Global stocks got a surprise boost higher on Friday after Japan’s central bank cut a benchmark rate below zero to stimulate its economy and some improvements in earnings. Microsoft led a major rally in the technology sector, up 3.6% the strongest session in technology shares since August. The S&P 500 finished the day 2.69% higher but closed the month down -5.12%. Risk assets were also boosted by weak fourth-quarter U.S. GDP growth data, which raised arguments that the Federal Reserve may go slower than expected on future rate hikes.
Risk flows have been mostly constant throughout the first month of the year, dominated by risk-off sentiment. However, rotation flows poured into all U.S. assets on Friday including stocks, bonds and the dollar. The symmetric triangle pattern on the stock indices and the ascending triangle on the U.S. dollar posted since Wednesday on our site’s RQ Cross Box analytics provided advance notice of a potential spike in price action. Will we see continuation in the week ahead? We face a busy economic calendar including employment data and more earnings reports. I will be focusing on the correlations between the major asset classes to spot institutional activities and any potential unwinding of recent positioning, especially after data reports.
Join us this week in our LIVE trading room and watch how we use the new upgraded Einstein III automated trading system to uncover trading opportunities.
Joe Rios – Founder, Rios Quantitative LLC
Live Trading Rooms and Educational Events
The Trading Room TradeLAB – Global Trading with Quantitative Technologies
Monday through Friday beginning at 8:00 AM ET
Join our trading community with RiosQuant founder and trade coach Joe Rios as well as the RQ members. Live demonstration of our pre-market quantitative analysis, real-time trading signals with RQ algorithmic technology, strategy performance review and Q&A session.
– To access The Trading Room® TradeLAB please log-in on the riosquant.com
site and click on the link under The Trading Room. If you are already logged in, then click on the “My Account” found on the upper right hand corner of the first page.
ATTENTION GUESTS – Here is how to get started with a twoweek free trial…
It’s really that simple!
The Insider’s Quant (I.Q.) Room
Einstein III Automated Trading System Class
Monday – 12:30 pm
What’s Next in The Week Ahead
Wednesday – 12:30 pm
Strategies for Success
Friday – 12:30 pm
4:30 AM GDP Manufacturing PMI
10:00 AM USD ISM Manufacturing PMI
11:00 AM EUR ECB President Draghi Speaks
10:30 PM AUD RBA Rate Statement
4:30 AM GBP Construction PMI
5:00 AM EUR Unemployment Rate
4:45 PM NZD Unemployment Rate
7:30 PM AUD Building Approvals
8:45 PM CNY Services PMI
4:30 AM GBP Services PMI
8:15 AM USD ADP Nonfarm Climate Change
10:00 AM USD ISM Nonmanufacturing PMI
10:30 AM CL Crude Oil Inventories
7:00 AM GBP Monetary Policy Summary
7:45 AM GBP Gov. Carney Speaks
8:30 AM USD Unemployment Claims
7:30 PM AUD Monetary Policy Statement
8:30 AM USD Nonfarm Employment Change
8:30 AM CAD Unemployment Rate