School Articles

Here are 4 tips for today's trading. This will help you decide where you should invest and what to look for:

1. Shifting markets

U.S. stock futures are looking relatively solid ahead of the open and the global bond market has stabilized after a bout of volatility.

The U.S. dollar is dipping against most major currencies and the euro is strengthening.

European markets are mostly declining in early trading. Asian markets ended with mixed results.

Crude oil futures are dipping back down to around $60 per barrel. The price of oil has jumped by about 13% this year after plunging in 2014.

2. Another airbag recall

Honda (HMC) has recalled an additional 4.89 million cars equipped with possibly faulty airbags manufactured by Japan-based Takata (TKTDY).

Honda's recall comes one day after its Japanese counterparts Toyota (TM) and Nissan (NSANF) recalled 6.56 million cars of their own. Takata shares fell 5% in Tokyo.

3. Earnings and economics

Kohl's (KSS) and British soccer club Manchester United (MANU) are reporting ahead of the open.

Nordstrom (JWN) and El Pollo Loco (LOCO) will report after the close.

The U.S. government will report on weekly jobless claims at 8:30 a.m. ET.

4. Wednesday market recap

Wednesday was a mild day in the markets. The main U.S. indexes only made minor moves.

The Dow Jones industrial average lost 8 points, the S&P 500 was essentially unchanged and the Nasdaq edged up by 0.1%.

Ask us about our FREE financial advice program: 

Other Top Stories:

Technical Analysis Lesson 1 - Introduction

Technical Analysis Lesson 2 - The Basic Assumptions

How I Made Over $30,000 a Year by Investing in Binary Options

Follow us and SHARE this story on Facebook:  

Here are 4 tips for today's trading. This will help you decide where you should invest and what to look for:

1. Earnings

Ralph Lauren (RL) and Macy's (M) are reporting ahead of the open. Cisco (CSCO, Tech30), J.C. Penney (JCP) and Shake Shack (SHAK) will report after the close.

2. Eurozone economy perks up

New data shows the eurozone economy grew by 1% in the first quarter compared to the same period in 2014.

Within the 19 nations, there were some standouts and laggards: Growth in Spain was robust, and Italy emerged from recession. Greece returned to recession.

3. More economic data

Bank of England Governor Mark Carney is speaking in London about the state of the U.K. economy and inflation. Markets are watching for clues about when the bank may begin to raise interest rates. U.K. data showed unemployment dipped to 5.5% in the first quarter.

In the U.S., the government will report monthly retail sales numbers at 8:30 a.m. ET.

4. International markets overview

European markets are rising in early trading, while Asian markets mostly closed the day with gains.

Oil prices are rising by about 1% to trade near $61.50 per barrel.

Ask us about our FREE financial advice program: 

Other Top Stories:

Technical Analysis Lesson 1 - Introduction

Technical Analysis Lesson 2 - The Basic Assumptions

How I Made Over $30,000 a Year by Investing in Binary Options

Follow us and SHARE this story on Facebook:  

Once you understand the concept of a trend, the next major concept is that of support and resistance. You'll often hear technical analysts talk about the ongoing battle between the bulls and the bears, or the struggle between buyers (demand) and sellers (supply). This is revealed by the prices a security seldom moves above (resistance) or below (support).

Why Does it Happen?

These support and resistance levels are seen as important in terms of market psychology and supply and demand. Support and resistance levels are the levels at which a lot of traders are willing to buy the stock (in the case of a support) or sell it (in the case of resistance). When these trendlines are broken, the supply and demand and the psychology behind the stock's movements is thought to have shifted, in which case new levels of support and resistance will likely be established.

Round Numbers and Support and Resistance

One type of universal support and resistance that tends to be seen across a large number of securities is round numbers. Round numbers like 10, 20, 35, 50, 100 and 1,000 tend be important in support and resistance levels because they often represent the major psychological turning points at which many traders will make buy or sell decisions.

Buyers will often purchase large amounts of stock once the price starts to fall toward a major round number such as $50, which makes it more difficult for shares to fall below the level. On the other hand, sellers start to sell off a stock as it moves toward a round number peak, making it difficult to move past this upper level as well. It is the increased buying and selling pressure at these levels that makes them important points of support and resistance and, in many cases, major psychological points as well. 

Ask us about our FREE financial advice program: 

Other Top Stories:

Technical Analysis Lesson 1 - Introduction

Technical Analysis Lesson 2 - The Basic Assumptions

How I Made Over $30,000 a Year by Investing in Binary Options

Follow us and SHARE this story on Facebook:  

Here are 4 tips for today's trading. This will help you decide where you should invest and what to look for:

1. Crazy market moves?

There's quite a bit of volatility in markets this morning.

Investors are selling bonds and yields are moving up. Most major stock markets are in the red, especially in Europe. And the U.S. dollar is falling against all other major global currencies while the euro is rising, up 1% versus the greenback.

On the commodity side, gold prices are stable. Oil is rising slightly.

