One of the major benefits of the MarketClub is the ability to Scan quickly a wide universe of stocks to determine trend and then find stocks setting up current buy (or sell-short) signals based on their proprietary mix of indicators that comprise the “Trade Triangle” Technology. Adam Hewison released an introductory video today that goes…
Did you know Elliott Wave can be applied to the intricacies of the One-Minute Charts? I wanted to show an example that occurred just a few hours ago that details a possible Elliott Wave overlay that captured the full structure of the minuscule movements on the DIA 1-min chart on February 9th. DIA 1-min Chart…
Friday gave us a solid, upward performance in the US Equity Indexes. Let’s zoom in to the 5-minute chart and learn a valuable lesson regarding Trend Days and Stop-Loss Strategy or Trade Management. DIA 5-min February 6th 2009: Friday’s action wasn’t an “Ideal” Trend Day, but a Trend Day it was. Most trend days open…
Rising and Falling Wedges are one of the most interesting patterns in technical analysis. What distinguishes them from triangle consolidation patterns is that price forms an upward or downward sloping coil that leads to the price move. Here are two examples of the Rising Wedge Pattern, with the first being an Idealized Representation while the…
2008 was a record-setting year in many ways. Volatility reached extraordinarily high levels and the broader US Equity Indexes lost 40% in a single year as the Credit Crisis spread to the broader economy. Let’s focus in on Gaps for the moment and form composite stats to see how the Gap-Fade strategy fared in 2008,…
One of the main points I’ve highlighted on intraday Trend Days is that you should remove all indicators (especially oscillators) from your chart and only use Moving Averages to guide your trading. This will serve as the explanation for doing so. Let’s use January 29, 2009 as an example using the DIA 5-min chart: You…
Let’s take a moment to use traditional Fibonacci retracement methods to find potential price clusters off the November lows as an exercies in multi-level Fibonacci Confluence. S&P 500 Weekly Chart: Sometimes you can get more insight from “Clusters” of Fibonacci Retracements than you can single retracement grids. I’m using the ‘classic’ method of Fibonacci which…
It’s time again to look at the simple Gap-Fade statistics for the month of December 2008! Let’s compare gaps on the DIA (Dow Jones ETF). First, the graph, showing the trigger size for a ‘gap’ at $0.30 (roughly 30 Dow Points): Of the 21 trading days in December, 19 showed some sort of overnight gap,…
A few readers have asked about the difference between Simple and Exponential Moving Averages and I wanted to address that in an educational post. In my charting, I utilize the 20 and 50 period Exponential Moving Average (EMA) and also the 200 period Simple Moving Average (SMA). I do this because I want the shorter…
A reader asked me to elaborate on the various confluence price points that helped set in the 1987 “crash” low and here is a representation of some of those points. S&P 500 from 1980 to 1987 – compressed with Gann and Fibonacci: Let me explain what I’ve done with this chart. I begin the chart…