Bullish on Tech, Financials & CAD/JPY

Published on
April 11th, 2019
Topic
Trading, FX, Technical Analysis
Duration
11 minutes
Asset class
Equities

Bullish on Tech, Financials & CAD/JPY

Technical Trader ·
Featuring Dave Floyd

Published on: April 11th, 2019 • Duration: 11 minutes • Asset Class: Equities • Topic: Trading, FX, Technical Analysis

Dave Floyd of Aspen Trading Group joins Real Vision to highlight three specific trades he’s looking at now on tech, financials & CAD/JPY. He analyzes the quantitative data, examines the technical setups and discusses key levels to watch out for. Filmed on April 9, 2019 in Bend, Oregon.

Comments

Transcript

  • AG
    AlA G.
    13 April 2019 @ 00:54
    David, looking at the flattening yield curve, one would think XLF is a short at lower high. How do you reconcile the fundamental with the technical?
    • DF
      Dave F. | Contributor
      13 April 2019 @ 18:15
      Fundamentals are horrible at timing. Quantitative and technical inputs are far better at timing. At some point, the yield curve may matter....but who knows when. For now, it is up and away for all 3 asset classes I noted int he video....
  • ZA
    Zach A.
    12 April 2019 @ 14:04
    David, Where would you recommend for me to learn about Elliot Wave analysis?
    • DF
      Dave F. | Contributor
      12 April 2019 @ 14:52
      Hi Zach....plenty of info out there, I suggest this PDF which is available for free online - https://www.pdf-archive.com/2015/06/23/balan-robert-elliott-wave-principle-forex-1/ Also highly recommend Dynamic Trading by Robert Miner. The Elliott wave Principle is also very good - just going through the first 80 pages will set the foundation.
  • AZ
    Angelo Z.
    12 April 2019 @ 04:14
    Elliot Wave......subjectivity living under the pretense of objectivity.
    • DF
      Dave F. | Contributor
      12 April 2019 @ 11:49
      Hi Angelo, I think that most would agree that ANY form of analysis (or indicators) had a degree of subjectivity to it....? BTW, the 'subjective' EW analysis I did for CAD/JPY has resulted in a +80 pip gain thus far... ;)
  • DR
    David R.
    11 April 2019 @ 23:34
    Dave, that wave 4 can't be over yet, don't you think? After just a short 11 weeks? Seems like a low probability that wave 4 is already over so very fast compared to the lengths of waves 2 and 3 which were both many times longer. Just not the right EW "look". Also, the rule of alteration w.r.t. wave 2 should play out. So expect to be currently in wave b of 4. For which a modest new high is permissible and optional. Wave c of 4 should follow and might retest the wave a lows (I said 'might'). Hmm? Cheers.
    • DF
      Dave F. | Contributor
      12 April 2019 @ 11:49
      Which symbol are you referring too - there is a couple of chart in the video?
    • DR
      David R.
      12 April 2019 @ 17:08
      Oh I meant the overall S&P as you mention a few times between 7 - 9 mins. The weakening dollar (USD been weak against some EM FX for awhile, plus DXY making a series of lower highs) might propel S&P up for awhile, but nevertheless the S&P chart could currently be in b of 4 (?).
    • DF
      Dave F. | Contributor
      12 April 2019 @ 18:08
      Yep - it could be....but the fact is there are no real reasons to look for lower levels. Yes, lots of things make little sense in here......but the Fed is dictating things now...stupid....yes, but why fight it? Hence, no reasont o be looking for tops, near-term or longer-term as of now.
    • DR
      David R.
      12 April 2019 @ 21:49
      Right. Like why fight the weaker dollar and currency manipulation that US policymakers are (hypocritically) engaging in. As for stocks, as you know, b-wave (if this is one) allows for a new high. But it must not be a massive new high, and it must be followed by a large reversal. Volality is very low but divergences and early indicators suggest another Vol event is building that could catch many by surprise again... Third time's a charm!
  • lD
    lance D.
    11 April 2019 @ 18:01
    Hi Dave nice video . Im a little confused on how you get to a cad/jpy as a way to play the XLF and XLK . i sort of understand JPY leg as they deal in microchips and 'what not' also i suppose japanese firms need to hedge the currency however i don't understand the Canadian part fancy shedding some light on your choice of currency pair to express the 2 ETF's please cheers
    • DF
      Dave F. | Contributor
      11 April 2019 @ 18:05
      Iance....thanks for the question. You are digging in too much. It is really simple: bullish tech, banking and thus bullish S&P's = higher CAD/JPY....simple correlations. You could say the same thing about USD/JPY, EUR/JPY and AUD/JPY