After the bell on Wednesday, NetEase.com (NTES) was hammered as its Earnings Per Share (EPS) of $3.86 fell short of Wall Street consensus estimates of $4.07. While that was bad enough from a fundamental perspective, the technical conditions had already begun to deteriorate in the form of... READ MORE
Market Recap for Wednesday, August 9, 2017 U.S. equities were under early fire on Wednesday, but there was a steady recovery throughout the balance of the day with little technical damage done by session end. The Russell 2000 was one exception, however, as that aggressive small cap index closed... READ MORE
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Market Recap for Monday, August 7, 2017 There's nothing wrong with the Dow Jones moving to all-time highs for the ninth consecutive trading session. However, higher prices on the more aggressive NASDAQ and Russell 2000 show traders' appetite for riskier investments and it's that risk... READ MORE
Special Note I will be joining John Hopkins, President of EarningsBeats.com, for a special earnings-related webinar that begins at 4:15pm this afternoon, just after the market closes. I'll be providing several of my favorite stocks from the current parade of earnings so please join me and... READ MORE
Fresh off yet another stellar quarterly earnings report, Ferrari's (RACE) stock price has hit the accelerator once again. Its ascent truly has been remarkable as RACE has gone from 31 to 111 in 3.2 seconds. Okay, the stock price hasn't really moved that fast, but... READ MORE
A month ago, I posted an article looking at 3 NASDAQ 100 stocks that were looking to make technically significant breakouts. Sirius XM Holdings (SIRI) had a cup in play that, if broken, would measure to 5.90, or nearly 8%. It broke out on heavy volume and hit a... READ MORE
Market Recap for Thursday, August 3, 2017 The Dow Jones was once again able to eke out a meager 9 point gain to establish yet another record closing high, but other indices were unable to keep up. The more aggressive Russell 2000 and NASDAQ fell by 0.54% and 0.... READ MORE
First, please understand that any time you trade a small biotech company, there are considerable risks attached. These types of stocks are certainly not for everyone. One size does not fit all. However, if you enjoy taking higher risk in an attempt to score high returns quickly, then take a... READ MORE
Market Recap for Wednesday, August 2, 2017 The action on Wednesday was quite boring once again, despite hundreds of companies reporting their quarterly results. The Dow Jones jumped another 52 points to a fresh record high - which it's been seeing daily - and it pierced 22000 for... READ MORE
Market Recap for Tuesday, August 1, 2017 It was a rather boring day on Wall Street Tuesday, albeit a bullish one, as all of our major indices finished the day higher. Both the S&P 500 and NASDAQ tight-roped along key support/resistance levels as you can see below:... READ MORE
Market Recap for Monday, July 31, 2017 The Dow Jones set another all-time high on Monday, rising another 60 points in its lone attempt to carry the bull market to new heights. All of our other major indices fell on Monday despite the renewed strength of financials (XLF, +0.72%... READ MORE
Market Recap for Friday, July 28, 2017 The U.S. stock market has been quite resilient and today wraps up a very strong July. On Friday, only the Dow Jones finished higher - and at a fresh new record high - while healthcare (XLV, +0.50%) and industrials (XLI, +0.... READ MORE
You might find it surprising, but healthcare (XLV, +15.51%) has posted the best six month performance among all sectors - even technology (XLK, +14.10%). All five industry groups within healthcare have gained 10% or more in the past six months with medical supplies ($DJUSMS, +23.32%) leading the... READ MORE
Market Recap for Thursday, July 27, 2017 The mostly unabated rise in technology shares off the early July low took a sudden turn lower on Thursday afternoon and the initial reactions to quarterly earnings reports from Amazon.com (AMZN) and Starbucks (SBUX) won't help this morning as they&... READ MORE
The NASDAQ 100 has been quite strong in 2017, but it's not because of Tractor Supply's (TSCO) performance. TSCO had lost one third of its market value from the beginning of the year through early July, but a positive divergence emerged and that suggested that downside... READ MORE
Market Recap for Wednesday, July 26, 2017 The small cap Russell 2000 index struggled, finishing down 0.56% on Wednesday's session, but it was another day of record high closes elsewhere as the Dow Jones, S&P 500 and NASDAQ all advanced. The FOMC provided its latest... READ MORE
Market Recap for Tuesday, July 25, 2017 Energy shares (XLE, +1.26%) received another boost when crude oil prices ($WTIC) surged on Tuesday to close at $47.89 per barrel (+3.34%), its highest close in nearly two months. While the crude oil spike extends a very nice rally off... READ MORE
Market Recap for Monday, July 24, 2017 It was another bifurcated session as the more aggressive NASDAQ and Russell 2000 led while the Dow Jones and S&P 500 took a breather. That's been the theme of late and as long as the more aggressive indices lead,... READ MORE
Market Recap for Friday, July 21, 2017 Friday was definitely a boring kind of day, but the bulls will generally take boring - especially after a nice push higher and a huge slate of earnings about to be released this week. While all of our major indices finished Friday on... READ MORE
