Weakness in stocks and strength in the Dollar weighed on oil as Spot Light Crude ($WTIC) and Brent futures fell sharply. The chart below shows Brent Crude ETF (BNO) breaking wedge support with a plunge below 77. The indicator window shows August Brent (^BQ13) falling and testing the wedge trend... READ MORE
Chinese equities were hit hard on Monday with the Hang Seng Index ($HSI) falling over 2% and the Shanghai Composite ($SSEC) plunging over 5%. A surge in overnight repo rates (Chibor) is to blame. Note that the US experienced a similar rate surge just before the Lehman collapse. While I... READ MORE
The stock market peaked on May 22 and all sectors are down since then. The S&P 500 is down 4.09%, but the Consumer Staples SPDR (XLP), Healthcare SPDR (XLV) and Utilities SPDR (XLU) are down more and showing relative weakness. XLU is down a whopping 7.79%... READ MORE
With weakness throughout June, three indicators were downgraded to bearish in the indicator summary. It is a rather strange trio though. Net New Highs are considered bearish because NYSE Net New Highs plunged to their lowest reading in over a year. The VIX surged above 20% to show the most... READ MORE
Stocks were hit hard with the major index ETFs falling over 2% on the day. Even though this decline looks massive on a short-term basis, it is relatively small on a six to twelve month timeframe. All sectors were down with the defensive sectors leading the way lower, which... READ MORE
The stock market is down sharply on Thursday, but there are a few green shoots on the sector Market Carpet. In the technology sector, notice that Redhat (RHT), Citrix (CTXS), JDS Uniphase and Juniper (JNPR) are up so far today. In fact, the technology sector is holding up relatively well... READ MORE
Stocks tried to front run the Fed and got burned when Bernanke stuck to his guns on tapering. The S&P 500 ETF (SPY) was up over 3% in the run up to the Fed meeting and fell 1.38% on Wednesday. The sharp decline in stocks warranted a... READ MORE
Bearish Continuation Patterns Takes Shape for CB. FCX Cannot Hold a Bid. Plus JBHT, MAR and VRSN. This commentary and charts-of-interest are designed to stimulate thinking. This analysis is not a recommendation to buy, sell, hold or sell short any security (stock ETF or otherwise). We all need... READ MORE
The Corn ETN (CORN) is leading a surge in soft commodities. The chart below shows the ETN breaking out in late May and then falling back in June with a wedge. The wedge low held above the prior lows and the ETN broke wedge resistance with a strong move the... READ MORE
Stocks extended their upswing as the major index ETFs broke channel resistance. Small-caps led this week's advanced as the IWM:SPY ratio moved to its highest level of the month. Relative strength in small caps suggests a good appetite for risk at the moment. There is a... READ MORE
The Agribusiness ETF (MOO) broke channel resistance with a surge above 55, but fell back rather sharply over the last four weeks. The five week trend is down as a falling wedge takes shape. Even though the ETF firmed the last five days, it remains short of a trend reversing... READ MORE
Stocks surged on the open on Monday, fell back in the afternoon and then popped near the close. Intraday price action was not that impressive because there was really no follow through to the morning surge. Even though the major index ETFs finished with modest gains on the day, they... READ MORE
ADI Surges with Two Bullish Patterns at Work. ETFC Forms Bullish Consolidation after Big Surge. Plus FDX, HON, NBR, PG, TSO This commentary and charts-of-interest are designed to stimulate thinking. This analysis is not a recommendation to buy, sell, hold or sell short any security (stock ETF or... READ MORE
Netflix, which is no stranger to gaps, gapped up in April held this gap throughout May. A falling wedge pushed the stock back toward the gap zone in June, but this wedge ended with a gap on good volume. The breakout-gap is bullish as long as it holds. Click... READ MORE
Trading has sure been choppy the last four weeks, and it could get even choppier as the Fed meets this week. Ugh. The talk of Fed tapering began 4-5 weeks ago and this triggered an adjustment in the markets. The PerfChart below shows the S&P 500, the... READ MORE
The S&P 500 got a two day bounce last week and a nice surge on Thursday, but fell back Friday as it met resistance at 1650, which is now the short-term level to beat. Overall, notice that the index formed a falling flag type correction the last... READ MORE
The iShares Emerging Market Bond ETF (EMB) formed a double top from December to May and confirmed this pattern with a support break in late May. Notice that the ETF fell over 8% as rumors of Fed tapering hit the market. This decline reflects some serious chaos and surely rattled... READ MORE
There is still no change in the indicator summary. Stocks corrected last four weeks and this correction weighed on the NYSE the most. The NYSE AD Line fell, but remains in an uptrend overall. NYSE Net New Highs turned negative for the first time since November. While I am concerned... READ MORE
Stocks caught a bid on Thursday as the major index ETFs advanced over 1% on the day. A better-than-expected retail sales report put stocks on a positive footing from the start and they extended their advance throughout the day. There is also talk that the Fed will start... READ MORE
The Homebuilders SPDR (XHB) is finding support with a bounce last week and small gain in early trading on Thursday. Notice that the ETF is trading near the November trend line and the 61.80% retracement. These two items suggest support is at hand. A break above last week'... READ MORE
