The Market Structure Map
August 29, 2018
“If a stock trades 500,000 shares daily,” said panelist Mark Flannery from hedge fund Point72 last Thursday on my market-structure panel, “and you’ve got 200,000 to buy or sell, you’d think ‘well that should work.’ It won’t. Those 500,000 shares aren’t all real.” If you...
August 22, 2018
Today this bull market became the longest in modern history, stretching 3,453 days, nosing out the 3,452 that concluded with the bursting of the dot-com bubble. Some argue runs have been longer before several times. Whatever the case, the bull is hoary and yet striding...
August 15, 2018
“Treasury yields rise as Turkey worries fade,” declaimed a headline at Dow Jones Marketwatch yesterday. This one day after the New York Times bleated, “Plunge in Lira, Turkey’s Currency, Fuels Fears of Financial Contagion.” Why are stocks, ostensibly propelled by fundamentals (earnings and revenue growth...
August 8, 2018
There are two pillars to market intelligence: The Rules, and The Money. By market intelligence, I mean information about what’s pricing a stock. So, translating, information about what’s pricing a stock must derive from the rules that govern stock-trading, and how money conforms to those...
August 1, 2018
We are finally watching Breaking Bad five years after the most successful basic cable series in television history ended. It’s symbolic of the era that we’re viewing it via Netflix. And NFLX Market Structure Sentiment is bottomed, and shorts have covered. We’ll come to market...
July 25, 2018
The earnings-versus-expectations construct that fixates Wall Street and business journalism as companies report results fuels bets on which shell hides the pea. In fact, the stock market is built now on hiding the pea and moving the shells, apparent in the Fee Pilot debate we’ve...