STOCKS EXTEND APRIL RALLY...Stocks ended the week on a strong note to extend their April rally. The daily bars in Chart 1 show the S&P 500 climbing 2.6% on Friday to close just above its 50-day average at 2863; and slightly above its late February broken... READ MORE
STOCK INDEXES TEST SOME MOVING AVERAGE LINES... Today's strong price action suggests that stock indexes are trying to extend their April rebound. All major stocks got off to strong start. Chart 1 shows the Dow Industrials rising more than 2% today and nearing a test of its 50-day... READ MORE
WEAK ECONOMIC DATA CAUSES PROFIT-TAKING IN STOCKS... A lot of weak economic reports today are causing profit-taking in stock prices. Weak bank earnings are making that group one of the day's weakest. A 10 basis point drop by the 10-year Treasury yield to 0.64% may also be... READ MORE
GOLD REACHES SEVEN-YEAR HIGH... Gold seems to have everything moving in its favor. Low global interest rates, a softer dollar, and fears of global economic recession. And most of all, a bullish chart pattern both for the yellow metal and its miners. A lot of bullish articles on gold have... READ MORE
Stock prices are trading higher again today following a Fed injection of $2.3 trillion dollars into the economy. The question is how far can the rally carry, and are there still risks on the downside. For that, we're going to look at weekly and monthly charts to... READ MORE
POTENTIAL OVERHEAD RESISTANCE ON WEEKLY CHART... Stock prices are trading higher again today following a Fed injection of $2.3 trillion dollars into the economy. The question is how far can the rally carry, and are there still risks on the downside. For that, we're going to look... READ MORE
STOCKS REGAIN UPSIDE MOMENTUM... Stocks are gaining ground today following yesterday's late selloff. Chart 1 shows the Dow Industrials gaining 3% today. Today's price gain has kept the Dow above its lower 38% Fibonnaci retracement line; and may be signalling a test of its 50% retracement... READ MORE
NASDAQ 100 QQQ CLOSES BELOW 200-DAY LINE...Today's two earlier messages focused on three technology-dominated ETFs that were trying to clear their 200-day averages. All three failed that initial test by closing lower today. Chart 1 shows the Invesco QQQ Trust giving up its earlier gains and ending... READ MORE
QQQ TRADES ABOVE 200-DAY LINE...This morning's message showed the Technology SPDR (XLK) and Semiconductor iShares (SOXX) testing their 200-day moving averages. This message focuses on the Nasdaq 100 QQQ which is also trying to clear its 200-day line. Chart 1 shows the Invesco QQQ Trust trading above... READ MORE
STOCK INDEXES CLEAR LATE-MARCH HIGH...The stock market is building on yesterday's strong gain to improve its short- to intermediate trend picture. The daily bars in Chart 1 show the S&P 500 rising above its late-March intra-day peak at 2641 after clearing its green 20-day average... READ MORE
S&P 500 MAY BE HEADED FOR TEST OF LATE-MARCH HIGH...Global stocks are starting the week higher. The daily bars in Chart 1, for example, show the S&P 500 gapping higher this morning and clearing its green 2o-day average. The green circle shows the SPX leaving... READ MORE
Major U.S. stock indexes continue to probe for a short-term bottom. The daily bars in Chart 1 show the S&P 500 regaining some lost ground over the last two weeks after falling to the lowest level in three years. But there's still a lot of... READ MORE
DAILY S&P 500 CHART CONTINUES TO STABILIZE...Major U.S. stock indexes continue to probe for a short-term bottom. The daily bars in Chart 1 show the S&P 500 regaining some lost ground over the last two weeks after falling to the lowest level in three... READ MORE
My weekend message showed the Dow Industrials testing important chart support along its late 2018 low. The weekly bars in Chart 1 show the Dow falling below that important support line this week. That raises the likelihood of even lower prices. The question is how low. The best way to... READ MORE
LOWER TARGET FOR THE DOW... My weekend message showed the Dow Industrials testing important chart support along its late 2018 low. The weekly bars in Chart 1 show the Dow falling below that important support line this week. That raises the likelihood of even lower prices. The question is how... READ MORE
DOW DROPS INTO BEAR TERRITORY... Friday's strong rebound helped prevent a very bad week in stocks from getting worse. And it came at a good time. That's because of number of U.S. stock indexes are nearing tests of major long-term support lines. We'll... READ MORE
WORLD STOCK INDEX NEARS TEST OF LONG-TERM SUPPORT...The Dow Industrials entered a bear market yesterday when it closed more than -20% off its recent high. Another big global selloff today has put the world's stocks in a bear market as well. Which suggests that stocks in the... READ MORE
NASDAQ HOLDS 200-DAY LINE... Let's start with some good news. Heading into the close yesterday afternoon (Friday), stocks were under heavy selling pressure. And the Nasdaq Composite Index was in danger of closing below its 200-day moving average for the first time since last spring. A late stock... READ MORE
Another day of heavy selling has marked the end of this week's rebound, and a likely retest of last week's lows. Another plunge in bond yields to record lows and a 10% plunge in the price of oil are just two factors contributing to the stock... READ MORE
RETEST OF LAST WEEK'S LOWS APPEARS LIKELY... Another day of heavy selling has marked the end of this week's rebound, and a likely retest of last week's lows. Another plunge in bond yields to record lows and a 10% plunge in the price of... READ MORE
BANKS AND AIRLINES HIT NEW LOWS... Another record low in bond yields and a continuing flight to the safety of bonds (and gold) are helping put stock prices under heavy selling pressure today. The biggest sector losers are financials, energy, industrials, and cyclicals. It's not hard to understand... READ MORE
