I wanted to share a quick lesson on locating a triple multi-day confluence support zone in the intraday SPY (and S&P 500) that helped shape Friday and now this morning’s trading tactics. Let’s see the Triple Confluence and how to put it to work for you in the future: While we can always see how…
I’m a huge proponent of segmenting the broader stock market into sectors and then comparing which sectors are outperforming the other using insights from the classic Sector Rotation model. I came across a new way of viewing sector breakdown performance from FinViz’s website with their Group Screener Grid tool and I wanted to share that…
Keeping with the simplicity theme, it’s often very informative to watch price as it interacts (tests) a critical “psychological” technical level – for example, $100 for Crude Oil. Let’s take a look at the current and past “power plays” crude oil has made at this key Bull/Bear Battle-Zone: Technical Analysis (charting) doesn’t have to be…
Sometimes it’s the simplest things that make the most difference/impact. Take for example the daily VIX – Volatility Index – and its 200 day Simple Moving Average: While there are other standard indicators on the chart, let me call your attention to the flat red line – the 200 day simple moving average. The VIX…
“How can you know in advance/in real time whether a breakout is real or a trap?” That’s a question I’m frequently asked at Expos/via email and it’s a very important question. While there’s no 100% method (I wish there were), knowing how to read market internals gives some of the best clues available – so…
The US Dollar Index continues to flirt with a long-term (3-year) Trendline and critical support level which traders are watching very closely. Let’s take a moment to look at this trendline and level as it stands now in the Dollar Index: We’re seeing the US Dollar Index ($DXY) on the Daily Scale (though a weekly…
I’m pleased to announce that I will be giving a webinar presentation as part of Trader Kingdom’s “Technical Trading 101” webinar series! I’ll be giving the introductory webinar this Wednesday, March 2nd at 3:30 CST and it’s entitled simply: “Technical Analysis – Which Approach is Best for You?” Here’s the description for the upcoming free…
It’s always important to incorporate major headline news when doing inter-market analysis, because certain ‘narrative’ events can temporary unravel or unlink intermarket relationships, as we’ve seen over the last month as political uncertainty has spread in Africa/Middle-East. One can even start to call it the “Middle-East Panic Play” in terms of what knee-jerk sudden moves…
Though the S&P 500 rallied this morning, internals declined which helped fuel a pullback/retracement into a key support level intraday. Let’s take a quick zoom-in on the Big Three Market Internals and the level to watch for intraday traders: It is absolutely essential that short-term – especially intraday – traders compare price swings with readings…
With QE2, Libya/riot concerns, and the prevailing up-trends all helping push leading precious metals funds GLD (Gold ETF) and SLV (Silver ETF) to their upper resistance breaking point, let’s take a look at the current daily chart structure, note key levels to watch, and see what the charts say at the moment. First, let’s start…