If we just view 2013 in isolation, we would say that it was a stellar year for the US Equity Market and indeed it was. However, the picture is both fantastic and frightening if we step back to a larger perspective from 2009 to present. We see a clear “Equity Arc” and compression in volatility…
Let’s take a quick holiday week peek under the bullish price action to view the end-of-year message from current S&P 500 Market Internals. We’ll take the chart step-by-step. We focus on price action – particularly key levels – for structure, targets, trade-planning, and trade management. After the Federal Reserve’s December ‘surprise’ (see prior posts: “Comparing…
What are the top reasons to trade through retirement? Or to incorporate trading strategies into your upcoming retirement planning? I wanted to share a link to an article entitled “Top Reasons to Trade During Retirement” from Trade Log in which I was featured which answers these questions. The image below links to the entire article:…
Despite the volatility in Apple (AAPL) shares, price has maintained a consistent trend structure with plenty of bull and bear flag trading opportunities (see my prior update from November) along the pathway. Let’s update our Apple price structure and key levels and note the bull flag that triggered this morning. I color-coded the downtrend structure…
I enjoy studying clear range patterns – like the one we’re seeing in Caterpillar (CAT) shares currently – because it makes trade planning parameters relatively simple. A trade is simply a “bet” on one outcome over the other, where the potential gain outweighs the potential loss; price trading into inflection points like this fulfills this…
Wednesday’s “Fed Day” surprise resulted in a 43 point intraday range for the S&P 500 along with a 364 point intraday range (high to low) in the Dow Jones Industrial Index. While certainly extreme, how does a 43 point intraday range compare with the past? Let’s take a look at the S&P 500 Range Volatility…
Gold prices rest on the final support precipice of a downside “Open Air” Pocket that could trigger very soon. Let’s study the structure, Weekly Fibonacci Grid, and critical confluence “make or breakdown” support: From the 2008 low (ahead of the March 2009 stock market low), I drew a Fibonacci Grid on the @GC Continuous Contract…
In the previous research post on “Buying or Fading a Keltner Channel Breakout,” I described a simple breakout (or ‘fade’) strategy and revealed the performance metrics on the strategy. In this post, I wanted to dig a little deeper to see if we could reduce some of the larger losing trades and try to enhance…
If price pushes above an upper Keltner Channel – which is an indication of Average True Range and Volatility – should we buy the breakout in hopes of an impulsive upward move or else ‘fade’ the breakout by short-selling an overbought/extended swing? A quick strategy backtest with simple parameters gives us the foundation to answer…
Shares of leading tech company Cisco (CSCO) shattered a Fibonacci and price support level to breakthrough to an “Open Air” chart pocket. Let’s take a look at these developments and note the next downside target should price indeed trade through the fast zone lower (away from support). We see the pure price Daily Chart with…