.... Small-caps Extend to New Highs .... Broad Selling in the Nasdaq 100 .... XBI and IBB Edge Higher .... COPX and JJC Correct within Uptrends .... TLT Turns Up within Uptrend .... Charts to Watch: DAL, CB, LEN, RMD, SBAC .... Small-caps Extend to New Highs The S&P SmallCap iShares (IJR) and the Russell... READ MORE
Costco (COST) fell on hard times this summer with a plunge from the low 180s to the 150 area. Despite this gap and sharp decline, the stock firmed in July-August and surged above the red resistance zone in September. Notice that the stock found support in the 150 area with... READ MORE
.... An Abrupt Change in Leadership .... News and No Man's Land .... New High Parade Continues .... Uptrends are Slowing, Not Reversing .... A Strong Surge for Small-caps .... Finance, Tech, Industrials and Materials Lead .... Healthcare and Utilities Take a Dip .... Consumer Discretionary Gets Anemic Bounce .... Energy SPDR Breaks Summer Highs .... Strong Selling... READ MORE
This is my third straight DITC posting with a semiconductor stock. The first featured Texas Instruments forming a cup-with-handle pattern and the second featured Intel with a surge towards long-term resistance. Today's chart focuses on Broadcom, which is actually lagging the S&P 500 SPDR over the... READ MORE
.... 52-week Highs Reflect Broad Strength .... Materials, Industrials and Technology Lead New High List .... Alphabet, Amazon and Facebook are Dragging .... CSCO Hits Multi-Month High .... Fiserv Turns Up after Pullback .... AMD Bounces off Key Retracement .... CHD and CL Start Turning UP .... How to Handle Overvalued Stocks .... 52-week Highs Reflect Broad Strength Large-caps,... READ MORE
Some sixty stocks in the S&P 500 were up 5% or more last week, and Intel was one of them. Intel's importance seems to have diminished over the years, but it is still an industry gorilla that accounts for around 11% of the Semiconductor ETF (SMH)... READ MORE
We all know what a trend line is, but does a trend line actually dictate the trend? In other words, does a trend line break actually signal a trend reversal? Or, is a trend line break telling us something else? We cannot use a tool unless we fully understand it... READ MORE
.... Small-caps Extend Newfound Leadership Role .... AD Lines Hit New Highs .... RSI Notches another Overbought Reading for SPY .... IJR Continues to Grind Higher .... Tech, Industrials, Healthcare and Materials Lead .... XLI and XLB Extend after Breakouts .... XLF Fully Recovers with Flag Line Break .... XLY Puts Double Top on the Back Burner .... XLE... READ MORE
Price Characteristics and Indicator Effectiveness There is NO SUCH thing as the perfect indicator. Further more, even if you find the almost perfect indicator, there is no such thing as the optimal setting. A 50-day SMA works great for one stock and lousy for another. 14-day RSI nails the oversold... READ MORE
Texas Instruments (TXN), the semiconductor behemoth, formed a bullish cup-with-handle pattern and a classic volume-based indicator points to a breakout. The chart shows TXN hitting resistance in the 83-84 area from June to September (red zone). In between these resistance points, the stock dipped to the 76 area in June... READ MORE
.... Sticking with a Strategy (IJR) .... Finance Sector Rebounds .... Broker-Dealer ETF Holds Up Better .... TD Ameritrade and Etrade Lead Brokers .... Industrials Sector Breaks Out .... Airlines Finally Perk Up .... Delta and American Lead Bounce .... Cisco, Teradata and Skyworks .... Sticking with a Strategy (IJR) Sticking with a strategy is perhaps the hardest part... READ MORE
Johnson & Johnson (JNJ) appears to be ending its consolidation period with a surge and triangle breakout over the last three days. Overall, the stock is in a long-term uptrend because it hit a 52-week high in June and remains well above the rising 200-day moving average. JNJ consolidated after... READ MORE
.... Large-techs Tower over Small-caps .... September is a Coin Flip .... High-Low Percent Indicators are Dragging .... Fewer than 50% of Small-caps Above 200-day EMA .... SPY and QQQ Hold Flag Breakouts .... Monitoring the Upswing in IJR .... Finance Weighs as Healthcare Leads .... The Three Leaders (XLV, XLK and XLU) .... XLB Breaks Out as XLI... READ MORE
