Trader’s Narrative

During last week’s sentiment overview we went over several indicators which suggested that we are at another cusp of optimism.
The NDR Crowd Sentiment poll is another important indicator which is confirming that market condition. Unlike the AAII or the Investors Intelligence surveys, the Crowd Sentiment poll from NDR is an amalgamation of several such sentiment […]

The following is a guest post by a buy-side analyst working in a US asset management firm. The author’s comments are in italics. I welcome your feedback in the comments:

Retail sales rose 1.2% in October, a surprisingly strong result well in excess of the consensus 0.7% forecast. Consumer spending has surprised to the high side […]

Last week everyone was cheering as gold and other commodity markets were making new highs. This week however, things have changed as everyone seemed to want to jump through the same door, at the same time, putting a great deal of downside pressure on many markets.
This phenomenon sometimes happens when people have multiple positions in […]

The following is a guest post by a buy-side analyst working in a US asset management firm. The author’s comments are in italics. I welcome your feedback in the comments:

Gary Shilling, who predicted the U.S. housing collapse, says the stock market is overvalued and foresees a “significant” selloff within a year. – Bloomberg
Richmond Fed President […]

Here is this weekend’s reading list of economic and market news. To see all the links, go to news.tradersnarrative.com:

Ireland’s Fate Tied to Doomed Banks
Year-end strength might begin in November
The Next Major Disaster Developing for Bond Holders
China buys up the world
Why Rising Yields Aren’t Bad for Bonds
Your weekly Conversations with Casey
Free Steve Nison Candlestick Webinar
Taleb on […]