AA Firms at 61.80% Retracement. EA Surges off Broken Resistance with Big Volume. Plus AMTD, APC, DHR, MSFT, UNM 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... READ MORE
Even though the S&P 1500 Index ($EIS) is trading near its spring highs and within a few percent of a 52-week high, Net New Highs have shown less strength since early July and divergences have formed. Keep in mind that less strength is not the same as weakness.... READ MORE
The Nasdaq Summation Index ($NASI) rebounded in July and then hit resistance near the zero line in July-August. The indicator is still moving higher because it is above its 10-day EMA. A break below this EMA would signal a downturn and be bearish for Nasdaq breadth. Click this image for... READ MORE
The top pickers are circling the wagons as we roll into September, October, the election, the fiscal cliff, a Euro crisis and a Chinese slow down. Even though this is enough to push one to the sidelines, keep in mind that most of this is probably already priced into the... READ MORE
Stocks pulled back as traders moved aside ahead of Fed Chairman Bernanke's speech at Jackson Hole this morning. Truth be told, I think the three economic reports are more important that his speech, which will probably walk a fine line and repeat the last FOMC policy statement. Factory... READ MORE
The chart below shows Monsanto (MON) with black candlesticks and the Corn ETF ($CORN) as a red dashed line. Notice how these two fell together in April and early May, and then surged together in June and July. The Correlation Coefficient confirms this relationship with a positive reading since mid... READ MORE
Trading volume is low, the last two dog days of summer are here, we are heading into a three day weekend and Fed Chairman Bernanke is speaking from Jackson Hole at 10AM tomorrow. The first three items argue for another listless session. The fourth item, Chairman Bernanke, is clearly the... READ MORE
EMC Forms Pennant after Double Bottom Breakout. FISV Recovers after Island Reversal. Plus AMCC, AMAT, FLEX, MSI This commentary and charts-of-interest are designed to stimulate thinking. This analysis is not a recommendation to buy, sell, hold or sell short any security (stock ETF or otherwise). We all need to think... READ MORE
October Sugar fell sharply the last five weeks, but found support near the June lows and surged on Tuesday. The indicator window shows StochRSI moving below .20 it late July and remaining below .50 as the downtrend extended into late August. The surge above .80 shows an upside momentum thrust.... READ MORE
Stocks remained mixed and directionless on Tuesday. The Dow Industrials SPDR (DIA) and S&P 500 ETF (SPY) edged lower, while the Russell 2000 ETF (IWM) and S&P MidCap 400 SPDR (MDY) edged higher. The latter two were up around a 1/2 percent. Three sectors were... READ MORE
Browsing through the technology sector via the sector summary reveals relative strength coming from the internet ($DJUSNS) and electronic office equipment ($DJUSOE) groups. Baidu (BIDU) is up for internet and Xerox (XRX) is leading office equipment. Click this image for a live chart... READ MORE
Stocks were all mixed up with no place to go on Monday. Techs and small-caps showed some strength as the Nasdaq 100 ETF (QQQ) and Russell 2000 ETF (IWM) edged higher. These miniscule gains were offset by small losses in the S&P 500 ETF (SPY) and the Dow... READ MORE
CTXS Forms Flag at Key Retracement. UPS Hits Resistance in Retracement Zone. Plus CERN, FFIV, IMN, JDSU, LIFE, UEC 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
Procter & Gamble (PG), the biggest component in the Consumer Staples SPDR (XLP), surged above pennant resistance and recorded a 52-week high on Monday. The stock is medium-term overbought after a huge advance the last 10 weeks, but remains in a clear uptrend with first support at 66. Click this... READ MORE
Comments from Fed chairman Bernanke boosted stocks on Friday as the major index ETFs closed with modest gains. Despite Friday's bounce, the major index ETFs closed lower for the week. This is not surprising because stocks were overbought to start the week and a few indices hit new... READ MORE
Index was hit hard over the last three days and is poised to test its May-June-July lows. The price relative and SCTR were hit even harder as both broke below their July lows. These two confirm relative weakness in this key semiconductor stock. With an SCTR score of 19.3,... READ MORE
Stockspulled back this week, but the bigger trends remain up and the bulk of the evidence still favors the bulls. Three days of weakness does not a trend change make, especially when stocks were overbought to start the week. The NYSE AD Line remains in an uptrend, Net New Highs... READ MORE
Stocks extended their correction with modest losses in the major index ETFs on Thursday. The Rydex S&P 500 Equal Weight ETF (RSP) led the way lower with a .91% loss. All sectors were down with the Basic Materials SPDR (XLB) and the Energy SPDR (XLE) pacing the losses.... READ MORE
The CRB Index ($CRB) is breaking above its 200-day moving average after two failed attempts. Since first breaking below the 200-day in August 2011, this level marked resistance in early September and late February. With this week's move above 305, the index broke the 200-day and exceeded the... READ MORE
