Despite bank run, why is the market higher? • First, the bank run APPEARS to have stabilized
• Second, the inflation SEEMS to be taming
Do not be complacent, keep on keeping track of the coming market developments. Just like what Jerome Powell said on the 3rd May after the latest interest rate hike, in the meeting conference, he said “We will take a data-dependent approach, our future policy will depend how events unfold … meeting by meeting.”
I totally agree with him! As a retail investor, we can study into the price behavioural movement and I did quite a few videos on that (see below), market will usually give us early signal and we should be able to tell before the next crisis hits again.
Trading & Hedging in Nasdaq -
E-mini Nasdaq Futures & Options:
Minimum fluctuation
0.25 index points = $5.00
Micro E-mini Nasdaq Futures & Options:
Minimum fluctuation
0.25 index points = $0.50
Disclaimer:
• What presented here is not a recommendation, please consult your licensed broker.
• Our mission is to create lateral thinking skills for every investor and trader, knowing when to take a calculated risk with market uncertainty and a bolder risk when opportunity arises.
CME Real-time Market Data help identify trading set-ups in real-time and express my market views. If you have futures in your trading portfolio, you can check out on CME Group data plans available that suit your trading needs www.tradingview.com
Creditsuisse
Why Russell Index the most Reflective for Bank Run Crisis?Russell represents the true economy of United States.
There are 2,000 medium size companies with each value between $300m to $2b. The index includes a diverse range of companies from various sectors, including financials, healthcare, consumer goods, industrials, and technology. In my opinion Russell represents the true economy of united states.
If the bank run crisis deepens, it is possible that 2,000 companies will not hold up well. The reasons for this are stated in the video. This could affect the other major indices, with the Russell 2000 potentially leading the pack. The Russell 2000 is considered more reflective of the US economy compared to the other major indices with big names like Apple, Amazon, and Microsoft.
E-mini Russell 2000 Index Futures & Option
Outright:
0.10 index points = $5.00
Micro E-mini Russell 2000 Index Futures
Outright:
0.10 index points = $0.50
Micro E-mini S&P 500 Index Futures & Option
Outright:
0.25 index points = $1.25
Micro E-mini Nasdaq Index Futures & Option
Outright:
0.25 index points = $0.50
Micro E-mini Dow Jones Industrial Average Index Futures
Outright:
1.0 index points = $0.50
Disclaimer:
• What presented here is not a recommendation, please consult your licensed broker.
• Our mission is to create lateral thinking skills for every investor and trader, knowing when to take a calculated risk with market uncertainty and a bolder risk when opportunity arises.
CME Real-time Market Data help identify trading set-ups in real-time and express my market views. If you have futures in your trading portfolio, you can check out on CME Group data plans available that suit your trading needs www.tradingview.com
Bank Run to Gold Rush Gold rush up accordingly to each major news during the bank run crisis in March.
Problem seems to subside for now. We will explore the possibility of a contagion effect to a wider bank run in this video.
A story of having too much money problem
• It is a bank – need to pay interest to depositors
• During pandemic - invested 10yrs bonds yield average 1.79%
• Before Feb 2022 Fed fund rate at 0.25%
• Mar 2023 Fed fund rate at 5%
How about the other banks, will they also have a similar problem in time to come? With uncertainty still lingering I am seeing opportunities in Gold, other precious metals and commodities.
3 types of gold for trading:
• COMEX Gold
0.10 per troy ounce = $10.00
• E-mini Gold
0.25 per troy ounce = $12.50
• Micro Gold
0.10 per troy ounce = $1.00
Disclaimer:
• What presented here is not a recommendation, please consult your licensed broker.
• Our mission is to create lateral thinking skills for every investor and trader, knowing when to take a calculated risk with market uncertainty and a bolder risk when opportunity arises.
CME Real-time Market Data help identify trading set-ups in real-time and express my market views. If you have futures in your trading portfolio, you can check out on CME Group data plans available that suit your trading needs www.tradingview.com
Key Levels and US Market Review for the Asian session open 16/03A review of the price action from the European session and the US session.
European markets were hammered lower on the back of concerns for Credit Suisse and the broader banking sector. The DAX and UK100 were hit hard while the key US indexes held up well considering the fear in Europe. I expect that there may be some catchup from the US if things get worse and more comes to light as analysts take a deeper look at other banks.
I continue to be of the view that sticky inflation is the big issue and will weigh on share markets if the Fed, and other major central banks, can not get it under control....this all points to more 'risk off' into major share markets.
I look at some key levels to watch and the price action setups I expect to see play out on the major markets below.
Markets covered :-
DOW
Nasdaq
DAX
FTSE
ASX200
Hang Seng
USD Index
Gold
Oil
Copper