WELCOME

Welcome and thank you for visiting!

The charts, graphs and comments in my Trading Blog represent my technical analysis and observations of a variety of world markets...
* Major World Market Indices * Futures Markets * U.S. Sectors and ETFs * Commodities * U.S. Bonds * Forex

N.B.
* The content in my articles is time-sensitive. Each one shows the date and time (New York ET) that I publish them. By the time you read them, market conditions may be quite different than that which is described in my posts, and upon which my analyses are based at that time.
* My posts are also re-published by several other websites and I have no control as to when their editors do so, or for the accuracy in their editing and reproduction of my content.
* In answer to this often-asked question, please be advised that I do not post articles from other writers on my site.
* From time to time, I will add updated market information and charts to some of my articles, so it's worth checking back here occasionally for the latest analyses.

DISCLAIMER: All the information contained within my posts are my opinions only and none of it may be construed as financial or trading advice...

Dots

* If the dots don't connect, gather more dots until they do...or, just follow the $$$...

Venice

Venice

Events

UPCOMING (MAJOR) U.S. ECONOMIC EVENTS...
* Fri. Sept. 11 @ 8:30 am ET ~ MoM & YoY CPI & Core CPI Data
* Wed. Sept. 16 @ 8:30 am ET ~ Core Retail Sales & Retail Sales
* Wed. Sept. 16 @ 2:00 pm ET ~ FOMC Announcement + FOMC Forecasts and @ 2:30 pm ET ~ Fed Chair Press Conference
* Fri. Oct. 2 @ 8:30 am ET ~ Employment Data
* Wed. Oct. 7 @ 2:00 pm ET ~ FOMC Meeting Minutes
* Wed. Oct. 14 @ 2:00 pm ET ~ Beige Book Report

*** Click here for link to Economic Calendars for all upcoming events

Monday, May 14, 2012

Risk-on Risk-off Trades in JPM from 1990

Further to the comments in my post of May 11th pertaining to JPM, the Monthly comparison chart below of JPM (purple), the four Major Indices, and the Financials ETF (XLF) shows the major swings of JPM from 1990 to Monday's close.

As you can see, its swings have been very much more volatile and large in comparison with the Dow 30, S&P 500, Russell 2000, and XLF. It has, however, behaved more in line with the Nasdaq 100 Index (green). Both of these instruments have traded much more aggressively over the past 22 years, indicating a much greater appetite for risk than the others. However, when losses have happened, they have also happened to a much greater extent in these two on a percentage basis than in the others.

The price of JPM now sits down at 1998 levels, and, at the moment, the risk trade in it is OFF. I'll continue to monitor it relative to these indices and XLF in order to gauge its relative strength/weakness over the next weeks/months.