Markets Drop Sharply As Dollar Spikes

The markets have flushed into the key SPDR S&P 500 ETF (NYSE:SPY) support level at $127.60. This level was a long signal taken for a scalp. As of now, the SPY is trading at $127.80. Half of the position is off the table for a $0.20 profit while the remainder has a $0.50 profit target and has a break even stop.

The markets are taking a beating as the Dollar has advanced higher from the open. More worries are bubbling up out of Greece as word is, a bailout is expected by the end of the month.

This is a rare drop in the markets for a Friday. However, with the continued worry out of Europe and now the United States in regards to the job market and debt ceiling, few investors want to hold positions over the weekend.

Commodities are taking a beating today on the back of the stronger Dollar. The United States Oil Fund LP (NYSE:USO) is trading at $39.23, -0.91 (-2.27%) while the SPDR Gold Trust (NYSE:GLD) is trading at $149.58, -0.98 (-0.65%). These commodity declines are sending shares of market leading stocks like Exxon Mobil Corporation (NYSE:XOM) and Chevron Corporation (NYSE:CVX) sharply lower.

As volume lightens up on this Friday session, the markets may continue to float off the lows. That is why I am holding the second half of my SPY trade long with a break even stop. The first half makes it a profitable trade, no matter what.

About Gareth Soloway 168 Articles


Gareth Soloway has been an avid swing and day trader since his days at Binghamton University where he studied Economics. After college, Gareth quickly excelled as a financial advisor, helping clients get their financial houses in order. While helping others gain financial independence, he continued to study the day trading and swing trading world, developing a unique market philosophy and proprietary methods. Following his work in the financial sector, Gareth went on to trade alongside professional traders. Unable to tolerate the hype of Wall Street any longer and having an amazing ability to profit using his developed techniques, Gareth Soloway decided to partner with his friend and colleague, Nicholas Santiago to form Chief Market Strategist Gareth Soloway serves as the president and CFO of InTheMoneyStocks.Com.

Visit: InTheMoneyStocks

Be the first to comment

Leave a Reply

Your email address will not be published.