.... SPY Hits Another New High .... A Mean-Reversion Strategy for 2018 .... Breadth Symbols for Other ETFs .... Time off for Happy Holidays!! .... IJR Follows QQQ with Flag Breakout .... Defensive Sectors Lag as Energy Takes the Lead .... Oil Goes for a Triangle Breakout .... Oil & Gas Equip & Services SPDR Pops (plus XOP)... READ MORE
Amgen (AMGN) is one of these stocks that is leading year-to-date, but lagging over the last three months. Year-to-date, the stock is up around 25% and the S&P 500 SPDR is up around 22%. Over the last three months, the stock is down around 4% and the S&... READ MORE
* A Big Theme to Consider for 2018 * 10-yr T-Yield Targeted above 3% * An Outsized Move for the 30-yr Yield * Rising Rates Negative for Gold, XLU and IYR * Rising Rates Positive for Finance Sector * Price Targets for XLF and KRE A Big Theme to Consider for 2018 The 20+ YR T-Bond... READ MORE
.... Small, Equal-weight and Large-cap Sector Leaders .... Industry Group ETF Leaders .... Semis Surge from Oversold Levels .... Biotech ETFs Struggle, but Remain Bullish .... Oil Consolidates within Uptrend .... XES Forms Ascending Triangle .... H&R Block Holds Breakout Zone .... Albemarle Takes One Step Back .... Teekay Bids to End Long Correction .... Stocks to Watch:... READ MORE
There is a certain ebb and flow in an uptrend where the advances consistently outpace the pullbacks. Think of it as two steps forward and one step backward. The chart for Analog Devices (ADI) shows a big move to new highs from August to November and then a 50-62% retracement... READ MORE
Overbought and oversold are funny terms. Well, actually, they are not that funny when you really think about it. Overbought is often overused in an uptrend and oversold is over used in a downtrend. Let's focus on overbought because that seems to be the term du jour right... READ MORE
---- Day 53 Since Becoming "Overbought" ---- Small-cap Underperformance Becomes Pronounced ---- IJR Forms Bull Flag ---- SPY Hits New High as QQQ Breaks Flag ---- What's Up (literally) with TLT? ---- Junk Bonds Continue to Weaken ---- XLU with Bull Flag and Oversold CCI ----... READ MORE
.... Selectively Consuming News .... Finisar and VCSELs .... Narratives are Dangerous .... Finisar Forges an Island Reversal .... Lumentum Firms near Key Retracement .... II-VI Corrects within Uptrend .... Stocks to Watch (CENX, JJU, PRGO, LH) .... I do follow the financial press on a regular basis, but on a very selective basis. I am mostly interested... READ MORE
The two sector Performance charts below show a rather dramatic shift in market leadership over the last two months. First, note that these PerfCharts are using the nine equal-weight sector ETFs. In contrast to the cap-weighted sector SPDRs, these equal-weight ETFs provide us with a performance picture for the "... READ MORE
.... Health Care SPDR Renews its Breakout .... Pfizer and Bristol-Meyers Bounce off Support .... HACK and IGN Confirm Big Continuation Patterns .... Cisco and Fortinet Lead their Groups .... Copper Gets Oversold Bounce (plus COPX) .... Tesla Surges off Support Zone .... Short-term Ugliness with Long-term Bullishness .... Health Care SPDR Renews its Breakout The Health Care... READ MORE
Ingersoll-Rand (IR) is showing renewed signs of life with a surge off support and two mini breakouts. Note that IR is part of the industrials sector and this sector is showing upside leadership with a 52-week high recently. First and foremost, Ingersoll-Rand is in a long-term uptrend with a 52-week... READ MORE
.... Breadth Indicators Confirm Chart Strength .... SPY Stalls as QQQ Edges Lower .... Watch TLT for Clues on IJR .... Three New Highs and One Stall .... XLE Stalls, but Holds its Breakout .... Getting Perspective on XME .... Steel ETF Forms Big Continuation Pattern .... IEF and TLT Remain Divergent .... Gold Breaks as Dollar Turns Up... READ MORE
.... Did the Uptrends Reverse for Semiconductors? .... Intel and Four Semiconductor Equipment Stocks .... Biotech ETF Test November Lows .... BIIB Shows Relative Chart Strength .... Bearish Wedges for Two Energy-related ETFs .... Junk Bonds Continue to Struggle .... Did the Long-term Uptrends Reverse for Semiconductors? The Semiconductor SPDR (XSD) and Semiconductor iShares (SOXX) were hit... READ MORE
