Off your game?
Read our free, updated as of Mar 3, 2022, Dr K report on how to optimize your mind and body so you can boost your focus when trading the markets.
Meet Dr K !
Chris Kacher
  • Nuclear physicist
  • Stock & crypto market wizard
  • Blockchain builder
  • Bestselling author
  • Top 40 charted musician
  • Biohacker
  • Former computer hacker
Your email will always remain private.

Market Lab Report - Premarket Pulse 2/24/16

Major averages fell yesterday on lower volume as the S&P 500 met resistance at its 10-week line. Oil fell during trading and after the close due to remarks by Saudi Arabia Oil Minister Ali al-Naimi that killed off any lingering hopes of a production cut. Coordinated efforts by the producing nations to stem oil production indeed seem unlikely at this juncture. Thus both the technicals and fundamentals in oil point to a continuation of the downtrend. This in turn will likely serve as a continued headwind for stocks.

Last night J.P. Morgan (JPM) announced that it was adding $500 million to its loan-loss reserves. The company has also indicated that another $1.5 billion could be added if the price of oil stays around $25 a barrel. Raising reserves means forced selling in the form of liquidation. Institutions like JPM will sell assets that are easiest to sell, and usually that means stocks first. If JPM needs to raise reserves, then likely the same or similar scenario is playing out at countless other institutional firms. This is the source of forced selling, a concept we discuss frequently in our reports and live webinars.

Futures are currently off roughly 1% at the time of this writing.

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. ©2024 MoKa Investors, LLC DBA Virtue of Selfish Investing. All rights reserved.
Copyright ©2024 MoKa Investors, LLC DBA Virtue of Selfish Investing.
All Rights Reserved.
privacy policy