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“BUY THE NEWS” REACTION TO HAWKISH POWELL

June 23, 2022

By Nigam Arora & Dr. Natasha Arora To gain an edge, this is what you need to know now. Hawkish Powell Please click here for a chart of S&P 500 ETF (SPY) which represents the benchmark stock market index S&P 500 (SPX). Note the following: In the Morning Capsule, we shared with you that there was angst about Powell’s testimony. In the premarket, stocks were being sold and the VUD indicator was orange, indicating net supply of stocks. The chart shows when the text of Powell’s testimony was released. The chart shows that it was a “buy the news” reaction. Powell’s testimony was hawkish, but it

THE MUST SEE CHART FOR PRUDENT INVESTORS ABOUT WHAT MATTERS THE MOST RIGHT NOW

June 22, 2022

By Nigam Arora & Dr. Natasha Arora To gain an edge, this is what you need to know today. The Must See Chart Please click here for a chart of the Fed funds rate going back to 1972. Note the following: The most important point for the markets right now is the terminal Fed rate. The second most important is how fast the Fed gets to the terminal rate. The chart shows the Fed funds rate at different times in history. The take away from the chart is that there is a historical precedence for the terminal rate going much higher than what is

WALL STREET IS FRONT RUNNING REBALANCING LEADING TO A RALLY IN THE STOCK MARKET

June 21, 2022

By Nigam Arora & Dr. Natasha Arora To gain an edge, this is what you need to know today. Quarter End Rebalancing Please click here for a chart of S&P 500 ETF (SPY) which represents the benchmark stock market index S&P 500 (SPX). Note the following: The chart compares SPY with NASDAQ 100 ETF QQQ and bond ETF TLT. The chart shows that so far in this quarter QQQ has lost 24.57%, SPY has lost 19.91%, and TLT has lost 14.74%. In quarter end rebalancing, investors will sell bonds and buy stocks. This is an age old tradition. The argument is that stocks should be bought because they have gone down more than bonds. Wall Street is front running the

WEEKLY STOCK MARKET DIGEST: PAY ATTENTION TO “NOT MOTHER OF SUPPORT ZONES” FOR TECH STOCKS, HERE’S WHAT TO DO NOW

June 18, 2022

By Nigam Arora & Dr. Natasha Arora Weekly Digest from The Arora Report is popular among serious investors and money managers because they have found studying insights from the prior week gives them an edge over the coming weeks. Here is the day by day rundown from the morning capsules made available every morning before the market open in the Real Time Feeds to the paying subscribers of The Arora Report. Please scroll down for the section ‘Protection Bands and What To Do Now.’ KURODA DIVERGES FROM POWELL, “NOT MOTHER OF SUPPORT ZONES” FOR TECH STOCKS June 17, 2022 To

A NEW SIGNAL FROM A MAJOR NEW DEVELOPMENT IN CHINA

June 17, 2022

By Nigam Arora & Dr. Natasha Arora Ratings The ETF of choice is KWEB. Both short term and medium term ratings are being upgraded to 🔒 (To see the locked content, please take a 30 day free trial). The long term rating is 🔒. Better Value Chinese internet stocks have been decimated. By many measures, Chinese internet stocks provide a better value than US internet stocks. Of course, no one should underestimate the risk of China. A Major Event There is a major event that may change the sentiment towards Chinese internet stocks. BABA is a Chinese e-commerce giant. People’s Bank of China (PBOC) has

SWISS SPOIL THE HOPE STRATEGY IN THE STOCK MARKET – SPOT ON EARLY WARNING

June 16, 2022

By Nigam Arora & Dr. Natasha Arora To gain an edge, this is what you need to know today. Opportunities Ahead There are significant opportunities ahead. Bear markets are great for knowledgeable investors to accelerate generating wealth. Do not fall for the common pitfall – many investors get excited when the market is going up and buy high, but when bargains start appearing as the market goes down, investors stop watching the market and become disinterested. The best way to avoid the pitfall is to focus on the clear goal of maximizing the wealth you generate over your lifetime. Click here for a

TO AVERT CRISIS, EMERGENCY ECB MEETING AHEAD OF FED; CONSUMER SLOWS

June 15, 2022

By Nigam Arora & Dr. Natasha Arora To gain an edge, this is what you need to know today. Fed Day Please click here for a chart of S&P 500 ETF (SPY) which represents the benchmark stock market index S&P 500 (SPX). Note the following: The chart shows that the stock market is at a critical junction. The chart shows that yesterday the stock market fell below the low band of the support zone. The chart shows that this morning bulls are trying to rally the stock market ahead of the Fed meeting. This is all momo crowd buying in the early trade. The pattern of the

WALL STREET JUMPS ON 75 BP BANDWAGON, BUT NEW INFLATION DATA MODERATE

June 14, 2022

By Nigam Arora & Dr. Natasha Arora To gain an edge, this is what you need to know today. Should You Buy Stocks Today? Start out with Arora’s Third Law: Making investing and trading decisions based on probabilities is the only realistic and profitable approach. Investors should think in terms of probability adjusted risk reward ratio. The momo crowd often buys before the Fed meeting. The market is setup such that whichever direction it starts moving, both machines and the momo crowd will aggressively go in that direction. As a result, there can be a violent move in either direction. For long