ON FOREX TRADE
From "Inside Trading" <kim@tradewins.com>
In the worst month of the year, the Dow Jones plunged from nearly 27,000 to 24,646.
The S&P 500 fell from 2,925 to 2,650. The NASDAQ fell from 8,100 to 7,178.
Investors panicked and sold.
“Indeed, a wall of worry has morphed into [a] towering wall of pain as extremely fragile circumstance across the capital markets continues to undermine investor confidence,” said Stephen Innes, head of trading at Oanda Corporation, as quoted by MarketWatch. “Markets continue to tremble but with traders suffering a severe case of the cold sweats as geopolitical risk runneth over, the unambiguous bias toward safe havens suggest the street is expecting this rout to deepen. In the absence of any tier one US economic to tether market sentiment, the bears are uncaged, and a bull is on the menu!”
Some believe the Federal Reserve made a mistake raising rates, which could make borrowing much more expensive. Mid-term election jitters can be blamed. The looming end of quantitative easing is ending in Europe. Earnings growth may be slowing.
And then of course, the trade war between China and the U.S. hasn’t been well received.
However, even as the markets melted down, Trade Alert 365 readers saw one win after another.
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