Hello MarketClub members everywhere. After five days of gains, the dollar is dropping from subdued retail sales data and inflation in the world's largest economy. Gold has risen for a second straight day, while crude oil has slipped back below $48 a barrel.
Several retailers, including Macy's, Nordstrom, Kohl's and J.C. Penny, have seen their stocks tank this week after reporting weaker-than-expected quarterly results, putting the retail sector under pressure. You have to wonder how brick and mortar retailers can survive in an ever-expanding online world. What do you think?
Key levels to watch this week:
S&P 500 (CME:SP500): 2,36.19
Dow (INDEX:DJI): 20,723.59
NASDAQ (NASDAQ:COMP): 5,970.25
Gold (NYMEX:GC.M17.E): 1,216.90
Crude Oil (NYMEX:CL.M17.E): 46.01
U.S. Dollar (NYBOT:DX.M17.E): 99.76
Every Success,
Jeremy Lutz
INO.com and MarketClub.com
Jeremy, Thanks -
I have a question if I may (maybe I cannot)
You always use the phrase "tight money management stops." and I'd like to know what you mean by that.
(as averse to typical stops one may use - 10 DMA or even the daily or weekly flag)
Hi Frank,
All questions are welcomed! "Tight money management stops." simply means that whatever your ideal stop is, tighten it up. So, say that you're using a 10 DMA, you might want to consider moving that to a 5 DMA. That in effect tightens up your stop.
In my BABA example I use the previous weeks low as my stop, if I were to tighten it up, I could use the current weeks low. That would be 116.20 vs. 115.00.
Hope that helps,
Jeremy