Daily Alert – Wednesday 10th January 2024: Reversal opportunity with Japan225?
The markets are very quiet ahead of tomorrow’s US CPI report.
There is one interesting move. The Japan225 is soaring upwards for no apparent reason. Yesterday it closed at a level not seen since 1990 which seems like yesterday, but some believe was in fact 34 years ago. I have tried to get a straight line on the reasons for this move but have so far failed. It looks to me like some kind of over-reaction. In fact, it must be because there has been no change to the fundamentals of corporate Japan in the last 24 hours. What do we do when we see an over-reaction? We consider trading the reversal which often follows. I’ll be giving this some close attention later tonight.
I’ll be back tomorrow, and we can pick the bones out of US CPI.
VIP Club members can see today’s video, all brief trading videos, the Monthly and YTD Performance videos, the Trading Video Course and download the MTM Indicators software HERE