.... Bollinger Bands Contract for Dow SPDR (plus BA and GS) .... QQQ Holds Breakout Zone .... Setting a Pullback Target for Apple .... A Boring Uptrend for Microsoft .... Facebook Breaks Wedge Line .... Alphabet and Amazon are the Weakest Links .... Mea Culpa on Intel and Target .... Charts Worth Watching (CY, PFE, AMGN, AGU, POT)... READ MORE
Lowes (LOW) successfully tested the 71 area twice in July-August and surged above short-term resistance this week. At the risk of jumping the pattern, the two semi circles show a double bottom taking shape and a break above the August high would confirm this bullish reversal pattern. Also notice that... READ MORE
.... Small-caps Take the Short-term Lead .... But Small-caps are Still Lagging Long-term .... IJR Surges Toward Chandelier Exit .... 10-yr T-Yield Firms Near June Lows .... Correlations with the 10-yr Yield .... Brent Stronger that WTI .... Two Bearish Stocks and One Bull .... There was a shift in leadership over the last two weeks with small-caps... READ MORE
The Australia All Ords Index ($AORD) is trading well below its April-May highs and stuck in a long and tight consolidation. In contrast, the Australian iShares (EWA) hit a 52-week high in late July and remains close to this high. Which one are we to believe? Are Australian stocks lagging... READ MORE
.... QQQ Leads with Breakout and New High .... Higher Highs > Weakening Momentum .... Small-caps Leading for Two Weeks .... Tech, Utes and Healthcare Lead Sector SPDRs .... Materials and Industrials Break Flag Lines .... Consumer Discret. SPDR Bounces off Support .... Financials Still Dragging .... Regional Bank SPDR Tests 2017 Lows .... Consumer Staples Show Internal Weakness... READ MORE
.... Meet the New Boss, Same as the Old Boss .... Software Leads Tech with 52-week High .... Flag Breakouts in Cloud and Internet ETFs .... Networking and Cyber Security Join the Surge .... Five Cyber Security Stocks (QLYS, PFPT, FTNT, PANW, FEYE) .... SOXX Goes for Breakout as XSD Surges off Support .... Five Semiconductor Stocks... READ MORE
EBAY shows signs that the correction is ending and the bigger uptrend is resuming. First, the long-term trend is up because the stock hit a 52-week high in July. The stock then corrected with a move back to a support zone around 34-34.5. Notice that broken resistance and the... READ MORE
.... Small-caps Lead Five Day Bounce .... Stocks are Underperforming Bonds in August .... Four Inside Days and No Follow Thru .... Chandelier Exit Falls for IJR .... 10 Stocks and A Mixed Bag over the Past Week .... Amazon and Google Tests Support as Facebook Corrects .... Intel Lags in 2017 .... Discover Financial Breaks Wedge Line... READ MORE
The Retail SPDR (XRT) is one of the worst performing industry group ETFs and Target (TGT) is one of the downside leaders. Even though the stock is up sharply since early July, it is down over 20% year-to-date and seriously lagging the broader market in 2017. Note that SPY is... READ MORE
.... Volatile, but not that Volatile .... When Does Volatility Become a Problem? .... SPY and QQQ Correct with Flag Patterns .... IJR Hits Prior Reversal Zone .... Bull Flags working in XLI, XLV, XLF and XLB .... XLY Toys with Double Top Support .... EW Consumer Discretionary ETF Breaks Down .... Consumer Staples Break Down .... Bottom Fishing... READ MORE
.... Minding the Gaps (SPY, MDY, IJR) .... QQQ and XLK are Still Leading .... Cloud Computer and Internet ETFs Form Flags .... HACK Hits Potential Reversal Zone .... SOXX Coils after New High .... Biotech ETFs Firm in Potential Reversal Zones .... XME Turns after Small Correction (plus SLX) .... International Steel versus US Steel .... Silver Goes... READ MORE
The sector SPDRs are weighted by market-cap and this means the biggest stocks carry the most weight. The Materials SPDR (XLB), for example, is dominated by Dow Chemical (11.86%) and DuPont (12%). These two behemoths are poised to merge and the combined company will clearly dominate XLB going forward.... READ MORE
.... EW S&P 500 ETF Stalls in Potential Reversal Zone .... Checking the Chandelier Exit on IJR .... S&P 500, Five Percent and the 200-day .... Scanning for Short-term Relative Strength .... Scanning within a Sector .... Bottom Fishing for the Long-term .... PKI Firms at a Key Retracement .... Small-cap Breadth, Large-cap Leadership,... READ MORE
Newmont Mining (NEM) is one of the bigger gold players and its performance is tied to the price of gold, which is challenging resistance. Note that the Gold SPDR (GLD) has yet to break above its April-June highs, but Newmont is starting to outperform bullion with a break above these... READ MORE