SHORT-TERM STOCK REBOUND CONTINUES... Extremely oversold readings on daily charts at the end of last week, combined with chart support near the October low, increased odds for a rebound in stocks this week. Stocks are rebounding today after yesterday's selloff. And are building on gains that started on... READ MORE
VERY OVERSOLD BUT NO REBOUND YET... After this week's stock plunge, it's not surprising to see short-term momentum and sentiment indicators reach very oversold conditions. That doesn't guarantee a short-term bottom; but does increase the technical odds for one. And even if one does... READ MORE
VIX CLOSES AT HIGHEST LEVEL IN TWO YEARS... Stocks sold off hard again today with more 200-day moving averages being broken. The inability of stock indexes to offer any buying near those long-term support lines is a very discouraging sign. So was today's large jump in the CBOE... READ MORE
S&P 500 APPEARS HEADED TOWARD 200-DAY AVERAGE... An early rebound attempt faded today and the Dow and S&P 500 ended the day lower. Only the Nasdaq managed to hold onto a small gain. The Dow Industrials closed below their 200-day average for the second day in... READ MORE
MARKET ROUT CONTINUES... Stocks tumbled for the second day in a row and in heavy trading once again. And important support levels are being broken. The S&P 500 and Nasdaq fell below their January lows today and further below their 50-day averages in pretty decisive fashion. Charts 1... READ MORE
GLOBAL STOCKS PLUNGE ON CORONAVIRUS SPREAD... Recent technical warnings that global stocks were vulnerable to more selling became a harsh reality today. And in a big way. Global stocks fell the most in nearly a year. Selling started in Asia and Europe before spreading to the states. And a lot... READ MORE
GLOBAL STOCKS LOOK OVER-EXTENDED AND VULNERABLE... A number of recent messages have shown charts suggesting that the U.S. stock market looks overbought on the upside and vulnerable to some profit-taking. Not necessarily a major top, but a correction of some sort. Foreign stocks look even more vulnerable. And what... READ MORE
With gold surging again today to another seven-year high, gold miners are having an even stronger day percentage-wise. And are nearing a major upside breakout. Chart 1 shows the VanEck Gold Miners ETF (GDX) trading 3% higher today and nearing a challenge of its early September peak. A close above... READ MORE
GOLD MINERS ETF NEARS UPSIDE BREAKOUT... With gold surging again today to another seven-year high, gold miners are having an even stronger day percentage-wise. And are nearing a major upside breakout. Chart 1 shows the VanEck Gold Miners ETF (GDX) trading 3% higher today and nearing a challenge of its... READ MORE
U.S. DOLLAR INDEX BREAKS OUT TO THE UPSIDE... The strong rally that started in the dollar in January passed another technical milestone this week. The daily bars in Chart 1 show the U.S. Dollar Index rising above its September/October peaks in yesterday's trading to reach... READ MORE
GOLD RESUMES UPTREND... My weekend message explained why falling bond yields, and an over-extended stock market, might be two of the reasons that investors have been buying gold since the start of the year. And they're doing so in the face of a rising dollar. The message also... READ MORE
RELATIONSHIP BETWEEN GOLD AND THE DOLLAR... Last weekend's message explained that one of the side-effects of a rising U.S dollar is weaker commodity prices. And that's been the case so far this year as a four-month high in the U.S. Dollar Index has pushed... READ MORE
10-YEAR TREASURY YIELD CONTINUES TO WEAKEN... Treasury yields are down again today, and are losing some of the gains made over the last two weeks. The daily bars in Chart 1 show the 10-Year Treasury Yield losing 3 basis points today to 1.58%. The pennant-like shape of its sideways... READ MORE
MARKETS LOOKING BEYOND CORONAVIRUS THREAT... Price action of the global financial markets over the past week strongly suggest that fears of the coronavirus are fading.Major U.S. stock indexes are trading at new records. Foreign stocks are being led higher by Asian emerging markets, with help from China. Crude... READ MORE
US DOLLAR INDEX TURNS UP... My Thursday message showed the Invesco US Dollar Index ETF (UUP) hitting a four month high and challenging its previous peak formed during October. It cleared that barrier on Friday. Chart 1, however, plots the US Dollar Index ($USD) which I prefer using to track... READ MORE
My Tuesday message showed a number of travel and tourism stock groups with heavy exposure to China finding support near moving average lines; or regaining them. Today's message shows those same groups under pressure again today. Let's start with airlines. Chart 1 shows the Dow Jones... READ MORE
TRAVEL STOCKS UNDER PRESSURE... My Tuesday message showed a number of travel and tourism stock groups with heavy exposure to China finding support near moving average lines; or regaining them. Today's message shows those same groups under pressure again today. Let's start with airlines. Chart 1... READ MORE
DOLLAR INDEX NEARS TEST OF EARLY OCTOBER HIGH...While recent volatility in stocks, commodities, and bonds has received a lot of attention, currency trading has been relatively quiet. But that may be changing. Chart 1 shows the Invesco US Dollar Index (UUP) climbing this week to the highest level in... READ MORE
EMERGING ASIA LEADS GLOBAL STOCKS HIGHER...A strong rebound in Asia today is giving a big boost to global stocks. Emerging markets in Asia led the rest of the world lower over the last two weeks. And are leading it higher today. Chart 1 shows the MSCI Asia ex Japan... READ MORE