There’s much discussion occurring regarding the triangle formation occurring in the major US Equity Indexes. Let’s focus for a moment on the DIA (Dow Jones ETF) and see this triangle in action. DIA Daily chart: The structure is still the same – price is in a confirmed downtrend with price making lower lows and lower…
There’s interesting slightly conflicting technical signals on the DIA – the Dow Jones ETF daily chart. We’re seeing bearish overhead resistance confirmed by a bearish non-confirmation in volume… which is developing underneath a positive momentum divergence. Let’s see if we can sort this out. DIA Daily chart: I separated the volume bars to highlight the…
Tuesday was an extremely fluid or rhythmically flowing day in the US Equity Indexes. Let’s view this price action through the DIA including a gap-fade with two bear-flags (Dow Jones ETF) and see what trade set-ups and structure we observed during the trading day. DIA 5-min Chart: The morning began with a large-scale gap (though…
It sure would be nice to have a continuation move one way or the other, instead of this constant big up, big down choppy environment we’re experiencing – these conditions can’t last forever so hold tight while we’re in them. Let’s look at the daily Dow Jones and today’s intraday chart (complete with gap fade)…
Wow, what a day Friday gave us in the markets. Let’s look inside the price action to see what potentially profitable trade set-ups occurred in the intraday structure of the major stock market indexes. DIA Dow Jones 5-minute chart: Price began the day with an opening gap down, given the bearish ‘trend day’ from Thursday,…
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…
With a semi-trend day behind us and plenty of trading opportunities at hand, let’s look at some of the price structures and idealized trade entries we could have taken now that Monday’s action is complete. Dow Jones ETF – DIA 5-minute: First, the day started with a mini-index gap, which was instantly filled for little…
As of noon today, the S&P and Dow Jones returned to test their rising daily trend channel (or possible rising wedge formation) and is finding temporary support at these levels currently. Let’s look quickly and see what might be in store. DIA Daily Chart: Could a similar pattern be forming as what formed during March…
Surprisingly (at least to me), the market gave us yet another trend day, though – again – it was not your classic trend day. Let’s continue to study each trend day occurrence for clues about how to trade them for maximum profit. DIA 5-minute chart: Typically, trend days follow range-bound, consolidation days – this was…
How might we have identified and taken advantage of today’s developing trend structure? Let’s take a couple of perspectives. First, we, along with many other traders, have been expecting some sort of ‘oversold technical bounce,’ meaning odds were increasing for some sort of ‘snap-back’ rally, similar to the visual concept of a rubber band being…