I describe trading candidates and possible action for selected, low-risk trade ideas to review.
Previously, I explained what a “Creeper Trend” is, how it develops, and – if you’re willing to feel uncomfortable – how to trade it (it’s not your typical trade set-up). I wanted to follow-up that lesson with a great example of a “Creeper Trend” formation (trade entry), Trend Reversal (with excellent positive momentum divergence example),…
Many traders report difficulty in trading “Creeper Trends” or “Oozing Trends” that neither give reversal signals nor safe entry signals. Let’s take a quick look at the @ES (S&P 500) and @CL (Crude Oil) Futures contracts to see the overnight action that provided the framework for today’s continued “creeper” intraday trend moves on September 27th….
In general, crude oil prices are closely following stock prices, including the recent rally into confluence resistance. Let’s chart that key resistance level to watch on the daily chart in Crude Oil: Let’s start with the current structure and then take a moment to learn a few charting lessons from similar set-ups in the last…
With the recent sharp downturn in the stock market, we have a new list of most “over-extended” and “under-extended” stocks from their 200 day Simple Moving Average. Let’s take a look at the current scan results of most extended S&P 500 stocks, starting with most over-extended: To recap briefly, the purpose of this scan is…
What tends to happen when gold forms an intraday “Three Push” price pattern on multiple-swing negative divergences into an overhead “Round Number” price resistance level? Let’s take a look at another excellent example of this important trading concept/set-up that triggered successfully at $1,800 on August 11th and just recently on August 22nd: Take a moment…
I wanted to follow-up from the post “Lessons from Gold’s Three-Push Divergence into $1,800” from last week with an additional trading example of how to piece together the chart puzzle into a successful low-risk, high probability trade on the very short-term structure. Let’s take a look at the chart and study the lesson from the…
Well, here we are at the well-known Make or Break chart support at Dow 12,000. This is what I mean when I say refer to critical chart reference levels to make objective sense of all the good and bad – often confusing – economic/political headlines affecting the market at the moment. It’s really as simple…
With bad earnings putting Bank of America (BAC) in focus today, what is the message from the triple-timeframe structure of the charts in the stock? Let’s take a look starting with the monthly frame and drilling down to the daily chart, noting key levels and lessons along the way. With the exception of a “Last…
A reader recently asked me if we had a “Kick-off” Signal in Harley Davidson (HOG) and indeed we did – with powerful follow-through as anticipated. The entire event gives us a great lesson in the Kick-off Reversal Signal, with the special emphasis on two-timeframe confluence support (on a retracement) where the Kick-off Reversal Signal formed…
When learning to trade certain patterns or trade set-ups, it’s best to start with “ideal” real-world examples to understand the logic of the set-up. Doing so allows us to recognize similar patterns or set-ups in real time as they develop, which calls us into trading action (entry, management, exit). Crude Oil recently (June 28) gave…