Quick – what would imagine as the worst looking chart ever?
I’m sure a lot of images come to mind, and while this example might not be the worst ever, it is definitely worth noting, at least from a ‘trivia’ standpoint.
The stock is WellCare Group (WCG) and the price closed Wednesday at $115 and opened Thursday […]

Excluding Island Reversals, there are three major types of gaps that occur in technical analysis. Amazon.com does a great job of teaching us the difference between these gaps, as price has presented a near textbook example of the normal progression of the three gap types. Let’s look closer.
1. Breakaway Gap
Breakaway gaps occur […]

I have to admit - rampant volatility and major updays followed by major down days are - to me - rare in the market.  So, when such an example happens, it is always interesting to delve deeper and learn what ‘went wrong’ so that we can have a greater chance to profit or avoid mistakes […]

While there may be an unlimited number of potential price patterns in the market, most popular price patterns fall into two broad categories in relation to trends:  Reversal Patterns or Continuation Patterns.  Knowing more about specific patterns may help you determine which resolution in price is likely to occur.
Without delving too deep into the topic, […]

The Dow Jones Industrial Average, as well as the S&P 500 are showing a similar technical picture - that of strength in the face of ‘danger.’
Both major US Indexes inflected nicely off a solid level of support, drawn on both charts, which has both served as support and resistance over the last few months.  The […]

I had an amazing trip to Chicago, and I intend to post more on that in the coming week, but first, here are some quick links to start your week:
Smart Money Tracker: “The Real Bull Market… Commodities!” Shows amazing charts on commodities and how they have appreciated.
Smart Money Tracker: “Trading […]

The headline may sound like something out of The Twilight Zone but that is exactly what happened with the anniversary of the 1987 Stock Market Crash on October 19th, or Black Monday.
The Dow Jones Industrial Average surrendered 367 points (-2.64%), which drove price definitively through the rising 20 and flattening 50 period exponential moving averages, […]