I describe the market action before the opening bell and after the close and discuss set-ups for the next day.
What’s the difference between a Trend Day and a Rounded Reversal? Today’s price action give you an excellent example. Let’s see the intraday DIA and see how this structure played out and how you could have managed risk. DIA 5-min chart: The day started with a large-scale overnight gap of roughly $0.90. That’s just at…
While browsing charts this morning, I came across probably the most perfect trade set-up ever – which may be an exaggeration, but I did want to highlight a bull flag into triple-confluence support which preceded an explosive move to the upside. Let’s see it and how it played out. SHLD (Sears Holdings) 60-min Chart: We…
Wednesday gave us a clean “Trend Day Down” example that will serve as a good reference to a classic “Trend Day.” Let’s look at the DIA and notice moving average structure, bear flags, and the trend move. DIA 5-min Chart: The first clue that we might have a trend day in price was the large-scale…
I wanted to highlight Goldman Sachs (GS) as it is in a structurally similar position to Caterpillar (CAT) which I mentioned in the previous post. Let’s see the confluence support below and possible resistance above and watch price closely for a break. Goldman Sachs (GS) Daily: Goldman Sachs broke an ascending triangle to also break…
Let’s step back and see the full 2008 performance of the CRB Commodity Index and note its rapid ascension and stunning fall that marked an amazing year for the history books. CRB Index Daily Chart: Let’s focus only on the simplest technical structure for a moment – moving average analysis. Generally, in an uptrend, price…
What a battle we have going on between relentless bulls and emboldened bears – the struggle of which was evident in the push-pull ‘go nowhere’ intraday trading action seen on the broader US Equity Indexes and ETFs. Let’s look as usual under the hood at the 5-min DIA action to see the footprints of this…
Similar to the chart of Crude Oil, let’s take a moment to see the structure of the US Natural Gas Fund – UNG both on the weekly and daily charts. There’s some interesting divergences that might be of interest to you. UNG Weekly Chart: The Fund started trading in mid-2007 during a sharp run-up in…
A couple of readers have asked me to take a look at current Crude Oil structure and what might be ahead. Let’s do so both on the daily chart, and then see a full Elliott Wave Count with an interesting twist on the Monthly Chart. Crude Oil ($WTIC) Daily: Probably the first thing that jumps…
How’s this for a headline: All Four Major US Equity Indexes have now Broken Above Key Resistance via their 50 day EMAs… at least intraday. Let’s take a quick look and then wait for a fuller assessment after today’s close. S&P 500 Daily Chart: Again, fuller analysis will come after the close but you need…
Courtesy BarChart.com, here are the year-to-date performances of a broad assortment of major market Indexes, including the US Equities, CRB Commodity Index, and Dollar Index. You can view the chart yourself at BarCharts.com or use your own program to display other index and stock returns for 2008. Just be sensitive to seeing lots of red…