United Technologies (UTX) looks ripe for a breakout to new highs as a bullish cup-with-handle pattern takes shape. Note that UTX is in the industrials sector and the defense-aerospace industry group. The Industrials SPDR (XLI) and the iShares Aerospace & Defense ETF (ITA) both hit new highs on December 1st.... READ MORE
.... QQQ Diverges from SPY Again .... Mid-caps Shine on PerfChart .... Candlesticks versus Closing Prices .... Bonds and Dollar Push-Pull Gold .... IDXX Breaks Flag Resistance .... EBAY Bids to End Correction .... Ball Corp Surges off Support Zone .... QQQ Diverges from SPY Again QQQ diverged from SPY over the last few days and this marks... READ MORE
Mylan (MYL) was hit hard in early August with a plunge to 30, but firmed and recovered with a gap and surge to the upper 30s. The stock consolidated after this gap-surge and recently broke out with above average volume. Notice that the gap-zone held in the mid 30s as... READ MORE
Chartists can plot High-Low Percent for the nine sectors to identify areas of strength within the stock market. The chart below shows the High-Low Percent ranked by this week's highest value. The finance, industrials and consumer discretionary sectors stand out this week because their High-Low Percent indicators hit... READ MORE
.... Bullish But Getting Frothy .... Bull Market Broadens with Surge in New Highs .... Finance, Industrials and Consumer Discretionary Lead .... Consumer Staples and Discretionary Lead November .... SPY and QQQ Hit New Highs .... Small-caps Extend Recent Leadership Run .... New High Hat-Tricks for Four Sectors .... XLI, XLF, XLB and XLV Resume Uptrends .... Oil Pulls... READ MORE
.... One Day does not Ruin the Year .... Drastic Declines are Part of the Uptrend .... Stock Picking Goes in Waves .... Stocks to Watch: ADP, ARRS, FISV, LH .... Playing the Pullback in Healthcare (BIIB, BMY) .... Auto and Restaurant Stocks Join the Upturn .... One Day does not Ruin the Year Tech stocks were... READ MORE
Airline stocks are moving higher again with solid gains across the board over the last two weeks. The PerfChart below shows the performance for the Airline ETF (JETS) and seven other airline stocks since mid November. All are up with Alaska Air (ALK), Southwest (LUV) and COPA Airlines (COPA) sporting... READ MORE
.... Lots of Ugly Charts can be Found .... There are also Plenty of Strong Uptrends .... New Highs in the Nasdaq 100 .... Netflix and Cintas Consolidate within Uptrends .... Lilly Turns Up at Key Retracement Zone .... Billy and Bobby Debate Tesla .... Lots of Ugly Charts can be Found Chartists looking for weakness in... READ MORE
KLA-Tencor (KLAC), a semiconductor equipment and materials designer and manufacturer, is in a long-term uptrend with large and small bullish continuation patterns working. The chart shows 52-week highs in May and October so the long-term trend is clearly up. The green outline highlights a cup-with-handle forming from June to November.... READ MORE
Timken (TKR), a mid-cap industrial, looks like it is resuming its bigger uptrend with a surge off the 200-day SMA. The chart below shows the stock hitting 52-week highs in April and October. The October high formed after a channel breakout and 25% advance. Timken then corrected with a rather... READ MORE
Retail stocks surged last week and discounter TJX Companies ($TJX) bounced off support with high volume. Technically, the big trend is still down because the 50-day EMA is below the 200-day EMA and TJX is below the 200-day EMA. These EMAs are not shown on the chart to keep it... READ MORE
I hear talk that the yield curve is flattening and that this is a problem for the stock market. While it is true that the spread between the 10-yr T-Yield ($UST10Y) and 2-yr T-Yield ($UST2Y) is the lowest since 2007, the yield curve itself is by no means flat. The... READ MORE
.... Broad Strength in the Nasdaq 100 .... IJR Bounces from Oversold Levels .... Small-cap Sector Leaders .... Healthcare and Consumer Discretionary Surge .... Retail SPDR Goes for a Bottom .... Starbucks, Nike and Disney Power XLY Higher .... SPY Bounces as QQQ Hits New High .... Four Sectors Correct (XLF, XLI, XLB, XLV) .... Bobby, Billy and Arthur... READ MORE
.... A Raging Battle in the Bond Market .... Junk Bond Update .... Big Banks Shrug off Yield Plunge .... Copper Corrects with Bullish Wedge .... And then there were Three .... Biotech SPDR Becomes Oversold Again .... Competition Increasing for NetFlix .... Disney Goes for Lift Off .... A Raging Battle in the Bond Market There is a... READ MORE
