Trader’s Narrative

The financial sector has been beaten to a pulp during this latest bear market. Every time it gets extremely oversold, it manages a feeble bounce only to dive down headfirst once again.
During the past 12 months or so the bullish percent index has jolted from one extreme to the other. According to the bullish percent […]

The CBOE Volatility index measures the implied volatility of S&P 500 Index (SPX) options. But something interesting has happened in the past few days, the volatility of the VIX itself is off the charts.
On Friday (Jan 16th 2009) it fell almost 10%, then on Tuesday it jumped almost 23% and today it fell again […]

Today’s Bank of Canada rate decision is being watched very carefully. Not because of any lingering doubts about what they will do; because according to the rate futures there is a 100% expectancy of a 50 basis point cut (and a 73% chance of a 75 basis point cut).

The question on everyone’s mind is what […]

The National Federation of Independent Business (NFIB) Small Business Optimism Index fell 2.6 points to 85.2 in December 2008:

This is an aggregate measure of 10 indicators: outlook for expansion, earnings, sales, and hiring. Amazingly, the net percentage of small business owners planning to hire is -6%. That scrapes the bottom of the barrel and is […]

A new year brings new beginnings and a new hope. Unfortunately the rally that started late last year has fizzled out and based on both technical and sentiment analysis, we’re going down to revisit the lows in November 2008.
To find out what else awaits us, take a look at this weekend’s reading list from news.tradersnarrative.com:

Sad […]