by NelsonCorp Wealth Management | Apr 14, 2022 | Indicator Insights
We have found that interest rates tend to call the tune of the stock market. In particular, the stock market tends to get stressed out when interest rates rise rapidly. Why? One reason is that bond yields (i.e., interest rates) compete with stock dividend...
by NelsonCorp Wealth Management | Apr 7, 2022 | Indicator Insights
This week’s featured indicator aims to stay in harmony with the stock market’s long-term trend. To do this, the indicator first calculates the 200-day moving average of the MSCI World stock market index. The MSCI World Index (priced in U.S. dollars)...
by NelsonCorp Wealth Management | Mar 31, 2022 | Indicator Insights
The stock market runs on money. It prefers an environment in which liquidity is readily available and banks are flush with cash. So naturally, we look to the nation’s central bank, the Federal Reserve, for clues on liquidity. The Federal Reserve is primarily...
by NelsonCorp Wealth Management | Mar 24, 2022 | Indicator Insights
This week’s indicator focuses on two important stock market forces: upside breadth and momentum. A stock with momentum means it is trading at a higher price level compared to its recent past. So, for the stock market as a whole, we want to see a lot of stocks...
by NelsonCorp Wealth Management | Mar 17, 2022 | Indicator Insights
This week’s indicator is a particular type of momentum indicator called a stochastic oscillator. The idea is to compare the closing price of the stock market to a range of its prices over a certain period of time. This specific indicator looks at the range of...
by NelsonCorp Wealth Management | Mar 10, 2022 | Indicator Insights
A lot of stuff in the financial world has to do with expectations. The stock market, for example, is based on expectations. It’s a forward-looking mechanism. This means that the price of stocks today reflects—among other things—what investors anticipate the...