Monday, November 28, 2016

Fed Supporting Stocks

See Full Report
*We've been tracking Federal Reserve balances. They've been moving up the last two weeks which gives the market extra support.
*Longer term we still see their reserves in a downtrend which, if it continues, should be a weight on markets.
*It will be more important to update their moves into their next FOMC decision mid December.

We've been tracking Federal Reserve balances. They've shown the ability to lead markets higher and lower. These are the same balances that built up in the quantitative easing ("QE") process. QE was a key driver to support the market. Changes in these reserves affect the bond market and so the stock markets.

Source: New York Fed

Disclaimer: All investments have many risks and can lose principal in the short and long term. This article is for information purposes only. By reading this you agree, understand and accept that you take upon yourself all responsibility for all of your investment decisions and to do your own work and hold Elazar Advisors, LLC and their related parties harmless. Any trading strategy can lose money and any investor should understand the risks.

#in, $spy, ^GSPC, INDEXSP:.INX, #elazaradvisorsllc, CME Globex: ES Disclosure: These trades can lose you money and principal especially when using leverage BY USING THIS SITE YOU AGREE TO TAKE ALL RESPONSIBILITY FOR YOUR OUTCOMES AND LOSSES AND HOLD ELAZAR ADVISORS, LLC AND ITS RELATED PARTIES HARMLESS