Charles Green here, Senior Market Analyst here at Traders Agency.
Here’s today Market Pulse 360.
Market Pulse 360 for April 17, 2023
In the past 10 days we’ve seen a lot of volatility with one constant: NASDAQ has tested 12,100 four times (see chart) and bounced off this level, despite growing fears of a recession.
We are a couple of weeks away from the next Fed meeting (May 3) and likely to continue to experience high volatility until then, However, as we get closer to this date, fear of missing out (FOMO) will factor into trading.
The Fed discussed a pause at the last meeting and last week mentioned the possibility of a “mild recession.” Given the data continuing to show a downtrend in inflation, the Fed may increase .25%, then pause.
He could also pause without an increase at the next meeting, but this could be problematic short-term, because the market may view the pause (without a hike in rates) as the economy being worse than we know, but a pause without an increase in rates is unlikely.
If the Fed pauses at the next meeting, the market takes another leg up and could move higher before the meeting in anticipation of a pause in rate hikes at some point in the very near future.
Then, if you are not already positioned in high quality stocks, you will miss the move.
Keep in mind, the NASDAQ is up 30% since October 2022, leading the market higher, and a relief from rate hikes will certainly provide the catalyst for another big move.
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A Bit More About Me
My specialty is understanding financial markets and the drivers that influence longer-term direction. I’ve been an active trader focusing primarily on stocks for over 20 years.
I’ve also:
- Been an adjunct finance professor for nearly 20 years
- Worked as a financial consultant with Merrill Lynch managing millions of dollars
- Earned a Master of Science Degree in International Business and Finance from Georgetown University and a Bachelor in Arts Degree in International Studies from George Mason University.
- Spent 14 years as a Marine (I enlisted at age 17) traveling all around the world
My education, work and life experience gives me a broad view of the world, financial markets, and life in general that informs my trading and investment decisions.
My passion is helping others to take advantage of the best market opportunities to achieve their financial goals.
This gives me the greatest satisfaction, and it’s the reason why I continue to teach in the classroom and outside of it today with every activity in which I engage. I believe that I succeed only if clients succeed.
I am a very unlikely success story. And this is only because I believe that anything is possible with the right knowledge, focus, and winning mentality! When you have that, success is just a matter of time.
Charles Green
Senior Market Analyst, Traders Agency
