Tag Archives: SPY

Lessons From The October 1987 Stock Market Crash

A few charts and lessons from the most dramatic crash in the history of the stock market, actually a 25-sigma event as shown below.

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Overbought Conditions In Uptrends Usually Signal Strength

I have no idea who came up with the notion of overbought/oversold conditions. Market makers have probably appreciated the gifts from unskilled technical traders who thought these levels could be easily traded. There is worse than that: some even think … Continue reading

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False or Irrelevant Claims About The Markets A Growing Trend

False and irrelevant information about the markets dominates social media because most people are probably unwilling to share valuable information.

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Misinterpreting Paul Tudor Jones

A lot of people who are mostly new to the markets often misinterpret comments made by famous investors and traders because they fail to understand the proper context. This results in cheap straw man arguments.

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International Stocks Have Consistently Underperformed U.S. Stocks

Despite the outperformance year-to-date, which may be related to U.S. dollar weakness for the most part, international stocks have consistently underperformed U.S. stocks in the last 22 years. Unless there is a well-documented paradigm change, a switch to those markets … Continue reading

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S&P 500 – SPY Divergence Due to Dividend Distribution

On Friday, September 15, 2017, the S&P 500 gained 0.19% but SPY fell 0.4% due to payment of a $1.235 dividend. This divergence does not show on the adjusted SPY chart but if the unadjusted chart is used, there can … Continue reading

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