S&P 500 IndexLong
Trump holding the Trump Card - SPX500
Updated
Not just the US indices but worldwide is watching President Donald Trump tweet closely this few days. He would tweet if the signing of Phase 1 agreement is done or he is going to impose the tariff on China for additional 160 billion worth of goods.
He has less than 12 months to go before his re-election and he knows jolly well the importance of propping up the ailing stock market to a higher high. There are also many reports that say that it is ultimately the US consumers that pay with the tariffs imposed, hurting their pocket and his poll ratings as well.
President Trump may seem fickled to many but I think he is a shrewd businessman and has done his calculations. Of course, he would paint a nice story of how China needs US, "begged him to sign blah blah blah", the face-savings part that he so much wanted to portray to the media and how gentleman of China to offer to him without upfront confrontation.
Go visit any Chinese website and you would notice that seldom do they criticise US outright unless they have to like the recent signing of the Human Rights bill by President Trump for HK protests. It is one thing to sign and another thing to implement, so we need not read too much into it.
So, this corrections once again provide us a great opportunity to load up for the ride to heaven if we have not catch it earlier.
Correction is for buying not for selling unless you have a clear strategy on your shorts.
scmp.com/economy/china-economy/article/3041264/china-hopes-trade-war-deal-will-come-soon-possible-vows-once
It is not in both countries benefits if the deal is not signed, never mind what the contents is, it is the confidence that the investors are looking at. The bullish sentiment that they are hankering after. I think the writing is on the wall about the deal will be signed , if not delayed. Both of this will re-acelerate the market to go higher.
IF and only IF it is not signed, we can expect a relatively severe market plunge, one which is not in the favour of both countries and it drags down all other countries as well.
Watch the news closely.
He has less than 12 months to go before his re-election and he knows jolly well the importance of propping up the ailing stock market to a higher high. There are also many reports that say that it is ultimately the US consumers that pay with the tariffs imposed, hurting their pocket and his poll ratings as well.
President Trump may seem fickled to many but I think he is a shrewd businessman and has done his calculations. Of course, he would paint a nice story of how China needs US, "begged him to sign blah blah blah", the face-savings part that he so much wanted to portray to the media and how gentleman of China to offer to him without upfront confrontation.
Go visit any Chinese website and you would notice that seldom do they criticise US outright unless they have to like the recent signing of the Human Rights bill by President Trump for HK protests. It is one thing to sign and another thing to implement, so we need not read too much into it.
So, this corrections once again provide us a great opportunity to load up for the ride to heaven if we have not catch it earlier.
Correction is for buying not for selling unless you have a clear strategy on your shorts.
scmp.com/economy/china-economy/article/3041264/china-hopes-trade-war-deal-will-come-soon-possible-vows-once
It is not in both countries benefits if the deal is not signed, never mind what the contents is, it is the confidence that the investors are looking at. The bullish sentiment that they are hankering after. I think the writing is on the wall about the deal will be signed , if not delayed. Both of this will re-acelerate the market to go higher.
IF and only IF it is not signed, we can expect a relatively severe market plunge, one which is not in the favour of both countries and it drags down all other countries as well.
Watch the news closely.
Note
marketwatch.com/story/get-ready-for-qe4-says-credit-suisse-analyst-2019-12-10?mod=home-pageIF this article is true, then we know the market is propped up with more funds and thus would not fall much. A bullish engulfing candle follows shortly after a flush down, showing signs of bulls present.
Note
cnbc.com/2019/12/10/trump-administration-plans-to-delay-dec-15-china-tariff-hikes.htmlDelayed signing is still better than no deal so market goes up.....
Note
3146-3150 is the resistance level once more that SPX500 has to faced today.Buy at every pullback
Note
We thank God for his tweet and allowing more people to make money from the stock market. marketwatch.com/story/trump-declares-big-deal-with-china-very-close-as-he-meets-with-trade-team-2019-12-12?mod=home-page
Note
We have 2 more weeks before the year 2019 comes to and end and we welcome a brand new year, 2020. Year end books are tidying up as we speak to make it look good for the year end update and excess funds have to be deployed fast. What better place than to put in the stock market that has proven itself since the beginning of this year ?However, do not get carried away and start popping the champagne. If you are still holding, it is good to take some money off the table, enjoy the profits and reinvest some back and adjust your SL. It has been going green (bullish) for nearly 2 weeks consecutively and a correction might be near. The last thing traders want is to see their profits evaporate after riding the trend for a while.
Remember, you are in for the overall performance of your own portfolio, whether you gain X% on SPX500 or XX% , it does not matter. Unless of course, you want the bragging rights at the party on how you beat the market by so many points.
Note
Praise Lord. Sometimes looking back at your initial entry humbles you how far you have gone in the trade. Looking at chart above, from around 3120 price level, we are now at 3227. That is less than a month's effort. Currently, it has formed a H&S pattern and price may still retreat a little more before we see a rebound. Hang on there.
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