Biotechnology stocks ($DJUSBT) are among the best performing stocks since the beginning of June with an approximate 16% gain over the past seven weeks. It's not unusual for biotechs to remain on a tear for an extended period of time so pullbacks should be considered for entry. The... READ MORE
Market Recap for Wednesday, July 19, 2017 Energy (XLE, +1.46%) and materials (XLB, +0.96%) led the major U.S. indices to all-time highs on Wednesday, with particular strength in coal ($DJUSCL) and renewable energy ($DWCREE), which rose 6.36% and 3.08%, respectively. The former's strength... READ MORE
Market Recap for Tuesday, July 18, 2017 It was a rough June for technology stocks and, more specifically, internet stocks ($DJUSNS), but they've both rebounding during an exceptional July. It appears that traders have re-entered this space in anticipation of very strong upcoming quarterly earnings reports. It'... READ MORE
Market Recap for Monday, July 17, 2017 It seems that every major U.S. index is taking its turn at all-time highs and on Monday small cap stocks stepped up to the plate, closing at 1431.60, its highest close ever. It's interesting because it did so on... READ MORE
Market Recap for Friday, July 14, 2017 JPMorgan (JPM), Citigroup (C), PNC Financial (PNC) and Wells Fargo (WFC) were a formidable sample of bank stocks ($DJUSBK) reporting earnings last Friday and it was set up to be a very interesting trading day - to see if the huge run up... READ MORE
When money begins rotating to defense in a big way, I look for topping patterns in the market. But when we're in the midst of a full-fledged bull market - as we are now - I'd much rather search for stocks in bullish continuation patterns. That... READ MORE
As a stock market historian, if there's one thing that really annoys me, it's the talking heads saying to "go away in May". While the May through October period is clearly less bullish than its November through April counterpart, there are loads of reasons... READ MORE
Market Recap for Thursday, July 13, 2017 Financials (XLF, +0.60%) rebounded to lead the market action on Thursday, in anticipation of large bank earnings scheduled to be reported this morning. The Dow Jones U.S. Banks Index ($DJUSBK) remains in a strong technical pattern, but has room to the... READ MORE
Market Recap for Wednesday, July 13, 2017 Fed Chair Janet Yellen provided the Fed's semiannual monetary policy to the House Financial Services Committee on Wednesday morning, just prior to the opening of the stock market and both the bond market and stock market loved what it heard. The... READ MORE
Market Recap for Tuesday, July 11, 2017 Only two of nine sectors - energy (XLE, +0.54%) and technology (XLK, +0.22%) were able to finish in positive territory on Tuesday. Given that overall weakness, it was interesting to see that only one of our major indices lost ground (S&... READ MORE
Market Recap for Monday, July 10, 2017 The NASDAQ and S&P 500 rallied on Monday, posting gains of 0.38% and 0.09%, respectively. The small cap Russell 2000 index was easily the worst performing major index, losing 0.52% on the session. Despite the weakness, the Russell... READ MORE
Market Recap for Friday, July 7, 2017 Dow Jones component McDonalds Corp (MCD) jumped more than 2% on Friday, extending an already strong 2017 with another all-time high closing breakout. It helped to lead a strong restaurants & bars ($DJUSRU) industry, which rose 1.26%. That, in turn, helped the... READ MORE
Higher treasury yields ($TNX) are feared in some parts of the stock market like utilities (XLU), but not in others - especially in banking ($DJUSBK) and life insurance ($DJUSIL) where profits tend to soar during periods of rising interest rates. The recent spike in the 10 year treasury yield ($TNX)... READ MORE
Special Announcement Greg Schnell and I will be co-hosting the latest StockCharts Outlook webinar tomorrow, July 8th at 11am EST. Please join us as we discuss what went right and wrong during the first half of 2017 and where we see the market heading in the second half. Have we... READ MORE
Bull markets are comprised of rotating sector strength and bullishness. On a relative basis, healthcare (XLV) was a laggard during 2009 and 2010 before outperforming in a major way from 2011 through 2015. The sector saw relative weakness for nearly two years beginning in mid-2015, but has now resumed its... READ MORE
Market Recap for Wednesday, July 5, 2017 Crude oil prices ($WTIC) tumbled on Wednesday and that put an abrupt end to the recent strength in energy shares (XLE, -2.03%). It's also one reason why I need to see the XLE downtrend end before I'd grow... READ MORE
Market Recap for Monday, July 3, 2017 Energy (XLE, +1.93%) had another strong day as crude oil ($WTIC) surged above $47 per barrel and tested its 50 day SMA for the first time in over a month. The XLE has overhead resistance issues using multiple time frames, the first... READ MORE
Market Recap for Friday, June 30, 2017 We once again witnessed market bifurcation with both the Dow Jones and S&P 500 rising slightly, while the more aggressive NASDAQ and Russell 2000 finished with absolute and relative weakness. The Dow Jones received a big lift from Nike (NKE), which... READ MORE
The Dow Jones U.S. Semiconductors Index ($DJUSSC) is an extremely volatile index. When this index is trending higher, there aren't too many better places to be invested. But when the fire goes out, you want to run, not walk, for the exits. So where are we now,... READ MORE
It's generally not a great idea to wait until after a stock or index breaks out to consider short-term trades. It would seem somewhat obvious to instead plan for those breakouts by watching patterns develop and keeping an eye on volume. So let's do exactly that... READ MORE