DOW JONESDow Jones Industrial Average is the oldest index in the world.
The index always shows what is happening with the US economy - the largest economy in the world.
Let's look at the chronology of important economic events since 1916:
1916 Lusitania - Sunk by German Submarine / Emergency Revenue Act - Includes Estate Tax
1917 US Formally Declares War on Germany
1918 World War I - End / Daylight Savines Tima / Amendment, Prohibition - Ratified
1919 Amendment, Women's Suffrage - Ratified
1921 The First Restrictive Immigration Act
1922 Federal Narcotics Control Board - War on Drugs
1923 First Transcontinental Fight Japan Earthquake
1924 Ford Manufactures 10 Milfionth Automobile - Scopes Monkey Trial
1926 Revenue Act - Reduces Income & Estate Taxes
1927 Lindbergh - First Nonstop Flight - New York to Pacis
1928 Amelia Earhart - First Woman to Fly Atlantic
1929 Financial Panic - Stock Market Crash - Depression
1930 Smoot Hawley Tariff Act
1931 Bank Panic - Countrywide Banks Closings
1932 Lindbergh Kidnapping / Reconstruction Finance Corp
1933 The New Deal - FDIC Established
1934 Securities & Exchange Commission - Established
1935 Social Security Act - Passed
1936 Drought in the Western States - Dust Bowl
1937 Hindenburg - Destroyed
1938 The New Deal - End / Fair Labor Standards Act
1939 World War Il - Begins in Europe / Great Depression
1940 France Falls - German Occupation
1941 Peart Harbor - Attacked by Japanese
1942 Price Controls - Begin / Battle of Midway / Guadalcanal
1943 Current Tax Payment Act, Withholding Taxes
1944 Normandy Invasion
1945 World War II - End / Cold War - Begins
1946 Stock Market Crash / Price Controls - End
1947 Taft-Hartley Act / Marshall Plan
1948 Truman Upsets Dewey - For Presidency
1949 Foreign Currencies Devalued
1950 The Korean War - Begin
1951 First Commercial Color TV Broadcast
1952 Steel Workers Strike - Despite Government intervention
1953 The Korean War - the End of Wage Stabilization Board
1954 St. Lawrence Seaway Bill - Passed
1955 President Eisenhower - Suffers a Heart Attack
1956 Suez Canal - Crisis
1957 Sputnik |
1958 USA - First Satellite Launched
1959 St Lawrence Seaway - Opened
1960 First Japanese Cars, Exported to US / U2 Spy Plane Shot Down
1961 The Berlin Wall - Built / Bay of Pigs - Debacle
1962 The Cuban Missile Crisis / Sled Price Rollback
1963 John F. Kennedy Assassinated
1964 Vietnam War Begins - Gulf of Tonkin Resolution
1965 The Great Inflation - Begin
1966 Medicare - Begin / the First Time USA Bombs North Vietnam
1967 The Six-Day War
1968 The Offensive / R.F. Kennedy & M.L King - Assassinated
1969 Apollo 11 - the USA on the Moon
1970 USA & South Vietnamese Invade Cambodia | Kent State
1971 Wage & Price Controls
1972 Watergate - Break-in / Munich Olympics Massacre
1973 US Involvement in Vietnam - End / Arab Oil Embargo
1974 President Nixon Resigns / ERISA Act - Signed
1975 Saigon - Fall / May Day - the End of Fixed Commissions
1976 US Bicentennial / Lockheed Aircraft - Bribery Scandal
1977 Panama Canal Treaty - Control of Panama in 2000
1978 Humphrey-Hawkins Full Employment Act
1979 Three Mile Island - Accident / Iran Hostage Crisis
1980 Iraq Invades Iran - War / Hunt Brothers Siver Crisis
1981 Tax Cut - Passed / Space Shuttle / President Reagan - Shot
1982 Penn Square Bank - Closed by Regulators / Falkland Islands War
1983 Terrorist Bombing of US Barracks - Beirut / Grenada Invasion
