And here we are back to a new week for the stock market. We find ourselves up slightly before the open.
Of note, GS -.38%, USO +1.28% , BAC +.47% SLV -.76%
Overall it looks constructive to the long side. But of course, with the debt ceiling heading the end of this month I doubt the market will make much progress until and if that is worked out.
Of course, Congress wants to work as hard as they can to prevent a shutdown by taking 2 weeks off and only having 4 days to work this out. Business as usual in D.C. And it just keeps getting worse.
The one thing, however, some in our Congress will not miss is the Sunday Cable talk shows. What an embarrassment to the U.S. to have the same people every week make a point of heading to the talk shows and bash U.S. policy.
How did that precedent ever get started? You expect the vitriol from the news media but to have sitting Congressmen spout their hate and delusional thinking is very destructive to the U.S. and the world markets.
Just one of the many habits of our elected representatives that are helping cause the division in the U.S. After all, if the elected representatives cannot set an example how are the minions going to act. Exactly!
So, we have the debt ceiling to watch. And this time it may well be different. The Gorsuch filibuster is no small deal as it is the first time in U.S. history that a Supreme Court appointment was filibustered. And of course, the Republicans extended the Reid rule to include the Supreme Court. And it goes on and on.
And if things could not be more uncertain, Trump out of the blue bombs Syrian airstrips while part of the U.S. navy heads to the seas around N.Korea.
As a result, red lines are being declared by Iran, Syria, and Russia. Where this ends who knows but you have a number of politicians thinking the U.S. needs to do much more than bomb airfields.
How the market is going to rally from here is beyond me with the uncertainty at home and abroad.
The investment graveyard is littered with people calling tops and bottoms. So, take my thoughts for what they are. Just one person’s overall view and how they might affect the markets.
I am still long GLD with a small gain. I also have my 1/4 position long in SPY via SSO and am even on the trade. In addition, I have several other long trades on that are turning into medium-term swings.
Any trades I make now are going to have a short leash to them especially heading into the debt ceiling talks.
Those are my thoughts on a Monday morning. A bit jumbled I know, but sometimes that is the way I think:)
If you want to follow some of my trades along with my thoughts typically given after the open you can go to @rickjswings. Typically I talk about the overall day expected with the markets and also give some levels on the ES and NQ for failed breakout scalping.
It’s my private twitter feed for the stock market and its free. Sports Handicapping is the subscription-based part of this site. But considering the cost of joining it’s almost free:)
Good Luck Today
RickJ’s Handicapping Picks