X
X
Tired?
Unfocused?
Off your game?

Read our free Dr K report on how to optimize your mind and body so you can boost your focus when trading the markets.
YES, SEND ME THE REPORT !
NO, I'M NOT INTERESTED
Your email will always remain private.

Market Lab Report - Pre-Market Pulse for Thursday, May 31, 2018

Major market indexes recovered from Tuesday's sell-off as the NASDAQ Composite Index broke out of its two-week price range to post a higher high. The Russell 2000 Index made a new all-time high after pulling back over the prior two trading days.

Futures are roughly flat at the time of this writing. The Federal Reserve is all but certain to continue on its course for higher rates as CME’s “Fed Watch” tool predicts a 76% chance of a rate increase at the policy makers meeting in June, then at least one more rate hike is expected for the remainder of the year. Meanwhile, Europe has not made any clear signs toward tightening its policies, and no global central bank has made any meaningful changes in their monetary policies as QE continues to flow at near record levels. In fact, investors are putting only 30% odds on a European Central Bank increase over the next 12 months after the turmoil from Italy’s vote. This dislocation between the U.S. Federal Reserve's tightening policies and the rest of the world's global central banks who are unable to tighten could keep the stock market in a chop zone.

As for the issues in Italy, the possibility of Italy being next to conduct a referendum on whether to remain in the EU is the symptom, not the root cause of turmoil in Europe. A number of leaders including Conservative leader David Cameron have been critical of the EU in the years prior to the Brexit vote with one party leader saying after the recent vote: “Today Italy is not free; it is occupied financially by Germans, French and eurocrats.”


Focus List Notes:
The list continues to perform well as AMZN, BZUN, FTNT, NFLX, and SQ all posted all-time closing high. NVDA remains the "laggard" but it is holding above its 10-dma and bumping up against its prior base breakout point. If the general market continues to move higher, we would not be surprised to see NVDA also post a higher high.

Like what you read?
Let us help you make sense of these markets by signing up for our free Market Lab Reports:
This information is provided by MoKa Investors, LLC DBA Virtue of Selfish Investing (VoSI) is issued solely for informational purposes and does not constitute an offer to sell or a solicitation of an offer to buy securities. Information contained herein is based on sources which we believe to be reliable but is not guaranteed by us as being accurate and does not purport to be a complete statement or summary of available data. VoSI reports are intended to alert VoSI members to technical developments in certain securities that may or may not be actionable, only, and are not intended as recommendations. Past performance is not a guarantee, nor is it necessarily indicative, of future results. Opinions expressed herein are statements of our judgment as of the publication date and are subject to change without notice. Entities including but not limited to VoSI, its members, officers, directors, employees, customers, agents, and affiliates may have a position, long or short, in the securities referred to herein, and/or other related securities, and may increase or decrease such position or take a contra position. Additional information is available upon written request. This publication is for clients of Virtue of Selfish Investing. Reproduction without written permission is strictly prohibited and will be prosecuted to the full extent of the law. ©2018 MoKa Investors, LLC DBA Virtue of Selfish Investing. All rights reserved.
FOR OUR FREE MARKET LAB REPORT :
Copyright ©2018 MoKa Investors, LLC DBA Virtue of Selfish Investing.
All Rights Reserved.
privacy policy