ANF Forms Island Reversal. BHI Gaps Down and Tests Support. Plus FL, IBM, MMM, NEM, URBN This commentary and charts-of-interest are designed to stimulate thinking. This analysis is not a recommendation to buy, sell, hold or sell short any security (stock ETF or otherwise). We all need to... READ MORE
The Asian rout continues as the Shanghai Composite ($SSEC) caught up with a 2.83% decline on Thursday. The Hang Seng Index ($HSI) fell another 2.3% and the Nikkei 225 ($NIKK) plunged over 6%. European stocks are also down with the major indices falling around 1% in early trading... READ MORE
The 7-10 year T-Bond ETF (IEF) opened weak and closed strong on Tuesday to forge an outside reversal day or bullish engulfing pattern. This is potentially positive, but we have yet to see follow through with a break above first resistance at 105. Also notice that the Commodity... READ MORE
Stocks opened weak, got a pretty nice bounce and then turned lower to close weak. The major index ETFs were down around 1%. All sectors were down with the Energy SPDR (XLE) and Basic Materials SPDR (XLB) leading the way. Weakness in these two can be attributed to declines in... READ MORE
With a bounce after the open on Tuesday, the Regional Bank SPDR (KRE) is showing resilience as it challenges flag resistance. Notice how the ETF surged from mid April to mid May and then corrected with the falling zigzag (flag). A breakout at 33.25 would signal a continuation higher.... READ MORE
US stocks are actually looking vulnerable on the charts as the major index ETFs stall near resistance levels and key retracements. Also note that Asian stocks were weak on Tuesday with the Shanghai Composite ($SSEC), Hang Seng Index ($HSI) and Nikkei 225 ($NIKK) falling over 1%. Emerging stock markets were... READ MORE
AAPL Battles Resistance after Announcements. AEO Forms Bear Flag. Plus COST, FCX, MHK, VLO This commentary and charts-of-interest are designed to stimulate thinking. This analysis is not a recommendation to buy, sell, hold or sell short any security (stock ETF or otherwise). We all need to think for... READ MORE
StockCharts Technical Rank (SCTR) for the S&P SmallCap 600 ($SML) ranks 600 small-cap stocks according to their technical strength. Chartists can also sort this table by change to find the bigger (relative) movers. Cbeyond (CBEY), B&G Foods (BGS) and Tangoe Inc (TNGO) are leading today... READ MORE
Stocks reacted positively to a rather routine employment report. The Labor department reported a 175,000 increase in non-farm payrolls for May. This is the not-to-hot and not-to-cold version of the jobs report. It is enough to suggest modest economic growth and keep the hopes... READ MORE
The Nasdaq 100 ETF (QQQ) fell below 72 on Thursday, but rallied to forge a strong close and form a hammer. Also notice that volume surged to its highest in over three months. QQQ followed through with a gap and move above 73, but has yet to break flag resistance... READ MORE
The market is hitting its first make-or-break point. The bulk of the evidence remains bullish and this decline is still considered a correction within a bigger uptrend. The current decline, however, has extended long enough to push some indicators to the brink though. NYSE Net New Highs have... READ MORE
And now for the employment report. Here's the thing with these big reports. Traders have to get two things right to successfully trade the report. First, you have to guess the non-farm payroll number. Second, you have to guess the market's reaction. The report can... READ MORE
Finisar (FNSR) has had a tough year so far, but the stock is showing signs of life after a bear trap in late May (failed support break) and gap breakout in early June. Also notice that RSI is challenging range resistance and a breakout at 60 would be bullish for... READ MORE
It was a sea of red on Wednesday as the major index ETFs extended their declines and all nine sectors fell. That's the bad news. The good news, perhaps, is that the stock market is short-term oversold now. The upcoming employment numbers represent the uncertain news. The... READ MORE
BBRY Tests Channel Support with Bounce. DE Breaks Flag Support. Plus IMAX, KBH, MWV, PKI This commentary and charts-of-interest are designed to stimulate thinking. This analysis is not a recommendation to buy, sell, hold or sell short any security (stock ETF or otherwise). We all need to think... READ MORE
Target (TGT) surged to a new high above 72, but failed to hold above 72 as a shooting star candlestick formed on Tuesday. The stock went on to fill Tuesday's gap with a long filled candlestick on Wednesday. This confirms the shooting star and resistance in the 71-... READ MORE
Stocks were all over the place on Tuesday. The major index ETFs opened stronger, moved lower during the day and bounced in the afternoon. Despite this bounce, the major index ETFs closed lower with the Russell 2000 ETF (IWM) leading the way (-1.06%). All sectors were lower with the... READ MORE
Facebook (FB) led the market from late October until early January, but stumbled in January and has lagged the S&P 500 since. Despite relative weakness and a 4-5 month downtrend, support could be near as the stock trades near the 61.80% retracement and broken resistance. Click... READ MORE
Stocks opened weak, but firmed and rebounded in the afternoon. The major index ETFs finished mixed on the day with the S&P MidCap 400 SPDR (MDY) falling .34% and the Russell 2000 ETF (IWM) rising .95% on the day. Wow, you don't see that very often.... READ MORE
AMCC Makes a Move with Good Volume. ASEI Tests Support with Long Lower Shadow. Plus CAT, ISRG, JBLU, NIHD This commentary and charts-of-interest are designed to stimulate thinking. This analysis is not a recommendation to buy, sell, hold or sell short any security (stock ETF or otherwise). We... READ MORE