I describe the market action before the opening bell and after the close and discuss set-ups for the next day.
It’s been a while since we updated the “S&P 500 Sigma Band” Chart, so let’s take a quick glance at what the volatility/range indicator is saying to us currently. What we’re seeing on the S&P 500 Chart above is an expanded Bollinger Band Indicator. The traditional Bollinger Band or “Standard Deviation Band” indicator reveals two…
Chipotle Mexican Grill (CMG) continues to be a key example of a strong stock getting stronger, reminding us how important relative strength is when selecting trading candidates. Let’s update Chipotle’s Chart from the prior “CMG Breakout, Earnings, and Persistent Rallies” post which detailed the stock’s advance and the concept of “strong getting stronger.” The volume…
One consequence of the recent strength in the US Dollar Index is the Euro’s steep retracement, which similarly declined sharply from its upper target level. Let’s focus our attention on the key inflection level and potential bounce off a critical support level for the Euro (EURUSD FOREX pair): We’ll start with the Daily Chart and…
As a follow-up post to Wednesday’s “Risk-Off Money Flow in Reaction to the Federal Reserve,” let’s take a snapshot of the current “cross-market” money flow to see that indeed a sudden “Risk Off” play developed in the aftermath of the Fed announcement. The chart above shows ETFs as representatives of the broader markets of US…
Let’s take a quick look at a “Volume at Price” Chart of Apple (AAPL) to study the breakout and prior high-volume value areas which may come into play as we begin November. This is a special way to combine Price with Volume to highlight areas of “Value” or price acceptance. Starting with the highlighted regions,…
In the immediate aftermath of the Federal Reserve policy announcement for October 30, markets moved in knee-jerk risk-off reaction to the news. Let’s take an instant snapshot of cross-market money flow post-‘Fed’: Let’s start at the top-left and move forward: The @ES or S&P 500 finally broke a persistent rising trendline despite multiple prior divergences….
I’m a big fan of Parabolic Arc Patterns or Parabolic Trendlines, and FedEx (FDX) shares have morphed into a classic Arc Trendline Pattern after its weekly breakout as buying pressure accelerated. Let’s start with the initial breakout then study the Arc Pattern currently in motion: After a lengthy Ascending Triangle from 2011 until the 2013…
With October rushing toward a close, let’s take a look at the recent Sector Strength and Weakness grid for the nine major AMEX Sector SPDR ETFs. For additional perspective, see my prior update from October 19. A quick update shows strength remaining in Consumer Discretionary (XLY), Industrials (XLI), Materials (XLB), Energy (XLE), and Technology (XLK)….
We often look to Market Internals for guidance, but what happens when the power (money flow) of a trend overrules the signals from Market Internals? Let’s look at the month of October 2013 for our answer and get a check-up on what’s happening currently in the “Big Three” Market Internals. In general, we use Market…
If you follow or trade the Japanese Yen currency, you’re likely aware that a lengthy multi-month sideways compression or symmetrical triangle price pattern has been developing on the chart. Let’s review this price pattern and see three perspectives on the compression pattern which historically has forecast a breakout event that may easily be in the…