In conjunction with this morning’s post regarding the midpoint of a Linear Regression line currently intersecting the 1,715 index level, let’s also take a look inside the market at the “guts” or Big Three Market Internals which are flashing a caution signal after three days of intense upside price action. A quick view of the…
In the previous update about the “Trendline and Target Planning for the SP500,” we noted the index was at a critical inflection point and likely to reverse higher off the confluence support target to continue the lengthy uptrend in progress. I think we can all say that the market successful achieved its “support-bounce” goal better…
In our prior update for Google (GOOG), we noted the “End of August Key Support Level” which was an effective and tradable support level. Let’s update the chart and note the lengthy sideways trading range (rectangle) in the context of the weekly planning levels. Here’s the sideways rectangle trading range at work currently: The sideways…
Despite the market’s emphasis on headline news related to the government shutdown and looming debt ceiling debate, the SP500 has traded within the parameters of a larger trendline pattern structure. Let’s update our analysis from the prior September 30th “Daily and Weekly SP500 Planning” post and note the current trade level to watch for trade…
Speaking of instability of Market Internals from today’s earlier post, let’s take a moment to update our TICK Volatility Charts and make note of the recent changes to the popular market internal. We’ll start with a view of the “TICK Volatility” chart: For a quick review of how to interpret the data, see the following…
When assessing Market Internals, it’s helpful to classify the current state of internals as “stable” or “unstable” as I’ve shown in prior updates. The last week has shown a period of instability or “chaos” in Market Internals due to the recent volatile price action surprisingly continued within a clear trading range. Let’s update the “Big…
Despite all the major headline news events over the last week, the SP500 has remained relatively contained within well-defined price and pattern levels. Let’s update our key trading levels and plan potential breakout trading plans. In simplest terms, create short-term trading strategies from the highlighted rectangle consolidation pattern currently in motion. To be more specific,…
How do you recognize an intraday “Rounded Reversal” developing in real time? Let’s take a look at the near-textbook example from October 1st and learn three factors that tend to precede – or trigger – an intraday Rounded Reversal or “Failed Trend Day” pattern. Here’s the 5-min @ES Futures chart with the three main factors…
There are times when larger news situations overrule simple planning levels based on a stock chart. This week may easily be one of those events. With that in mind, let’s take a quick update on the Daily and Weekly chart-based key levels to watch (and create trading plans): If this weren’t a week where the…
Caterpillar (CAT) has been forming a longer term triangle or compression pattern as seen best on the Weekly Chart, but let’s take a look at a Daily Chart Bull Trap and return within the larger pattern boundaries. For traders, the stock may continue to set up range-based fading trades or an eventual breakout opportunity from…