Doubles Tops are forming in two key ETFs, the Semiconductor SPDR (XSD) and the Consumer Discretionary SPDR (XLY), and chartists should watch these important groups for clues on broad market direction in the coming week or two. First, let's talk about the Double Top. These patterns form with... READ MORE
.... Those Noisy Small and Mid Caps .... Correction Signals versus Bear Market Signals .... High-Low and AD-Volume Lines Turn Down .... SPY and QQQ Have Yet to Break Down .... Non-confirmation between RSP and SPY .... Small-caps Extend Oversold Readings .... Utilities and Technology Leading .... Finance and Staples Still Holding Up .... Industrials-Healthcare-Materials Extend Corrections .... TLT Extends... READ MORE
.... Medical Devices ETF Bids to End Correction .... An ETF is Only as Good as it's Component Stocks .... Scanning for Trends with a ChartList .... Charting the Top Five IHI Stocks .... Abbot Surges off Support .... Thermo Fisher Consolidates after Gap .... Danaher Bounces after Support Break .... Boston Scientific Firms in Retracement... READ MORE
The long-term trend for Applied Materials (AMAT), a big semiconductor equipment manufacturer, is clearly up and the short-term trend could be turning up again with a gap three days ago. The chart below shows AMAT hitting a 52-week high in early June and then forming a large triangle. This is... READ MORE
.... Transport ETF Bounces off Key Retracement .... Airline ETF Returns to Breakout Zone .... Railroad Stocks are in Uptrends .... XSD Bounces of Support .... Diodes and Skyworks Turn Up .... Microsoft, Facebook and Apple Lead the Fab Five .... Pfizer Shows Good Volume Trends .... Thor Surges off Gap Zone .... Transport ETF Bounces off Key Retracement... READ MORE
The Dow Industrials is in a clear uptrend with a fresh 52-week high just last week. Note that this senior Average is hitting these new highs without much help from its second largest component, Goldman Sachs. For reference, the Dow Diamonds (DIA) is up around 13% year-to-date and GS is... READ MORE
.... RSP Takes a Big Hit after New High .... Small-caps and Mid-caps Lead Breadth Lower .... AD Volume Lines Turn Down .... SPY Closes below 50-day EMA .... IJR Pulls Back within Grinding Uptrend .... Sector Balance Remains Long-term Bullish .... Finance, Technology and Utilities Lead .... Industrials-Healthcare Correct within Uptrends .... Consumer Staples is the Second Weakest... READ MORE
---- An Attempt to Lower the Drawdowns ---- Strategy Review ---- Consulting, Software and Data ---- Rate-of-Change versus RSI ---- A High-Flyer versus a Boring Uptrend ---- Testing with 14-day RSI Rank ---- Conclusions and Caveat Emptor ---- Scan Code ---- An Attempt to Lower the Drawdowns ---- Last week... READ MORE
The Gold SPDR (GLD) and the 20+ YR T-Bond ETF (TLT) are both having good years with GLD up around 10% year-to-date and TLT up around 7%. As the chart below shows, these two are positively correlated over the past 12 months. The indicator window shows the 63-day Correlation Coefficient... READ MORE
.... Another Mean-Reversion Setup for IJR and MDY .... Crude and XES Get a Divorce .... XES Tests June-July Lows .... Interview with Tobias Levkovich .... Lazard Hits Support after Pullback .... Watts Water Technologies Turns Up .... Analog Devices Consolidates within Uptrend .... Qorvo Reveres Near Rising EMA .... Two For the Road (CPSI and HLT) .... Another Mean-Reversion... READ MORE
Stocks and bonds are both having a good year with the S&P 500 SPDR (SPY) up 11.91% year-to-date and the 20+ YR T-Bond ETF (TLT) rising 6.53% since January. The advance in SPY has been much steadier than the choppy advance in TLT, but both sport... READ MORE
The price relative, or ratio chart, is handy for measuring relative performance, but it does not always reflect the trend for the underlying securities. For those unfamiliar, the RSP:SPY ratio measures the performance of the EW S&P 500 ETF (RSP) relative to the S&P 500... READ MORE
.... Large-caps Continue to Lead .... An Ugly Price Relative, but a Nice Uptrend .... SPY and QQQ Stall Near All Time Highs .... Small-caps: We Seen this Movie Before .... Utes Outperform Bonds and Regionals Lag Badly .... XLF Rises as 10-yr T-Yield Falls - KRE Lags .... XLI Breaks Flag Resistance .... XLP Breadth Weakens and... READ MORE