Ira Epstein reviews the days trading in the Financial markets. For more information and access to Ira’s free offers for futures traders, visit
Foreign the weekly appearance of ivy rose is that she’s not cute as can be um let me just say she’s going to be six months old next week and look at how big she got from when she was she’ll be 25 pounds when she’s through all right everyone today is thursday we’re at the 20th of october 2022 about 6 45 p.m central time so interesting stock market uh the earnings
Not as stellar as they were you’re starting to hear more and more failure snap down today a big one carrying the market afterwards down 25 airlines still doing very well get verizon a number of others tomorrow but my point isn’t that i don’t want to talk earnings right here it’s what the stock market did on that rarely getting up as high as it did and in many of
The cases we hit bollinger band tops and we have gone to sleep that is so important to understand the next step is you’re in a transition it’s happening right now we are moving from thinking about earnings as to what the heck is this going to mean for the next round of the rate hikes that the fed is going to do the market is already discounted mentally a 75 basis
Point hike so you’re getting traders already talking about december you can’t talk about december until you get a better handle on exactly what you’re going to have in the way of cpi numbers and jobs speaking of jobs mr musk said today that he is going to fire 75 percent of the twitter staff when he takes the company over that’s he’s got 7 500 employees there i’d
Be running for the hills what he’s going to do why he’s doing it i don’t know he’s not spending 44 billion to kill the company you can count on that so he’s got something in his mind uh whatever it is but that’s going to impact other things and you know i keep watching the jobs market for what it is the good news is holiday hiring is going on and you know the
Fares are taking place and everybody wants to hire for the holidays the bad news is the spending is going to be down for the holidays so i’d be a bit careful with that just want to show you here we’re going to talk pivot points in a minute so you might want to uh get ready for what i’m going to do there all right let’s come back they’re important because in this
Market where you get the quiet action you get the opportunities with them okay so here we are in the s p 500 index and you’ve laid down at the 3600 level the old brake low zone and the market’s pausing on you is it going to give you another leg to the downside from here or is it going to try to give you a bit of a rally that you can work from late that’s what
I don’t know if this is it and it lays down the end of the year rally could be even better than i thought and i’m still looking for the end of the year rally and yes i know that we’ve had a nice rally here and when i did my uh special report three weeks ago it’s very well fit into everything that that report was doing so the timing of those events are very were
Very good and they played themselves out when i look at the sideways action can you deny in any manner that you’ve left this and now you’re just going sideways so is it a top or a bottom is going to be the big question when we take a look at the day-to-day action we have higher and lows higher highs that’s bullish the market is though stuck and it ran up to the
18-day average if you take my charting course what do i teach you markets that eventually correct like to go to the 18 day average i call it the line in the sand and they fight for the new direction i am not surprised on this at all this is where that battle is taking place if the market moves one way or the other i predict that the problem will be the upper band
Or the lower band i already know my parameters i can see what neutrality is and i wait to see which way the market’s going to give me an edge even momentum is going slow you haven’t gone anywhere the next market is the mini micro nasdaq it rallied back to the 18-day average and ran and stopped okay everything from the lower bollinger bands i can come back here
To this chart lower bollinger bands that’s why bollinger bands are so important the gravy came out of the market after it got back to the 18 day average got there and it stopped and if you’re a trader and you understand this you you move your focus to other places the easy play is over and now you get a reactionary market that is go doing this what’s the next big
Move going to make well when you bounce because you’re under the 18 day average your bias is down it’s just a bounce it’s not a resumption of the downtrend yet it’s a pause we have to see which way the market wants to ultimately go the strongest was the dow it not only stopped down there it went fought a battle for three days at the 18 day average and then this
Decided to go to the upper band so you’ve gone from lower to upper band and now you’re breaking back probably going to get to that 18 day average to figure out what the next step is so is this the place to be right now it is not the other strong market did the same thing almost missed it just missed hitting that lower band right there but it certainly got up all
The way that i thought it would get up here and that’s where the market ran out of some of the momentum okay neutral still because you’re right at the 18 day average of closes the interesting one that i’m not getting a handle from is the vix the vix broke down today under 30 42 reestablishing the downtrend normally if you drop in the vix you’re rallying in the
Stock market interesting are you buying protection or not they’re not buying protection okay i predict i’ll stick my neck out here if you hit 28.50 the lower band the pros will come in and write puts saying you’re not going to go down very far and you’ll come back to the 18-day average and that’s where they’ll try to cover those it’s a strategy that i talk about
All the time here in the bond market you’re embedded embedded means until it loses that red line over 20 given rallies in the market the pros are going to keep selling it and it just keeps humming to the downside you haven’t yet embedded in this in the five or the ten year you’re working on it you can get it done right away here and if it does i look for even
