Don’t Fear The Death Cross

The dreaded ‘Death Cross’ just triggered in the S&P 500 Index on March 14th, 2022. This is when the 50-day moving average crosses over the 200-day moving average to the downside. This has been known to be a very bearish chart signal for the stock market.

European Financial Stocks Are Signaling More Problems

Since the Russian / Ukraine war began the leading financial stocks have sold off. Often, the big banks could have some exposure to Russia and that could be the cause for the decline. This is normal and expected, but the leading European banks are much worse and could be signaling real problems for the European Union. 

Russia, Inflation & Rate Hikes, Here’s How To Trade It

 A case can be made that the major stock indexes have been in rally mode since late December 2018. That was the last time the S&P 500 index declined by 20.0%. At that time, the Federal Reserve also started to cut the fed funds rate back down to zero and began a massive $120 billion a month bond buying program.

Constellation Brands Inc (STZ) Slides After Merger Talks With Monster (MNST)

Leading adult beverage producer and distributor, Constellation Brands Inc (STZ), is falling lower today after having merger talks with Monster Beverage Corp (MNST). Obviously, Constellation Brands Inc (STZ) is the bigger company so this is really a possible acquisition on their part and that is why the stock is under pressure today.

Fiserv Inc (FISV) Slammed After Earnings, Here The Trade Level

Fiserv Inc (FISV) is another earnings victim failing to impress Wall Street investors. The stock is trading lower by 5.16% to $100.45 a share. The company issued upside guidance for FY22, but that is not helping the shares today. Traders should note that the 200-week moving average was tested earlier today at $99.18 and is holding.

Rally Or No Rally, Rates Still Have Higher To Go

 Since the Federal Reserve reversed course and said they will start to taper their $120 billion a month QE program we have seen rates begin to move higher. Obviously, higher rates have hurt technology stocks and their valuations recently. So now that the sharp correction/pullback in stocks has subsided, many talking heads in the financial media think that the Federal Reserve will be on hold as far as interest rate increases go.