Today’s intraday V-Spike Reversal gives us a chance to study the set-up to trade an intraday reversal and not get trapped on the wrong side of a rapid movement. Let’s highlight the pattern and pinpoint the higher timeframe support level from which it logically developed: A large gap-down often suggests the early development of a…
Under Armour (UAA) is currently in a Distribution and Mark-Down phase, but how did we get here and why is this stock a textbook example of the Life Cycle of a Stock Movement from Accumulation to Distribution? Let’s take a look at where we are and how price got here: The Founding Fathers of Technical…
Ford (F) gives us plenty of educational examples of how a market sets up a trend reversal and the stages price goes through ahead of these excellent opportunities, especially for swing and even intraday traders. Let’s take a moment to study this perfect progression for our educational resources: Before we step inside this chart, take…
We like to buy pullbacks in strong trends with rising volume and momentum. A stock you’ve probably not heard of – Applied Optoelectronics (AAOI) – serves as the most recent example of this core trading concept. Here’s the uptrend, flags, and outcome so far as another “strong stock keeps getting stronger:” As explained in far…
Google (GOOGL) rallied a second time into a key reversal or “fade” set-up and delivered the goods. Let’s take a look at this “Divergence plus Upper Bollinger” pattern and learn what we can from this example. Most trades are either taken in the direction of a prevailing trend or against it. While I prefer pro-trend…
As a trader, we need to celebrate those moments where things actually work as expected. It’s even better when the expected outcome happens on such a popular stock like Netflix (NFLX). Let’s chart the original triangle and follow the footsteps of price into this week’s bullish breakout surge: First, take a moment to review my…
Southwestern Energy (SWN) gives us a textbook example of the cycles a stock goes through from beginning to end. It’s part of the “Life Cycle” of a stock move, and we have few examples better than this one. Let’s highlight the progression from Accumulation through Realization to Distribution and back to where we started over…
Sometimes simple stock scans can give superior candidates for trading or investing. Let’s update our “Top Strong Stocks Most Extended above the Rising 200 day SMA” scan. According to FinViz.com, here are the Top Ten Candidates for trading: This is a simple stock scan that measures today’s price as a percentage of how high it…
We’re seeing a number of stocks build similar patterns but I wanted to highlight Harley Davidson as a great example of a stock building a base ahead of a rally on positive divergences. Let’s note the example and then plan possible targets now that buyers have revved up this stock from support. Here’s the Weekly…
You certainly don’t see patterns like this every day! Lesser-known stock DS Health Care (DSKX) just jumped to the top of one of my stock scan lists and I wanted to highlight the sweeping “Parabolic Arc” which is one of my favorite broader price patterns. Here’s the “Pure Arc” – we’ll delve into specifics on…