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INVESTORS HANGING THEIR HATS ON THE 50-DAY MOVING AVERAGE

July 21, 2021

By Nigam Arora & Dr. Natasha Arora To gain an edge, this is what you need to know today. 50-Day Moving Average 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: Technically oriented investors are hanging their hats on the 50-day moving average and buying stocks. The chart shows the 50-day moving average. The chart shows five incidents of bounces from the 50-day moving average since March of this year. There is nothing inherently magical about the 50-day moving average. Why not a 40-day or

MOMO RESPONDS TO THE STOCK MARKET SELLOFF BY SHIFTING TO HIGH RISK STOCKS

July 20, 2021

By Nigam Arora & Dr. Natasha Arora To gain an edge, this is what you need to know now. Momo Shifts To High-Risk Stocks Please click here for a chart of Nasdaq 100 ETF (QQQ). Note the following: The chart shows that most of the damage to the stock market was done in the premarket. The momo crowd has shifted to buying high-risk momo stocks. There is logic to the momo crowd’s strategy. If the only factor was interest rates, it makes sense to buy high-risk stocks because interest rates have fallen and bonds have risen. With lower interest rates, the present value

A NEGATIVE GAMMA ALONG WITH VIRUS CONCERNS DRIVES THE STOCK MARKET

July 19, 2021

By Nigam Arora & Dr. Natasha Arora To gain an edge, this is what you need to know today. Negative Gamma Please click here for a chart of Nasdaq 100 ETF (QQQ). Note the following: The chart shows the last Arora call to raise cash. Smart money was selling stock futures yesterday evening. The selling has accelerated this morning. On the surface, the cause for the selloff is more concerns about the delta variant of the virus. The reality is more than the headline about the virus. The chart shows that RSI had a divergence. In plain English, this means that when

WEEKLY STOCK MARKET DIGEST: SMART MONEY IN THE STOCK MARKET WORRIED – NEW BIDEN FREE MONEY STARTS

July 17, 2021

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.’ RED HOT RETAIL SALES SHOW POWELL AND BIDEN MONEY PUMP WORKING July 16, 2021 To gain

MOMO STOCKS HIT AS SENATORS FORCE POWELL TO WALK BACK

July 16, 2021

By Nigam Arora & Dr. Natasha Arora Powell Walks Back Please click here for a chart of Nasdaq 100 ETF (QQQ). Note the following: Yesterday before the House, Powell maintained that he was not going to do anything about the Fed’s policies even though the Fed has clearly been proven wrong in its assessment of the economy. Today before the Senate, Powell came under intense grilling. Senator’s forced Powell to concede that tapering is under active consideration. In plain English, this means that the Fed is considering less money printing. Less money printing is bad news for momo stocks. The

A NEW ‘MONUMENTAL’ MARIJUANA BILL – THE TOP 11 MARIJUANA STOCKS

July 15, 2021

By Nigam Arora & Dr. Natasha Arora The Monumental Bill The top Senate Democrats led by Senator Schumer are introducing a new marijuana bill with great fanfare. Schumer said, “This is monumental because at long last we are taking stops in the Senate to right the wrongs of the failed war on drugs.” Here are the key points of the bill: The bill would allow states to write their own marijuana laws. Marijuana would not be on the federal list of controlled substances. The jurisdiction will be taken away from the Drug Enforcement Agency (DEA). The record of non-violent marijuana

MOMO BUYS STOCKS ON THE FIRST PUNCH BUT CANNOT OVERCOME SMART MONEY SELLING ON THE SECOND PUNCH

July 14, 2021

By Nigam Arora & Dr. Natasha Arora To gain an edge, this is what you need to know now. Double Punch 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 a double punch to the stock market today. The first punch occurred when CPI showed inflation significantly hotter than the consensus. For details, please read today’s Morning Capsule. To see a 20-year chart of CPI please click here. Smart money sold the first punch in the stock market as the chart shows. To

HOTTER NEW DATA HAS POTENTIAL TO HURT THE STOCK MARKET

July 13, 2021

By Nigam Arora & Dr. Natasha Arora To gain an edge, this is what you need to know today. Hotter CPI Please click here for a chart of the Consumer Price Index (CPI). Note the following: June Core Consumer Price Index came at 0.9% vs. 0.5% consensus.The headline CPI also came at 0.9% vs. 0.5% consensus. The data indicate that inflation is running much hotter than the consensus. For investors, it is important to take a look at CPI over a long term. This is the reason the chart shows CPI over the last 20 years. Note from the chart