The Gilmo Report

September 29, 2019

September 28, 2019

This remains the most bizarrely news-fixated market I’ve ever seen in my 28-year investment career. The past week’s trading was marked by a great deal of volatility, all due to news. Hints from the President that the U.S. and China were “closer to a [trade] deal than you think” had the indexes rallying earlier in the week.

This was countered by news about impeachment proceedings against the President. On Friday, the news flow became a tornado as initial cooing from the China Trade Minister had the indexes up early in the day, but this was instantly reversed by news that the Trump administration was considering limiting investor flows into China, including de-listing Chinese stocks from U.S. exchanges.

An attempt by the NASDAQ Composite Index to retake its 50-dma after dipping back below the line on Thursday failed miserably on Friday. The index reversed at the 50-dma on higher volume as it broke to a lower low. On its face, the action is bearish.


The rest of this report is available for Gilmo Report Members only.
The full report will be available 45 days after it is posted. For immediate access: login or subscribe

Gil Morales & Company, LLC (“GMC”), 8033 Sunset Boulevard, Suite 830, Los Angeles, California, 90046. GMC is a Registered Investment Adviser. This information is issued solely for informational purposes and does not constitute an offer to sell or a solicitation of an offer to buy securities. Information contained herein is based on sources which we believe to be reliable but is not guaranteed by us as being accurate and does not purport to be a complete statement or summary of available data. Past performance is not a guarantee, nor is it necessarily indicative, of future results. Opinions expressed herein are statements of our judgment as of the publication date and are subject to change without notice. Entities including but not limited to GMC, its members, officers, directors, employees, customers, agents, and affiliates may have a position, long or short, in the securities referred to herein, and/or other related securities, and may increase or decrease such position or take a contra position. Additional information is available upon written request. This publication is for clients of Gil Morales & Company, LLC. Reproduction without written permission is strictly prohibited and will be prosecuted to the full extent of the law. ©2008-2019 Gil Morales & Company, LLC. All rights reserved.