Security Trade Ideas March 2018

“Investors should pick companies with a healthy balance sheet and let the fundamentals rule and not their emotions.”

Our goal at Security Trade Ideas (STI) is to provide our readers with profitable Security Trade Ideas and Education to enable them to manage their own portfolio. We don’t charge fees for our services. We truly work hard to achieve this objective by creating our posts on quarterly basis. We perform extensive research to pick the right Stock or an Exchange Traded Fund (ETF) for your portfolio.  We also share Security Trade Ideas and Financial Information on our Facebook page https://www.facebook.com/sectradeideas/ and on our Twitter page https://twitter.com/sectradeide

In this post we will be talking about the global trade issues. We will look at economic data. We will provide Security Trade Ideas. Lastly, we will provide information on some volatility products that could be used to trade this volatile market.

As you have witnessed this market is wavy (volatile) to say the least and it’s time to get defensive. Buy gold and some Put Options on U.S dollar and the S&P 500.

If you follow us on Twitter, we did indicate to protect your portfolio by buying Put options on the S&P 500. Further, it is our opinion (not a recommendation) that if you have equities with great fundamentals and are long-term investors, just ride out the waves without getting emotional or sea sick.

The longer term S&P 500 chart is in the uptrend in the short-run. Trends are intact but if it goes below February 2018 low (tech and financials) 2500 – 2170 – bull market over? Perhaps – loss of momentum could be a bad.   In a bear market we get short term rallies. S&P could go below 2200. The loss of momentum is a big concern.

DAX sees the Death Cross, where the 200-Day Moving Average crosses the 50-Day Moving Average, where it causes technical selling.

We have rising debt, rising interest rates, geo political risks, trade discussions, yield curve, rising inflation and increased valuations (perhaps not so much as before). Therefore, we have a very volatile stock market. Why is it important to pay attention to all these factors as it relates to share prices and the stock market?