Technical analysis is extremely helpful for finding major inflection points – prices – in the markets that are known reference points between bulls (buyers) and bears (sellers). It can’t tell you exactly way price will break – thus it’s not a crystal ball – but it can help you assess the “Bull/Bear Balance” or “Supply/Demand…
Let’s take a look at the Dow Jones chart of 1930 post 1929 crash from the eyes of a simple technical analyst (chartist) and what he or she might have written in real time in 1930 as the market faced an eerily similar “Line in the Sand” to what we face today…
The S&P 500 continues – so far – to trade within the boundaries of a trading range, as I mentioned in this morning’s post. Let’s take a look under the hood to the NYSE Market Internals on the S&P 500 during the recent rally to see what clues the internals show: (Click for full-size image…
As we move up off the key “Edge of a Cliff” level – 1,040 – in the S&P 500, let’s take a quick look at the reference levels to watch as potential resistance on the S&P 500 on the bounce. The most obvious overhead level for a short-term ‘make-or-break’ level is again 1,110. You don’t…
With the market sell-off and retest of the February lows, what does the chart of the SDS – the ProShares 2x short S&P 500 – chart look like? Let’s take a look to see what lurks beneath the surface. SDS Weekly: The weekly chart actually takes us back to the “Crash” of 2009. Just kidding…
Now this is interesting – Chipotle Mexican Grill – CMG – is currently a popular, high-flying restaurant stock that I’ve been hearing mentioned around the Trader’s Expo here in Los Angeles. Naturally, I had to take a look at the chart. It’s at a very interesting inflection point, and it warranted a blog post to…
I think all of us chart watchers are focused intently on the epic Battle of 1,040, but I wanted to pull the perspective back for those who aren’t as accustomed to studying charts to show exactly why the market is balanced “on the Edge of a Cliff” and why the bulls holding above key support…
They always say “The Third Time’s a Charm,” but will that be true as the S&P 500 once again tests its major line in the sand between bull and bear? Let’s see: I cannot underscore how important the 1,040 level is to technical analysts – a break under this level officially turns the price structure…
A reader emailed me to ask about the relationship between Dow and Gold, specifically the Dow priced in Gold, which is essentially a relative strength chart of the Dow Jones Index to Gold.
Before you view the chart, a quick warning: It’s not pretty.
Half the month has passed, so what has your commodity done? Or more specifically, how have the major markets performed with half of 2010 down? FinViz has a great visual tool under their FinViz Futures tab – performance – that shows us at a glance how the major (and minor) markets have performed so far:…