IIFT Daily Note with Peter Brown

The week in summary.

Posted by:  |  Time: 7:37 am  |  Topic:  |  Comments: 1
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This is how I see the market at present.

1. Ukraine at present is not serious enough to drop the market.

2. A deterioration from here either militarily or on sanctions can cause turmoil.

3.Market is split between those calling for a correction and those that think sell offs are buying opportunities.

4. In boxing terms we have a split decision. But high volatility, so the moves are large.

We have no clear direction so the trading strategy is to be flexible and buy on green sell on red. Wall St seems to be the driver and the main moves are happening in that time zone. Today could be a bit crazy as we have a long weekend and stock traders have to make a call that will span four days.

Elsewhere the Euro , while been talked down by all the Eurozone members is showing plenty of strength and well supported at 1.3800.

Today should be choppy/hurricane

Levels are:-  S&P (JUN) 1856  1840  Wall St (DFB) 16430  16325 DAX (DFB) 9360  9225 Euro 1.3850  1.3800  Gold 1305  1295

One Comment

Terry Pierce

April 17, 2014

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I think the situation in the Ukraine has potential to cause market turmoil as you mentioned and if we did see further deterioration or in fact military violence it could be a correction catalyst, however on the contrary if the troubles are resolved we could see serious money come back into the market. Its a split decision as you quite rightly said at the moment, probably better to be sitting ringside and watching.