I received a lot of positive responses and questions to my recent “Standard Deviation Bands for the S&P 500″ post, and I wanted to follow-up by posting the current standard deviation levels and bands for the NASDAQ and Dow Jones Index. Without further delay, the NASDAQ Index: The logic of this type of chart is…
For those of us who enjoy Bollinger Bands on our market charts, you’ll also enjoy Standard Deviation Bands… which are just extra Bollinger Band lines. For reference, the Bollinger Band indicator takes the 20 day simple moving average of price and then calculates – draws lines – two standard deviations (a volatility indicator) up and…
Has GLD Broken out of its triangle resistance boundary? Let’s take a closer look. GLD Daily: I’ve been posting for quite some time regarding the “Arc Trendlines” in Gold and GLD, as seen above with the small green ‘arc’ lines. Those lines remain the dominant chart trendline pattern (trendlines do NOT always have to be…
I along with many other bloggers have been highlighting the recent rally that continues to form lower highs in market internals, volume, and momentum. I’ve updated on the status on internals yesterday, but now let’s take a specific look at the SPY in relation to 15-min volume and momentum: The question I asked was “Just…
As many of you are aware – especially given the interesting intraday trading outcomes of Tuesday – this week marks not just a standard “Options Expiration Friday,” but a Quadruple Witching Options Expiration (which includes equity index futures). We’re already seeing strange action intraday, such as continual moves higher on declining momentum, internals, and volume. …
Club EWI just released a free e-book entitled “How to Use the Elliott Wave Principle to Improve Your Options Trading” or subtitled with the catchy phrase: “Exploit Sharp Price Movement.” They are offering this PDF guide for free – usually a $79 cost – until this evening, Wednesday June 16th – so click on over…
That is the question! Price is one part of the equation, internals (volume, breadth, TICK, etc) are another. Before I show the charts, realize that price is king, and that price moves according to supply/demand imbalances between buyers and sellers, and everything else we use (indicators, internals, etc) are there to help us see the…
Like the S&P 500, the NASDAQ Index faces a critical test of overhead resistance here – which will create an opportunity on a breakout or a ‘failure test’ (failure to rise above) at resistance. Let’s see these levels as they exist currently on the NASDAQ and QQQQ: There is a ‘final’ confluence resistance level in…
Technical analysis is extremely helpful for finding major inflection points – prices – in the markets that are known reference points between bulls (buyers) and bears (sellers). It can’t tell you exactly way price will break – thus it’s not a crystal ball – but it can help you assess the “Bull/Bear Balance” or “Supply/Demand…
Let’s take a look at the Dow Jones chart of 1930 post 1929 crash from the eyes of a simple technical analyst (chartist) and what he or she might have written in real time in 1930 as the market faced an eerily similar “Line in the Sand” to what we face today…