Market On Open, Wednesday 6 November

Market On Open, Wednesday 6 November

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Why Charts Matter

by Alex King, CEO, Cestrian Capital Research, Inc

On Monday we noted that the Vix was elevated and likely to drop post election, and that if this happened, equities would likely move up. (See Monday’s note here). So far that is the case. Anything can happen tomorrow or even by the close today, but for now the bull theme remains dominant I think.

Our SignalFlow AI service, by the way, was undaunted by the emotion of the election. This is an entirely model-driven service which utilizes machine learning to identify times when the model believes that the market is likely to sell off (= risk off) and times when the model believes the market is likely to hold steady or move up (=risk on). We launched the service in the middle of fairly turbulent times during the run-up to the election; the model has pointed simply to risk on throughout. Anyone following its outputs rather than the worries in their own head has likely been both calm and had the opportunity to make money. If you’d like to know more about the service, you can read about it here:

Now, excitement over, let’s get back to work.

Short- And Medium-Term Market Analysis