2. Stock market movers -- EasyJet, Carlsberg, Allianz, Shell

European sentiment is being dragged down this morning as some big companies are reporting disappointing corporate results.

Shares in easyJet (ESYJY) are falling by roughly 8% in London after the low-cost British airline warned that a recent French air traffic control strike in April would cost the company roughly £25 million ($39 million).

Shares in Carlsberg (CABGY) are off by 5% in Europe after investors reacted to the brewer's latest quarterly results. Its business continues to decline in Russia.

Allianz (AZSEY) stock is dipping by about 2.5% after the company reported its earnings.

Meanwhile, shares in Royal Dutch Shell (RDSA) are edging down slightly in Europe, but is outperforming the market. The company has just received U.S. approval to drill in the Arctic. However, the oil firm will need a few more approvals before drilling can begin.

3. Earnings and economics

GoDaddy (GDDY) and Zillow (Z) will report after the close.

The Treasury Department will give a budget update at 2 p.m. ET.

4. Monday market recap

It was a negative day on Monday. The Dow Jones industrial average lost 86 points, the S&P 500 dipped 0.5% and the Nasdaq edged down by 0.2%.

Ask us about our FREE financial advice program: 

Other Top Stories:

Technical Analysis Lesson 1 - Introduction

Technical Analysis Lesson 2 - The Basic Assumptions

How I Made Over $30,000 a Year by Investing in Binary Options

Follow us and SHARE this story on Facebook:  

Here are 4 tips for today's trading. This will help you decide where you should invest and what to look for:

1. Rate cut in China

China's central bank cut interest rates over the weekend and stock markets responded by catapulting higher.

The China Shenzhen index surged by 4.5% and the Shanghai Composite index jumped by 3% on Monday.

This is the third rate cut in the last six months.

2. Earnings

Dish Network (DISH), Mobileye (MBLY) and Sotheby's (BID) are reporting ahead of the open.

3. Global economics

The Bank of England releases its rate decision Monday. Monetary policy in the U.K. has been very loose for a long time, but economists expect the central bank will eventually begin tightening the screws.

The British economy is improving so "it will be difficult to think of a situation why the monetary policy should remain at current level[s]," said Naeem Aslam, chief market analyst at AvaTrade.

Eurozone finance ministers are meeting Monday to decide whether to help Greece by giving the indebted nation more loans. Investors continue to worry that Greece could soon default on its debt. The country has to make a €750 million ($838 million) debt repayment to the International Monetary Fund on Tuesday.

4. Stock market overview

U.S. stock futures are moving sideways, indicating it could be a quiet start to the day.

Ask us about our FREE financial advice program: 

Other Top Stories:

Technical Analysis Lesson 1 - Introduction

Technical Analysis Lesson 2 - The Basic Assumptions

How I Made Over $30,000 a Year by Investing in Binary Options

Follow us and SHARE this story on Facebook:  

Here are 4 tips for today's trading. This will help you decide where you should invest and what to look for:

1. Ready for the jobs report

The U.S. Bureau of Labor Statistics releases its highly anticipated monthly jobs report at 8:30 a.m. ET.

Economists surveyed by CNNMoney project that 220,000 jobs were created in April, bringing the unemployment rate down to 5.4% from 5.5%.

In March, the economy added 126,000 jobs, which was well below expectations.

Some economists believe March was an aberration, while others say the data indicates that hiring is slowing down. If the April job number comes in below 200,000, investors will be on high alert.

Ahead of the release, U.S. stock futures are inching higher.

2. Markets jump after U.K. election

U.K. investors are waking up Friday to a surprise election win for Prime Minister David Cameron, and they're cheering the results.

London's benchmark index, the FTSE 100, rallied by 2% when markets opened. The FTSE 250, which tracks many mid-sized British companies, surged by just over 3%.

The British currency and bond markets are also rising as investors express relief that a contentious result has been avoided. The polls had been inconclusive in the lead-up to the election.

"For investors, a clear victor removes a tremendous amount of uncertainty in the near-term over the ability of the government to govern and legislate," explained Azad Zangana, senior European economist at Schroders.

European stock markets are also rising, though the gains are not as big.

3. China stocks

Chinese investors have been shaken from their state of prolonged euphoria this week as major stock markets have stumbled.

The main Chinese indexes closed the day with gains. But if you look at the week as a whole, the benchmark Shanghai Composite index is down by about 5%. The Hang Seng in Hong Kong also dipped by 2% this week.

For investors, the pullback is a major reality check. The Shanghai stock market has more than doubled over the past 16 months to its highest levels in six years.

4. Thursday market recap

The Dow Jones industrial average jumped by 82 points, while the S&P 500 rose 0.4% and the Nasdaq closed with a 0.5% gain.

Ask us about our FREE financial advice program: 

Other Top Stories:

Technical Analysis Lesson 1 - Introduction

Technical Analysis Lesson 2 - The Basic Assumptions

How I Made Over $30,000 a Year by Investing in Binary Options

Follow us and SHARE this story on Facebook: