DISCLAIMER: This note is intended for US recipients only and, in particular, is not directed at, nor intended to be relied upon by any UK recipients. Any information or analysis in this note is not an offer to sell or the solicitation of an offer to buy any securities. Nothing in this note is intended to be investment advice and nor should it be relied upon to make investment decisions. Cestrian Capital Research, Inc., its employees, agents or affiliates, including the author of this note, or related persons, may have a position in any stocks, security, or financial instrument referenced in this note. Any opinions, analyses, or probabilities expressed in this note are those of the author as of the note's date of publication and are subject to change without notice. Companies referenced in this note or their employees or affiliates may be customers of Cestrian Capital Research, Inc. Cestrian Capital Research, Inc. values both its independence and transparency and does not believe that this presents a material potential conflict of interest or impacts the content of its research or publications.
About Our 'Market On Open' Notes
These notes, published daily, form part of the Equity Index Strategy that we employ here in the Inner Circle service and, indeed, in Cestrian Capital Research, Inc staff personal accounts. You can read all about our Equity Index Strategy, here.
All News Is Bad.
To misquote the famous philosopher Richi (a subscriber of ours) in Slack chat this morning, how can it be that housing bad news means market down, but if housing bad news, less rate rises, ergo market should be up? Trader Richi then went on to observe that he will get on trading the market in front of him rather than the market as it should be. Wise comments for all of us of course.
This is an excellent point about timeframes. At volatile points in the market - this week we have post-Q3-opex re-hedging, FOMC and the aforementioned housing data - then you can count on Big Money to exacerbate the short-term volatility of the market to suit their own ends. This almost always scares the civilians into doing exactly the wrong thing and thus handing more money to Big Money.
We remain bullish on all four US equity indices looking out over the next weeks and months. As always we include below our short- and long-term charts. If you are able to trade both short term - catching these Big Money-induced rip tides - and long term - playing the longer-term trend - you have two timeframes in which to make money. Just never confuse your timeframes. Market dump this morning on bad housing news? That's the market in front of you if you are trading real-time. Ongoing move up since the 2022 lows in each major index? That's the longer-term outlook if you are zooming out.
And with that - we'll conclude with our usual refrain. If you've yet to join this Inner Circle service as a paying member, you can do so right from the button below. We're building up some wonderful testimonials, as you can see here. We hope to see you on the other side soon!