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Market Review – January 2020

Happy New Year! In this month’s Market Review, our Chief Options Specialist, Jason Ayres, reflects on the January market and provides his predictions for what’s to come in 2020.

Here’s our overview:

There was little holding stocks back in December as investor optimism pushed stocks higher
Much of this optimism is supported by the following:
- Accommodative monetary policy
- Low interest rates
- A strong labor market
- A stabilization and possible increase in global growth projection
These are all considered signs of modest growth for the global markets
So, what are the risks?
- The potential for negative headlines and markets is at an all-time high
- U.S./China trade relations have made progress, but anything could happen
- Strain on U.S./Iran relations, which might cause companies to rethink their capital expenditure plans, slowing global growth expectations down
U.S. and Canadian stock markets began 2020 at an all-time high, meaning stock prices are expensive
A pull back in the markets is a growing probability, but upward earnings revisions may suggest further upside for stocks
The possibility of a Democratic White House will likely cool markets down, while Trump may try to keep the heat on the Middle East

George Karpouzis

George Karpouzis is the co-founder of Learn-to-Trade and has been personally providing education and mentoring to over 3000 members since 1999. George has been trading in the stocks, options, futures and forex markets using technical analysis since 1986. With the help of advancements in trading technology the Learn To Trade program is now accessible worldwide. His background and passion for teaching brings an invaluable asset to our members. George is constantly striving to improve the program content and develop new strategic relationships for the benefit of the members.