified portfolio. Futures, of course, are the closest to my heart, but I believe there can be a lot of value in having exposure in the forex world as well. A lot of people have been asking me specifically about currency markets lately, so I decided to team up with Currensee for an informational webinar October 27 at 4:30pm ET. In it, we’ll discuss the five best-kept secrets of the foreign currency trading.