$VIX Shock – NorthmanTrader
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$VIX Shock – NorthmanTrader

Sven Henrich via Northman Trader Let me say up front: I’m not trying to scare anyone. $VIX 54 shock on Friday says people are already scared. My mantra remains: Keep calm. And I’m not one to scream bear after markets have already dropped and are in stress. As many of you know I’ve already done...

Keep Calm – NorthmanTrader
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Keep Calm – NorthmanTrader

Sven Henrich via Northman Trader Some thoughts on the current market situation: Awe-inspiring volatility in markets these days and headlines keep coming non stop. It’s heaven for fans of volatility and action, but it’s also a very dangerous time for traders. The temptation is to chase every headline and every move. $DJIA flies up over...

The Last Hurrah – NorthmanTrader
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The Last Hurrah – NorthmanTrader

Sven Henrich via Northman Trader Are markets setting up for a last hurrah? Look, I’ve made my latest technical views very clear (2020 Crash & Perfect Alignment) so you know were I stand and if course I’m continuing to monitor technical and macro development. Yesterday’s violent rally was not a surprise. We were vastly oversold...

Perfect Alignment – NorthmanTrader
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Perfect Alignment – NorthmanTrader

Sven Henrich via Northman Trader Panic in the ‘save stocks at all costs’ world. Calls from the President on down demanding the Fed cuts rates on an emergency basis before even the March meeting. The G7 is having a big “OMG” conference call tomorrow and have asked all the big central banks to participate as...

2020 Crash – NorthmanTrader
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2020 Crash – NorthmanTrader

Sven Henrich via Northman Trader Complacency came before the fall. All of 2019 market participants ignored the non existent earnings growth. Too strong was the now pavlovian reflex to chase easy central bank money. Too trusting in central banks to again produce a reflation scenario that would make all the troubles go away. Everything was...

The Big Calls
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The Big Calls

Sven Henrich via Northman Trader First rule of trading: Stay humble and don’t let a big call or trade get to your head. Second rule of trading: Don’t forget rule number one, otherwise the market will remind you. That said I will unabashedly want to highlight two massive technical calls that have played out perfectly...

Market Carnage
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Market Carnage

Sven Henrich via Northman Trader I’ll have a lot more to say on market technicals and macro in the days ahead but I wanted to share a few charts documenting the absolute carnage that markets are in the midst of experiencing and highlight an underlying tragedy weaving through it all. And please don’t take this...

Binary
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Binary

Sven Henrich via Northman Trader Several key discussion items: Is this correction the beginning of something larger to come? What’s the downside risk? What’s the long trade set-up now that markets have flushed hard? Is there one? How we will know something larger may still be upon us? Markets are faced with an unusual scenario...

All Things Being Equal
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All Things Being Equal

Sven Henrich via Northman Trader All things being equal…this rally has been terrible. Yea, the headline numbers have been great due to the disproportional market cap weight of a few key stocks such as $AAPL, $AMZN, $MSFT, etc, the usual suspects. But one of my key complaints has been the narrowing of the rally and...

Jawboning
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Jawboning

Sven Henrich via Northman Trader How much pain are they willing or can they afford to take? The answer: Virtually none. The economy is not the stock market, but the stock market is the economy. Or rather the stock market is the biggest threat to the economy and must be protected at all costs. To...

It’s not different this time
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It’s not different this time

Sven Henrich via Northman Trader It’s not different this time. It’s worse. For weeks the bull machine was relentless, ignoring everything on the heels of massive central bank intervention. The warning signs kept mounting in charts getting extended, a narrowing of the rally, volatility building bullish patterns, divergences galore and investors recklessly going full retard...

The Turn? | NorthmanTrader
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The Turn? | NorthmanTrader

Sven Henrich via Northman Trader Did markets just hit a key wall and are ready for a much overdue turn? That’s the question we want to explore from a technical perspective following the sudden reversal action on Thursday and Friday as action at a key technical juncture may suggest a shift in character. Let me...

The Big Dodge – NorthmanTrader
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The Big Dodge – NorthmanTrader

Sven Henrich via Northman Trader In life you can always tell when someone has something to hide by the way they try to avoid answering a direct question, when they dance, skirt and try to dodge the answer. In this regard something important happened yesterday, it’s been missed by many, I posted in on my...

Never Go Full Retard – NorthmanTrader
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Never Go Full Retard – NorthmanTrader

Sven Henrich via Northman Trader The recognition that this market is in a bubble (something I’ve been writing about extensively) has gone mainstream and banks are recognizing is now too. This week JP Morgan’s Kolonavic is also raising the alarm bell: “The bubble we are describing is expressed in equity factors … We caution investors...

Chipping Away – NorthmanTrader
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Chipping Away – NorthmanTrader

Sven Henrich via Northman Trader $AAPL, the largest tech stock on the planet, pounds out a revenue warning and $NDX makes new all time highs. Ha ha. Poor bears, if you can’t take advantage of the shutting down of the 2nd largest economy and a revenue warning from a $1.4 trillion market cap company and...

Tragicomedy – NorthmanTrader
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Tragicomedy – NorthmanTrader

Sven Henrich via Northman Trader We’re all frogs getting our perception of reality boiled in the pot of price perversion central banks have unleashed on the world. A tragicomedy of epic proportions continues to unfold in front of our own eyes. On Friday global markets again closed at record highs and this week everybody is...

NDX check – NorthmanTrader
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NDX check – NorthmanTrader

Sven Henrich via Northman Trader Over the weekend more stimulus chatter from the Chinese and voila the post holiday market losses in China were erased no matter how severe the impacts on the Chinese economy may be. The desperation to prevent or fix any market damage by central bankers continues to yield success. As a...

$AAPL Check – NorthmanTrader
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$AAPL Check – NorthmanTrader

Sven Henrich via Northman Trader As the asset bubble roars on it is time to check in on $AAPL, one of the 4 horsemen of the Megacapocalypse. Four stocks not only controlling and dominating so much of the market cap of the overall market, but by extension their oversized relative weight also greatly influencing the...

VIX Check – NorthmanTrader
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VIX Check – NorthmanTrader

Sven Henrich via Northman Trader Time to check in on the good old $VIX. Crushed again on Friday following another week of meaningless chop during trading hours. The broader price ranges continue to be printed in overnight hours, be it magic overnight lows leading to gap ups and ramps, or, as on Friday, seeing highs...