Western Digital (WDC) appears to be emerging from a consolidation pattern and this increases the chances of new highs in the coming weeks. The chart shows WDC hitting a new high in July and then falling with a rather sharp decline into early August. The stock immediately rebounded after this... READ MORE
.... Medical Devices Group Leads Healthcare .... Medtronic Bids to End Correction .... Abbot Labs Leads Medical Device Group .... Boston Scientific Bounces from Oversold Levels .... Four Medical Device Stocks (WAT, VAR, ALOG, CMD) .... First Oversold Readings Since Breakouts (BMY, BIIB) .... Discount Brokers Consolidate within Uptrends .... Banks, Utilities, Gold and the 10-yr T-Yield .... Medical... READ MORE
Stocks close to new highs are usually in uptrends and have a good chance of recording new highs in the near future. Fortinet looks poised for a new high as challenges a channel line after an upturn last week. First and foremost, Fortinet is in a long-term uptrend with the... READ MORE
.... Risk-on versus Risk-off on One PerfChart .... Junk Bond ETF Falls Most Since August .... The Oxymoronic Nature of Technical Analysis .... SPY Hovers Near its Highs .... RSI Moves into Oversold Zone for IJR .... Finance, Industrials and Healthcare Lead Pullback .... Utilities SPDR Hits 52-week High .... Technology Remains a Leader (plus XLY) .... Industrials and... READ MORE
.... Is the Bond Market Sending a Message? .... IJR Triggers Mean Reversion Signal .... RSI Turns Up for the Health Care SPDR .... When Ugly Charts Provide Opportunities .... Biotech iShares Dip for the Third Time .... I wrote about the unadjusted High-Yield Bond ETF (_HYG) on October 31st and junk bonds fell rather sharply... READ MORE
Fiserv gapped down and fell on big volume last week, but the candlestick points to an accumulation day and the Accumulation Distribution Line hit a new high. First and foremost, the big trend is up because Fiserve hit a 52-week high with a move above 130 in late October. FISV... READ MORE
.... Mid-cap and Large-cap ETFs Hit New Highs .... Checking the Mean-Reversion Trade for IJR .... Small-caps are Really Really Small .... Momentum ETF Extends its Lead .... Gold Ignores Strength in TLT and UUP .... Darden and Tiffany .... Keycorp Consolidates after Surge .... Two Mean-Reversion Setups (GD, STT) .... Freeport McMoran Bounces off Support .... Small-caps are leading... READ MORE
Schlumberger (SLB) broke support with a surge in volume, but this support break did not hold as the stock surged with strong volume the last two weeks. The decline below 62 looks like a selling climax because of high volume and the gap down. The surge in volume flushes out... READ MORE
An uptrend means prices are advancing and higher highs are the order of the day. We do not know how long a trend will persist, but there is clear evidence that trends persist. Just look at the S&P 500 since early 2016 for a recent example. The 50-day... READ MORE
.... Those Pesky Timeframes .... SPY Notches another New High .... Broad Advance Lifts QQQ to New Highs .... IJR Fluctuates within Bullish Consolidation .... Finance and Technology Lead .... Consumer Discretionary Struggles Internally .... Utilities and Materials are Close to 52-week Highs .... Industrials and Healthcare Pull Back within Uptrends .... XLE Breaks Flag Resistance as Oil Hits... READ MORE
.... Big Winners and Losers During Earnings Season .... Automatically Charting Sector and Industry Group .... Follow the Broader Market .... De-selection is Part of the Selection Process .... Big Winners and Losers During Earnings Season Stock picking is a tough game, even in the best of times. Earnings season is still underway and we... READ MORE
Ford (F) consolidated after a big advance and this consolidation looks like a bullish continuation pattern. First, industry group strength and the long-term uptrend are in Ford’s favor. Ford is part of the red-hot Global Auto ETF (CARZ), which is up over 20% from its April low and trading... READ MORE
.... Comparing Global Treasury Yields .... Watch Junk Bonds as a Leading Indicator .... T-Mobile Fails to Hold Breakout .... Merck Plunges to Potential Support .... Two Discount Brokers with Bullish Charts .... HACK and three Cyber Security Stocks .... Today we will start with a view of global Treasury yields and show how the US remains... READ MORE