The Invisible Hand of the Stock Market

David Frost // Market Outlook

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May 12  

Today the bears tried to take control of the stock market early on, but had to succumb to the invisible hand under the market.

It’s truly amazing sometimes how numbers work out.  In tonight’s video you’ll see that knowing support levels and how to calculate them can be extremely profitable.

Today should be considered a bullish close, but since we’re in the midst of options expiration week, you can expect another volatile session on Wednesday with the market intent on tricking as many participants as possible.

Crude oil continued its bullish behavior.  Now we’re comfortably above the important $60.50 level with higher prices in the offing.

It’s interesting to see how many times crude tested our support / resistance line.  It not only validates the calculations for this market, but now brings into focus the next price target which is considerably higher.

Gold traded higher today.  It’s been a tricky market of late.  We’ll discuss the yellow metal in tonight’s analysis and I’ll provide as much information as possible in an effort to map out the next move [higher].

Bonds had an interesting day.  Early in the session this market was the odds on favorite to put in a bonafide reversal day.  It didn’t happen, but did hold the lows nonetheless.  We’ll get into the weeds during tonight’s analysis and dissect any possible trade opportunities.

The US Dollar came down to test some important levels in today’s trading session.  We’re at a very important junction in this market, so the weekly close will be much more important to determine if it’s safe to get back in the water.

About the Author

Trading and investing in markets is second nature to some, but a mystery to others. The goal is to provide a forum where everyday people aspiring to be part time or full time traders will learn how view markets differently and profit beyond their wildest dreams.

David Frost