Weekly Commentary

While 2013 was a stellar year for the US Equity Market, we continued to see salient trends in relative strength (or weakness) in the nine major market sectors. Let’s take a quick look at the 2013 performance and glean a few quick insights from sector trends and stock selection (specifically, is it better to stick…

As we debate the outcome of the Federal Reserve’s policy announcement next Wednesday December 18, let’s take a look at six selected commodity price charts that fall on the side of “no immediate change” in ongoing QE3 stimulus policies. With one week to go, let’s start the debate! We’re seeing TradeStation continuous contract data for…

If you use any sort of inter-market or cross-market analysis in your trading, you’re probably aware that the traditionally positive relationship between stocks and commodities have broken down through most of 2013. Let’s take a look at this relationship, how it’s been strong, and how it’s broken sharply over the last few months (reminding us…

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…

India’s “Nifty 50” and Bombay Stock Exchange/Sensex broke to new highs recently along with the US Equity Indexes. Let’s take a broader perspective beyond the daily charts to a Weekly “V-Spike” trendline channel and a larger Ascending Triangle Pattern on the Monthly Chart. We’ll start with a comparison of the Monthly Charts: Using StockCharts data,…

Which sectors are on the move at the moment while the indexes break to new all-time highs and which are lagging behind? Let’s update our Sector Rotation or Sector Strength charts and see for ourselves! Using StockCharts data, we see the nine major AMEX Sector ETFs displayed in order of the Sector Rotation Model (from…

True to expectation, an outcome of “No Taper” from the Federal Reserve sent the US Dollar Index breaking a critical support level on the charts. Let’s take a look at the Daily Breakdown into a Weekly Support level that must hold now, or else risk a further collapse from a broader chart pattern. We’ll start…

We like to study money flow from a cross-market standpoint to pinpoint where money is entering and where money is leaving. Often, large events such as the Federal Reserve policy announcement – no taper (QE3 continues without changes) – is a catalyst for rapid money flow shifts across all markets simultaneously. Let’s review the instant…

It’s time to update our “Most Over and Under-Extended Stock Scans” for the month of September! Let’s start our search with the top six stocks most over-extended (on a percentage basis) up away from their rising 200 day Simple Moving Averages: It’s often interesting how a strong stock (or weak stock) can remain in the…

If you follow Cross-Market analysis or Intermarket Analysis, you may have noticed a subtle shift or bend in current relationships in 2013. Let’s take a look at the recent shift, note what’s happened, and then peek at the broader picture of cross-market money flow in 2013. For a reference, we’re seeing the leading ETFs (Exchange…