Stocks went on a wild ride Wednesday and finished the day mixed. Selling pressure dominated the morning, but hints of QE3 brought out the buyers in the afternoon. The Nasdaq 100 ETF (QQQ) led the advancers with a .41% gain, while the Russell 2000 ETF (IWM) led the decliners with... READ MORE
ACN Forms Small Ascending Triangle Near Resistance. MRO Surges on Big Volume. Plus ACI, CHK, MRO and WFT 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 S&P Sector Carpet is tilting towards the red (decliners) as Dell, Hewlett Packard and Lexmark weigh. Some of this weakness is being offset by strength in Ebay, Apple and Sandisk. Chartists can click on the squares to see the individual chart in the right corner. Click here... READ MORE
With the old pop and drop on Tuesday, a number of bearish engulfing patterns formed on the price charts. DIA, QQQ and SPY all formed bearish engulfing patterns. With stocks overbought to begin the week, these bearish engulfing patterns could foreshadow a short-term consolidation or pullback. Keep in mind that... READ MORE
With a strong open and sharp decline during the day, the Nasdaq 100 ETF (QQQ) has a bearish engulfing pattern working on Tuesday. In fact, the intraday scan for bearish engulfing patterns is quite full (165) an hour before the close. The bearish engulfing for QQQ confirms resistance and could... READ MORE
Stocks came under selling pressure from profit taking and renewed concerns in the Eurozone. Given the advance of the last few weeks, a little consolidation or even a correction would be normal. The major index ETFs finished slightly lower. Seven of the nine sectors were slightly lower. The Healthcare SPDR... READ MORE
AA Forms Pennant Near Resistance. CPN Surges off Key Retracement with Volume. Plus ALK, AVP, JPM, LRCX, TEVA 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 on-again off-again Airline ETF (FAA) surged off support with a big move on Monday. After plunging in mid July, the ETF found support and then moved above its late July high. Also notice that Aroon Up surged above Aroon Down. You can read more on Aroon in our ChartSchool.... READ MORE
Stocks meandered on Friday and got a lift in the final hour to finish the week on a positive note. The Russell 2000 ETF (IWM) led the way with a .70% gain. The Dow Industrials SPDR (DIA) lagged with a .11% loss. Five of the nine sectors were higher. Of... READ MORE
Large-caps continue to lead the market as the S&P 100 ($OEX) recorded a 52-week high this week. Thus far, the S&P 100 is the only major index to reach this milestone. The Nasdaq, Russell 2000, S&P 500 and Dow Industrials remain shy of their... READ MORE
The TSX Composite ($TSX) is a little late to the party, but the index found some gas this week and surged above its 200-day moving average for the first time since early May. The index also broke the March trend line and exceeded its early July high. Click this image... READ MORE
With fresh highs in the major index ETFs this week, the indicator groups held their positive ratings and there was even an upgrade. Sector performance was upgraded because three of the four offensive sectors are showing relative strength (consumer discretionary, industrials and technology). Finance remains a drag, but these three... READ MORE
Stocks caught a bid on Thursday and closed modestly higher. The Nasdaq 100 ETF (QQQ) and Russell 2000 ETF (IWM) led the way by gaining over 1%. All sectors were up with technology and materials scoring the biggest gains. A big gain in the Home Construction iShares (+3.83%) helped... READ MORE
Even though Tim Horton's remains in an uptrend since 2009 and above the Bullish Support Line, it recently broke triple bottom support and triggered a bearish signal on the Point & Figure chart. This breakdown points to further weakness with a price objective (PO) around 45. You can... READ MORE
Stocks continued their meandering ways on Wednesday, but the major index ETFs managed to close with gains. The Russell 2000 ETF (IWM) led the way with a .88% gain and the S&P 100 ETF (OEF) lagged with a .02% gain. Even though relative strength in small-caps is welcome,... READ MORE
ATVI Recovers after Support Break. FAST Forms Bull Flag after Breakout. Plus AMX, HCA, SNDK 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 ourselves... READ MORE
Even though the match is not perfect, there is clearly a positive relationship between Lumber Futures ($LUMBER) and the Home Construction iShares (ITB). Notice that both have been trending higher since November 2011 and both recently recorded new highs. Click this image for a live chart... READ MORE
Stocks continued their drift with a small surge on the open and then a drift lower throughout the day. Basically, the major index ETFs drifted back to their prior closed and finished the day virtually unchanged. Trading has been listless for 5-6 days now. Stocks moved sharply higher on August... READ MORE
F5 Networks (FFIV) surged to resistance in early August and then pulled back the last two days. Notice how the stock hit resistance in the 104 area twice in July and now once in August. The Stochastic Oscillator became overbought with a move above 80 and turned down with a... READ MORE
The major index ETFs moved lower in early trading on Monday, but quickly firmed and advanced in afternoon trading. Even though the change from Friday's close to Monday's close was minimal, the ability to recover and close strong is a positive sign. Buying pressure is coming... READ MORE
IP Follows Through on Island Reversal. Bollinger Bands Narrow for SCMR. Plus MCK, SYK and TIBX 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