With the current Dow Jones Index up 52% from the March 2009 lows, let’s compare the current “Post-Crash” recovery rally to those of 1929 and 1937 to see of those periods can place our current rally into historical context.
Let’s take a quick look at the weekly chart of GLD (Gold ETF) to note a clean path to new highs assuming we solidly break the $100.00 resistance level at which price rests currently.
Let’s take a look at the US Dollar Index, which has broken Fibonacci support and could be falling off a cliff from this point.
Earlier this afternoon, I posted a standard “Mid-Day Check of Market Internals” which suggested that market internals were giving an edge to the upside (for higher prices yet to come). Let’s take a look at the end of day internals to see how the Breadth and Volume Internals – along with the TICK – tracked price all day in the SPY.
Let’s take a quick look at the current (12:00 EST) market structure and market internals, using the SPY as our proxy.
I’ve read these tips from Mr. Robert Prechter (of Elliott Wave Internation) previously, but here are five quick tips he succinctly shares with students and readers:
1. Have a method to trade.
2. Have the discipline to follow your method.
3. Get real trading experience, instead of only trading on paper.
4. Have the mental fortitude to accept the fact that losses are part of the game.
5. Have the mental fortitude to accept huge gains.
I wanted to highlight a strange conundrum that sometimes happens with classic technical analysis price patterns. Let’s take a look at a predicted “Bear Flag” pattern described on Friday that hit its target immediately upon this morning’s market open.
I wanted to start the week by looking at the Dow Jones Industrial Average ($INDU) and noting a “doji sell signal” that has formed after a week-long rally that has formed negative volume, breadth, and momentum divergences.
Let’s take a weekend look at the Editor’s Picks for the current “NewsFlashr Business Blog” section: 1. From Mish’s Global Economic Analysis, we have “Five Points on the Market, Earnings, and the Economy.” 2. From Dr. Brett Steenbarger of TraderFeed, two posts entitled: The Importance of Happiness Three Negative Patterns of Self-Talk and How to…
Let’s take a quick weekend look at the Weekly and Daily chart of the VIX to see where the VIX (Volatility Index) has traveled and the potential support level it is testing right now.