Trading Plan – Monday 29th November 2021: Omicron over-reaction reverses, obviously

Mark NugentNov 2021, Trading Plan

Trading Plan – Monday 29th November 2021: Omicron over-reaction reverses, obviously

Good morning traders.

Friday saw the most negative risk sentiment in a year as news of the Omicron variant emerged. Omicron is the 15th letter of the Greek alphabet. The first 12 have been used already. Did you know that? I didn’t. Number 13 is “Nu” which the WHO thought might be confusing (Nu New Variant) and the 14th letter is “Xi”. The sober suits at the WHO thought “Xi variant” might be associated with Chinese Premier Xi and that’s just too hysterical.

It was screamingly clear that the huge move down in asset prices on Friday would reverse, at least in part. On the Sunday night market open I went long on Japan225 and WTI. So far both are in the money.

Looking ahead we have CPI in the Eurozone which may test the ECB’s resolve to do nothing in the face of rising inflation. Thursday sees an OPEC meeting where they will review their options in the light of the recent release of strategic oil stocks in the US and elsewhere. Then we have the usual first-Friday-of-the-month shenanigans in the US.

This week is going to be largely about Omicron, sentiment, and the variant-related news flow.

As always, I go through my trading themes for the week in the member’s video.

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