1984 Run on Continental Bank
1985 Gramm-Rudman Act / US Becomes a Debtor Nation
1986 Iran-Contra Affair / US Attacks Libya / Chernobyl Accident
1987 Financial Panic / Stock market Crash of Iraq Attacks on USS STARK
1988 Terrorists Bomb N.Y. Bound Airliner - Lockerbie, Scotland
1989 The Berlin Wall - Opens / US Invades Panama
1990 Iraq invades Kuwait / Gorman Unification
1991 The Gulf War / Soviet Union Collapse
1992 The Cold War - Ended / Civil War in Bosnia
1993 Russian Revok / World Trade Center - Bombed
1994 Orange County Bankruptcy of NAFTA instituted
1995 Oklahoma City - Murrah Federal Building - Bombed
1996 Alan Greenspan's “Irrational Exuberance” Speech
1997 Asian Currency Crisis - Hong Kong & Global Stock Market Rout
1998 US embassies in East Africa bombed
1999 NATO Bombs Serbia, Yugoslavia / Y2K - Millennium Scare / Columbine massacre
2000 Bush v. Gore Election Crisis / Terrorist Attack on USS COLE
2001 Terrorist Attack on the World Trade Center & Pentagon / Enron
2002 War on Terror of Turmoil in the Middle East / Corporate Misconduct
2003 Iraq - Weapons Inspections / War in Iraq
2004 Global War on Terror
2005 Record High Oil Prices / Hurricane Katrina
2006 Housing Decline / Nuclear Weapons - North Kores & Iran
2007 Subprime Mortgage / Credit Debacle
2008 Credit Crisis / Financial Institution Failures / Bitcoin - Created
2009 War on Terror / Climate Debate / Healthcare
2010 Gulf Oli Spit / European Union Cassis / Massive Debt
2011 Debt Ceiling Crisis / US Credit Downgrade
2012 European Debt / US Fiscal Cliff
2013 Boston Bombing / Government Shutdown / NSA Leaks
2014 Rise of ISIS / Police Protests / Oil Price Decline
2015 Terror Attacks / Refuges Crisis / China Slowdown / Fed Rate Hike
2016 Brexit - Start / Cuban Embassy Opened / Elections
2017 Trumponomics, Cryptocurrency Fever
2018 United States trade war with China
2019 Chang'e-4 on the far side of the moon / Fire of Notre Dame Cathedral / The first case of 2019-nCoV coronavirus infection in China
2020 US-Iran Tension / The COVID-19 Pandemic / Joe Biden Wins the Presidency / "Black Monday" for oil / Brexit - End / SpaceX space launch
2021 The GameStop short squeeze / Ever Given halts global supply chain / COVID-19 vaccines / America withdraws from Afghanistan
2022 Ukraine Russia War in the Center of Europe - Sanctions for Russia
What awaits us next...
Potential events that may overtake us in the near future:
- The use of tactical nuclear weapons.
- Cyber Warfare.
- Hunger.
- The largest economic crisis (food crisis, trade supply crisis, energy crisis).
- New viruses, pandemics.
- Potential formation and formation of Kurdistan and conflicts around it.
- Massive Blackout.
- Conflicts of countries in Oceania.
Write in the comment section what you would add to the list above.
Best Regards,
EXCAVO
Dowjonesindustrial
REVEALED: THE DOW JONES 30 What, Facts and Make-upAll index traders trade it...
But do we know anything about The Dow Jones?
I'm going to break down what it is, some interesting facts about the Index and what companies makes up the index.
Save it because it's all you need for the Dow Jones.
WHAT IS THE DOW JONES?
The Dow Jones 30, or DJIA or "The Dow" is a stock market index that reflects the performance of 30 large, publicly traded companies listed on the New York Stock Exchange and the NASDAQ.
INTERESTING FACTS!
