about Mercury retrograde? More in a moment.Today the market behaved decently despite bad news on many fronts. Many perceive that as bullish.
In paying more attention to the market, I find that having a better understanding of market technicals has gone a long way toward explaining some of my previous 'perplexions'. That's not to say that I don't scratch my head at times, but not so much.
Oftentimes, markets (or stocks) respond to technicals--overbought (no more buyers) or oversold (no more sellers) that cause reflexive actions. The market has been oversold and due for a reflexive bounce. Yesterday I cited one of Barry's posts about the number of stocks that were trading above their 200DMA. That statistic is an inverse indicator--meaning that when the number of stocks trading below their 200DMA is high, that is bullish for the the market.
On Tuesday, Kevin Ferry, a trader who appears on Squawk Box on CNBC, mentioned that one of the reasons that the market was opening strongly had to do with the end of Mercury retrograde. At first I thought that he was joking (though I knew that the Mercury was stationing direct that day). He was not. In fact, he said that many traders followed this. I was just surprised to hear this on national television. So that you can have access to the same information that traders do, I've prepared this table for Mercury
Mercury (the sign represented by the glyph in the first column) rules communication (think of the RIMM communication failure which would be a classic Mercury retrograde event. In fact, if one 'followed' astrology, one would not do switch overs of communications equipment during a Mercury retrograde!). Signing of contracts, even short term travel can be problematic. I had a short-term travel accident on Saturday!
Anyway, I'm not trying to espouse Astrology, though I've always had an interest in it due to my interest in mythology. But I did want to point out that traders watch Mercury's stations. If people who trade "think" that such movements will cause the market to give fake-outs and unexpected technical breakdowns, then those folks will certainly make it a self fulfilling prophecy.
2 comments:
Your moon chart isn't showing the eclipse.
I guess an eclipse would look like a new moon. I guess for a free widget you have to make allowances. It is snowing here. No moon to view. I do remember seeing the last lunar eclipse. It was spectacular. Memories....
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