Lower prices in those the dollar index reminds me of stock indices the market first off doesn’t want to run to the upper and lower band which is different than those but it is stuck at the 18 day average the trend itself this part when the market was in the narrow bollinger band and exploded to the upside is over so when people say the strength of the dollar the
Dollar is going sideways it isn’t super strong it’s held on to most of the strength but it’s not making new highs at this point and if the dollar is not going anywhere you’re probably not going anywhere in the euro currency and that’s exactly the case look at the sideways action now the british pound you would think losing a prime minister in 44 days would break
The market it didn’t because they thought she wasn’t capable her plans were that of like i said president there it again she’s going to cut taxes on the rich he’s going to spend money she doesn’t have she’s going to lower income for all she’s going to give everybody money for their energy bills where does this all come from these are called dreams craziness and
The craziness led to the shortest prime ministership of all people she put in were her friends market knew it that didn’t last now you got i think six seven new candidates and believe it or not boris johnson is back in play he and president trump these are they they arrive they come back from the dead okay and i make you a prediction here if mr johnson if he is
Elected prime minister can you imagine what president trump is going to do say and how invigored he’s going to get can just imagine that like it or not not talking whether you like the man or not again that would that would be the catalyst something to think about in bitcoin i’m still have market action here that i would tell you to avoid like the plague look at
How that market’s just stuck in that narrowness and when it happens remember what i teach you the volatility comes out of the market and you’re trying to catch moves that don’t they they don’t have traction you got to be very careful of that differential between brent and wti slipping a little bit the market is digesting the craziness that president biden came out
With with the 70 dollar florin oil and as i said i have my own doubts that any of the big oil companies are going to join in with them it’s going to be his second event like when he ran the saudi arabia for help and that didn’t happen and now he’s running to big oil for help and he’s the one that hurt them he’s the one that stopped the production in america of what
They were doing he’s the one that stopped the keystone pipeline okay let’s hang it where it belongs and now he wants their help to replenish and produce more oil from them he won’t get it he’ll get it from the mom pop producers in america this is their go-ahead to do it this is their thing they can go to a banker i know i can get seventy dollars for my oil help me
Out with that and they don’t have stockholders so they’re not worried about stock buybacks and the like and a lot of our oil comes from though that level of oil producers a real out of it okay but you are caught temporarily between the 200-day average in gray and the 18. in order for the market to start picking up you got to start clearing this number then you can
Open the door up for higher prices there’s a but close under the 18-day average of closes and you have lower highs you already have lower lows it’ll trigger potentially a selling wave in the market what about in wti same thing and notice how it’s flirting with that so those are the things i look at at least as i’m looking at the chart in the heating oil market
Interesting i just got my natural gas bill today and we’re only at october 20th and i i believe i’ve turned the heat on maybe for two weeks not every day again i live in the midwest we’re 30 the other morning you got to have your heat on i mean there’s no getting away from it the highs of the past three days have been 45 50 degrees so you’re running it so i got the
First part of it it went up a third from when i wasn’t using it already okay so i have a feeling i’m in for a bad time in any case you’ve got a higher high low or low and you’re very stable right here this is where you should fall to the 18 and the 100 day average waiting to get an event that’s going to carry the market now in natural gas it continues to crash the
Weather forecast for the next 10 12 days is still mild for this so each day that goes by you’re not using up any of the btus and that is a real problem for this market it keeps building now you’ve got four days in a row under the lower ball in japan you’re probably going to embed here i would say you get a rally short covering rally’s the pros on through hitting
This market on the downside i’m my rhapsody i want to remind you about one thing we keep talking about it pivot points bollinger bands ideas on trading and if you take a look and you work with our pivot point series i think you’ll fall in love with it i put together how i teach my other courses i did this one for free so you’re going to learn how to use pivot
Points along with momentum as i teach it in my slow stochastics and from there you’re seeing the buy and sell points it’s for in and out trading it is not a position trading tool it is i think a great tool to hone in during the day your entry point for trades you might want to hold on to longer term and the like that’s how i use it very frankly i don’t use it for
The day trading part but i do use it that gee i want to get long or short of the number and look at the pivot point am i holding out too long maybe i start building a position or telling my clients to build a position okay you can and by the way i i look at it when i’m looking at my stock account all the other things why not that’s the way you look at it am i
Rapstein to get this for free just go to our website at irapstein.com under the free offer area or just come up here with your finger give it a click away and away you’ll go that you’ll see the icon click it and sign up i’m ira take care
Transcribed from video
Ira Epstein's Financial Markets Video 10 20 2022 By Ira Epstein