1. The index was created by Charles Dow, editor of the Wall Street Journal, in 1896.
2. The DJIA is calculated by taking the sum of the prices of the stocks of the 30 companies included in the index, and then dividing that sum by a divisor, which is adjusted periodically to account for stock splits and other corporate actions.
3. The DJIA is considered a "price-weighted" index, meaning that the stocks with higher prices have a greater impact on the index's value.
4. The DJIA is one of the oldest and most widely followed stock market indices in the world, and it is often used as a barometer of the overall performance of the U.S. stock market.
The DJIA is composed of a mix of blue-chip and cyclical stocks, which means that it tends to be more stable than some other stock market indices, but it can also be affected by economic and market cycles.
The DJIA is often abbreviated as "the Dow" and is quoted in points, rather than dollars. For example, a DJIA value of 32,920 means that the index is at 32,920 points.
WHAT IS MADE UP OF THE DOW JONES?
3M
American Express
Apple
Boeing
Caterpillar
Chevron
Cisco Systems
The Coca-Cola Company
DuPont
Exxon Mobil
Goldman Sachs
The Home Depot
IBM
Intel
Johnson & Johnson
JPMorgan Chase
McDonald's
Merck
Microsoft
Nike
Pfizer
Procter & Gamble
Travelers
UnitedHealth Group
United Technologies
Verizon Communications
Visa
Walmart
The Walt Disney Company
Exxon Mobil
What Index would you like to know about next?
I'll write about it and post it here.
Trade well, live free.
Timon
MATI Trader
DJI: Trump's Covid-19 Case - A Historical ComparisonIn this analysis I'll be shedding light on my own theory on:
- How President Trump's Covid-19 Positive news may impact the market
- Similarities and differences in historic cases
- Why Trump possibly announced his testing positive so quickly
Trump's Testing Positive
- Trump testing positive for Covid-19, 4 weeks before the presidential elections, is not good news
- Especially considering that the current market is momentum driven, such bad news is good enough to scare new investors from pouring money into the market
We can see a similar case where the president's medical condition negatively impacted the market
Historic case
- President Eisenhower suffered a heart attack in September 25, 1955.
- Before this incident, the stock market was at an unprecedented bullish rally
- Immediately after news was released that he was hospitalized, the market fell by 6%, leading to $14 billion instantly vanishing
- Eisenhower recovered, and it was later announced that his condition was not serious
- Eventually, the market bounced, and continued to rally upwards
- President Trump also announced his testing positive for Covid-19 a few hours ago
- Just as Eisenhower's case, the stock market is in an uptrend, with significant bullish momentum
- The market is correcting, due to bad news, but not as significantly as that of the past
- Just as Eisenhower, considering the fact that Trump will be taken care of seriously, it's most likely that he will recover from the virus
- As such, it's reasonable to expect that the market will continue to rally upwards
- However, it's also important to consider that market situations are not the same as the past
- For more in-depth explanation on what makes today's market special, check out my previous analysis below:
Why did Trump announce his condition?
- This is an important question to ask, as Trump announced his testing positive for Covid via twitter
- Trump is arguably the most powerful person in the world. He could have concealed his condition if he really wanted to, and later justify it as "classified information"
- What could have been Trump's intentions behind this?
- In the case of the Prime Minister of the UK, Boris Johnson, his support rate was at 48% prior to him testing positive
- After he got the virus, there was a sentiment of sympathy among the general public, leading to his support rate skyrocketing to 72%, an all time high support rate ever since Tony Blair
- Given this case, and the fact that the presidential elections will be held in 4 weeks, Trump could have been targeting this sympathetic sentiment among the general public
- It's also highly likely that Trump recovers quickly, with the best medical staff from the country treating him
- As such, he will be qualified to talk about the issue (as someone who has caught the virus), and suggest that he's the only one capable of solving the problem.
