Stocks and investors likely to sell off after Janet Yellen speaks to Senate
All Eyes on Wall Street:
All eyes on Wall Street will likely be focused on Janet Yellen’s testimony to the United States Senate at 10:30 AM EST today, as well as the release of the Labor Department’s weekly jobless claims report scheduled for 8:30 AM EST. We are also due out for Retail Sales and Retail Sales ex-autos reports, so investors have plenty to chomp on this trading day.
Janet Yellen has been making plenty of headlines this week with her “no change” in Fed policy; stock markets and investors rejoiced on Tuesday when she testified to the US House of Representatives. Markets appear to be bleeding off momentum however, with the Dow Jones Industrial Average (DIA) and the S&P 500 (SPY) losing steam today. Are we looking at more stock market declines despite Yellen’s expected appearance?
Hindsight is a Beach and We’re Playing on It:
Hindsight was on our side on Tuesday, with all three indices moving in our direction. Yesterday was a mixed day for stock markets, with the Dow Jones Industrial Average (DIA) losing .19%, the NASDAQ 100 (QQQ) adding .24%, and the S&P 500 (SPY) losing .03%. Divergence is key and hindsight is always a beach.
Your Stock Market Forecast for February 13th, 2014:
I predict a decline in stock markets today, or in other words a potential day of Yellen doom and gloom.
Exchange Traded Fun:
Since we are going short, the following ETFs could be of use to us:
1X S&P 500 Inverse ETF (SH)
2X S&P 500 Inverse ETF (SDS)
3X S&P 500 Inverse ETF (SPXU)
1X Dow Jones Industrial Average Inverse ETF (DOG)
2X Dow Jones Industrial Average Inverse ETF (DXD)
3X Dow Jones Industrial Average Inverse ETF (SDOW)
1X NASDAQ 100 Inverse ETF (PSQ)
2X NASDAQ 100 Inverse ETF (QID)
3X NASDAQ 100 Inverse ETF (SQQQ)
Disclaimer: The content included herein is for educational and informational purposes only, and readers agree to Wall Street Sector Selector's Disclaimer, Terms of Use, and Privacy Policy before accessing or using this or any other publication by Wall Street Sector Selector or Ridgeline Media Group, LLC.