I describe the market action before the opening bell and after the close and discuss set-ups for the next day.
Today’s intraday action began with the promise of another trend day in the market, but ended on a terrible note, reversing the action into the close and causing a cascade off intraday highs for most stocks. Let’s peek at the action via the DIA (Dow Jones ETF): Trend days often start with an overnight gap…
With the US Dollar Strengthening, Gold prices have been falling lately and have officially confirmed a strong sell signal on the daily chart. Let’s view this action: Gold ($GOLD) Daily Chart: There’s a few things I want to highlight on this chart. I have literally highlighted (and expanded) the most recent sell signal in the…
Let’s look at internet giant Google (GOOG) to see if the stock may be at support or resistance. There’s a few patterns to note in the stock. First, look at the triangle consolidation (not shown) that preceded the price reversal at the start of 2008. Second, notice the stair-steps of lower lows that were met…
I’ve been doing some simulated trading on some FOREX cross-pairs and have been thoroughly impressed with the ‘trendiness’ that occurs with greater stability than stock index charts. I wanted to highlight three recent examples of this concept which is exciting to me. A ‘trend’ is a series or progression of higher highs and higher lows…
Alcoa (AA), a Dow Jones component that manufactures aluminum and is taking advantage of the recent materials rise, broke key resistance to make a new high in 2008 today, and could continue higher to make potential all-time highs soon. Let’s see what’s up: The stock broke a rectangle consolidation period from $34 to $39 per…
Today’s US Stock Market Indexes surprised us with a semi-trend day. The day began with a perfect gap-fade and then gave us a ‘double-distribution’ trend day. Let’s look at it! In the DIA 5-minute chart, we see the day start with an opening gap that was filled and then the market trended in the direction…
So far, the US Stock Market Index trading has been stable using simple strategies that I have discussed frequently on the blog. Let’s examine the U-Turn Buy (or Saucer/Rounded Bottom) action along with the classic Gap-Fade trade today. You can almost ‘feel’ the balance shifting through simple visual inspection of the price action alone to…
Happy Mother’s Day! Let’s take a quick view at the Dow Jones Index, along with two key sectors which I’ll put in focus today – Materials and Healthcare. First, the Dow Jones ($INDU): The market failed at the resistance provided by the (now) falling 200 day moving average, and from prior support at the 13,000…
Do you know where commodities have been lately? Does it matter to the market? Let’s take a look at a few select commodity indexes to see the new highs made on some of these indexes today. First, the Goldman Sachs Commodity Index: Notice the extreme price movement that created the surge which took this index…
I was quite impressed by the strength of the bears in swiping the US Indexes lower on Wednesday, giving the bulls only a marginal chance for any sort of retracement. I recommend saving today’s charts for the files under “strange price action” for future review. Let’s look first at the DIA: Price made its intraday…