Conclusion
As past cases demonstrate, problems regarding the President's medical condition is never good for the market. However, given that the president recovers quickly, this could end up being a 'buy the dip' opportunity.
If you like this analysis, please make sure to like the post, and follow for more quality content!
I would also appreciate it if you could leave a comment below with some original insight.
Us30 - from FridayPrivate trade we took
Cannot upload everything we analyse - but this one was necessary as the target is was left to its own device here.
We only used a 0.5 contract to run to the target
and closed the other 1.00 before at target I.
The reason for the trade?
W bottom formation - included a double bottom on the 15min pattern.
We entered early and then as the rejection of the double bottom. again.
With indices you have to use a larger stop but with correct entry points it is possible to have smaller ones.
The base consolidated in the box and had some rejection wicks. we waited for the zone to re-enter to signify a fakeout.
DOW JONESDow Jones is the oldest index in the world.
This index always shows what is happening with the US economy - the largest economy in the world.
Soon can be a new crisis and the question why this is happening? people will have many answers
But I'm not talking about that
Each crisis created new technologies and new companies, and the people who created or invested or participated in this are rich.
Companies created in crisis 2007-2008
Blizzard
Whatapp
Airbnb
Uber
During the dot-com crisis and the Russian crisis
Amazon
Ebay
Netflix
Google
EXON
1991
Idex
Eccenture
1980-1982
AT&T
Adobe
1973-75
Apple
Microsoft
1969-71 Starbucks
1960-61 Humana
1937-38 Macdonalds
The crisis is changes, changes in the consumption model, transition to a new stage of evolution,
in the next crisis, someone will lose their jobs, and someone will create large multi-billion dollar companies
2008-2009 and Bitcoin are very good examples of this. I’m sure that Satoshi understood the flaws of the financial system.
and created bitcoin which is devoid of these flaws.
Create whatever
Best Regards EXCAVO
And thank you Kris Kacher
DOW JONES/SPX500 - EU woke up with a strong downwards moveHello traders
I. Wisdom of the day
I heard a lot of trading saying that trading INDICES (CFD) is only interesting when the USA wakes up.
Nothing could be further from the truth...
It's not common knowledge that the DOW JONES/SPX500 often give an interesting move when the Europeans wake up.
This interesting trade often happens between 6:30 and 8:30 am (UTC+2)
II. Why a 1-minute chart?
This is not a scalping trading method, it's intraday and based on smoothed indicators for entering in a strong trend only.
The Algorithm Builder method won't give more than 3/5 trades per day even.
Those are the most secure trades possible because:
- the system waits for a strong confirmation and will avoid the fakeouts
- the 1 minute allows to enter very early. This point is crucial.
I made it so that to enter early but with a minimum of security.
III. Signals of the day
3.1 Morning trade
No trade is easy. Especially when I just woke up, signal given in front of supports but... you know the drill... What's a decent way to reduce one's risk?
Answer : Wait for a pullback.
I usually wait for a pullback near the EMA(20) - symbolized by the red circles on my screenshot.
Pullbacks and invalidations are keys to reduce one's risk - which put more weight on the opportunity side of the opportunity/risk scale
3.2 Afternoon trades
The first signal was in front of resistances and against a leading trend. A leading trend in a bigger timeframe also increases the trade security => less risk
IV. Last words
Do you think that looking first to decrease the risk and then capturing the opportunity is the way to go?
All the best,
Dave
FINANCIAL MARKETS AND BUSINESS CYCLEIt is important to understand that primary trends of stocks, bonds, and commodities are determined by the attitude of investors during unfolding of events in the business cycle. An understanding of the interrelationship of credit, equity, and commodity markets provides a useful framework for identifying major reversals in each.
MARKET MOVEMENTS AND BUSINESS CYCLE
The bond market is the first financial market to begin a bull phase. This usually occurs after the growth rate in the economy has slowed down considerably from its peak rate, and quite often is delayed until...CONTINUE READING: tradersworld.co.in
