With the Easter holidays behind us, focus will switch to earnings today as Bank of America (BAC) and Bank of New York Mellon (BK) report, exclaims Ian Murphy of MurphyTrading.com.
Financials always lead the earnings season and are seen as a proxy for business activity.
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At 07:15 ET, futures for the main US equity indices were down an average of 0.36%. The sharp selloff on Thursday afternoon can clearly be seen on the left of the charts above. Market participants remain on edge as talk of a central bank manufactured recession in the US gains traction.
They say, "When America sneezes, the rest of the world catches a cold", and sure enough developing nations are coming under serious financial strain. Sri Lanka hit the headlines over the weekend as their foreign reserves are all but depleted and citizens have taken to the streets.
In terms of trading strategies, an excellent question came in about protective stop management when weekly trend following. There are three possible locations for a trailing stop when trend following, and rather than try to explain in writing, I will do a short video later today, keep an eye out for the notification email—and keep the queries coming.
Learn more about Ian Murphy at MurphyTrading.com.
