I describe the market action before the opening bell and after the close and discuss set-ups for the next day.
Wednesday offered some interesting trade set-ups and opportunities that I wanted to describe from an educational standpoint, as the day showed a clear example of a bull flag measured move and momentum divergence… I also discuss Fibonacci retracements for added depth of understanding. With that said, let’s look at the DIA (Dow Jones ETF) 5…
Apple Inc (AAPL) and Google (GOOG) are telling a different story on their respective daily charts – AAPL sits at support on a potential buy signal while GOOG has fallen beneath resistance on a potential sell signal nearing possible support. Let’s take a quick look to see if we can make any sense of this….
With the mention of the Russell 2000 and NASDAQ forming similar patterns, let’s take a quick look at the actual NASDAQ index to let it speak for itself. NASDAQ Daily Chart: The Index formed a negative momentum divergence going into resistance in May, which led to the June and July downswing (primary downtrend swing), which…
Monday brought a thrashing in the US Stock Market, but the selling was not contained there. Gold took a hit, oil prices rose very slightly, and bond prices rose on the day, reflecting a possible ‘flight to quality.’ Let’s take a look at some of the sector action on Monday to see if we can…
We’re picking up on a relatively bearish volume pattern in the Dow Jones and S&P Indexes. On downswings in the context of the larger downtrend, we are seeing increased volume to the downside and light volume when price mounts counter-rallies (up-swings). Let’s look at these patterns and see what they might mean. A little background…
Wow – this week gave us some fascinating action on the US Stock Market indexes. Let’s look quickly at the state of the S&P (daily and monthly chart) and then take a peek at what I saw and commented yesterday on the Russell, which came to pass today. First, the S&P 500 Daily Chart: First,…
Consumer staples (defensive sector) stock Johnson and Johnson has performed rather well in the current uncertain economic environment, as funds and investors have rotated into perceived stable sectors as of late. Let’s see the result of this flow and if there’s a potential trading opportunity now in this stock. Johnson and Johnson (JNJ) daily: Price…
Something interesting is potentially about to happen on the Russell 2000 Small Cap index, and something quite impressive has already just happened. Can you guess what occurred? First, let me start by saying that the Russell came just points shy last week of eeking out a new high for 2008, but was successful in reaching…
If you’ve been frustrated by your trading results for any of the quarters this year, or for the year to date performance, you’re not alone. Many hedge funds, institutions, mutual funds, retail (at home) traders, and almost the whole spectrum experienced underperformance at least at some point since the market turned in October 2007, so…
There’s been significant money flow shifts in the current environment, both between asset classes (from commodites into the stock market) and also in individual sectors of the broader stock market (from energy to technology and healthcare and others). Let’s focus briefly on the price action in the Healthcare Sector (XLV) to see how rapidly price…