We think it is a good time to revisit a topic that is always top of mind for tactical money managers and investors in rules-based strategies like trend following; and that is whipsaws. Whipsaw trades are the one issue that will constantly concern investors using trend following strategies. Whipsaw trades... READ MORE
The U.S. equity market is definitely NOT a one-size-fits-all when developing portfolio strategies. Different market environments require that we be flexible and willing to adjust to both "risk on" and "risk off" environments. I don't think there's much question that right... READ MORE
Defensive sectors is where the money is going right now. Last week was a perfect example. Check out the rotation last week: The four defensive sectors and energy (XLE) finished the week in positive territory. The aggressive sectors and materials (XLB) were lower. That's been the theme in... READ MORE
The beginning of the previous week saw the NIFTY testing important pattern resistance levels. After a strong performance on Monday, the next three days of the week were spent by the NIFTY showing a weak and corrective bais as it came off rapidly from the high levels witnessed at the... READ MORE
After a big surge in the second half of March, stocks fell back this week as the S&P 500 declined around 2%. This modest decline is warranted after the March surge, but it was not enough to push sentiment to an extreme. The AAII Bears are back above... READ MORE
The Federal Reserve's confirmation that they'll be taking an aggressive stance with their monetary policy to fight inflation, halted an emerging downtrend reversal in the markets. Prior to comments from Fed Governor Brainard on Tuesday, The S&P 500 and Nasdaq were both trending higher... READ MORE
This week's release of the Fed's March meeting minutes painted the picture of a hawkish Fed committed to raising rates to curb inflation. These latest comments from the Fed helped to push the Ten-Year Treasury Yield ($TNX) higher, finishing the week just above 2.7%. This... READ MORE
Recently, we have focused on the Russell 2000 (IWM) small-cap index. Since IWM shows a large variety of companies, it gives a great picture of where the overall market is trading and where it could go next. With that said, paired with our indicators, IWM gives us an edge when... READ MORE
On this episode of StockCharts TV'sThe MEM Edge, Mary Ellen reviews the break in the Nasdaq and what areas are driving this Index down. She also spoke with special guest Danielle Shay from Simpler Trading about what to be on the lookout for, with stocks due to report... READ MORE
The Relative Rotation Graph above shows the members of the DJ Industrials index against $ONE as the benchmark. This way of looking at RRG helps us to gauge the price trends within the universe. You can see quite clearly that the majority of the tails are inside the lagging quadrant,... READ MORE
WEEKLY SECTOR RANKING... A rebound on Friday leaves the major stock indexes either flat or with minor losses for the week. The weekly sector rankings in Chart 1, however, show a lot of movement beneath the surface. One factor that stands out is that defensive stock groups continue to show... READ MORE
In this week's edition of Moxie Indicator Minutes, TG discusses the wild action going on. Yesterday, the market experienced a bounce, but TG is not so sure you can trust it. Using examples like the SPY and XXX, he outlines his "inverse trampoline pattern" and why... READ MORE
We've rallied a TON off the February low, which is certainly encouraging. While I believe it's still possible that we print a new low sometime over the next 3-6 months, the significant rally over the past few weeks should not be ignored and increases the odds... READ MORE
In this week's edition of Stock Talk with Joe Rabil, Joe discusses how he uses scans to help save time. He shows a specific scan in StockChartsACP and what he is trying to identify. He then talks about the limitations to scans and how to go about using... READ MORE
As the 10-Year Treasury Yield reaches 2.6% and Fed minutes point to a far more aggressive stance by many central bank governors, $TNX presents a critical inflection point on a multi-decade basis. Going back to 1981, the steady downward sloping trendline has presented resistance over and over again. From... READ MORE
On Wednesday, the Russell 2000 (IWM) made a divergence in price and our momentum indicator Real Motion (RM). In the above chart, we can see that, while the price has broken underneath the 50-day moving average (blue line), it has yet to break the 50-day moving average in Real Motion... READ MORE
Good morning and welcome to this week's Flight Path. For this week, let's take a look at the below GoNoGo Asset Map. The top panel shows that the trend in U.S. equities continues in its new "Go" trend, albeit weakening to end the... READ MORE
In this edition of StockCharts TV's Sector Spotlight, for this first Tuesday in April, I present the monthly charts for asset classes and sectors to the forefront again. After a review of last week's rotations, I bring up the monthly charts for the most important asset... READ MORE
Sometimes less is more. When things are messy and there are a lot of things that are moving markets I usually like to take a step back and look at some of the very basic stuff to get rid of all the noise and clutter. On this occasion, I thought... READ MORE
On this episode of DecisionPoint, Erin flies solo and spends a little more time going over the indicators. She explains what they measure and why it is important for them to be in line. She spends the most time looking at the "bias assessment" chart and explains why... READ MORE
Last Friday, the Regional Banking Sector ETF (KRE) closed underneath its 200-day moving average. This can be seen in the above chart, with the green line showing the 200-DMA. However, while this was a key area to hold, KRE has now dipped into a support area illustrated by the black... READ MORE
At the turn of the century, this ETF achieved a ten-timer, rallying from $4 in 2002 to $40 in 2008. It's been consolidating for the last 12 years and looks set to embark on a move to new all-time highs. It's not a tech stock, nor... READ MORE
Perhaps the most exciting part of any trader's journey is catching that runaway short squeeze. Many traders have only dreamt it, while others have lived it. GameStop Corp (GME) is the most recognizable short squeeze stock of this generation as it soared from 20 on January 13, 2021... READ MORE
Trouble for the S&P 500 Index became apparent last September when an outsized decline arrived. Downward volatility with volume expansion (presence of Supply) characterized the decline into October, touching the demand trendline. Bulls were relieved by the near vertical rise into November which included a new high in... READ MORE
The following is an excerpt from this week's subscriber-only DecisionPoint ALERT Weekly Wrap. We have been commenting on mortgage rates for several months, and this week we finally saw a report on Fox Business that reported on the problem of rising mortgage rates. Also, for a couple of... READ MORE
In this extremely volatile market, it pays to develop a trading strategy that can work in any market environment. And with Q1 Earnings getting ready to heat up in just a week or two, this, in turn, should provide traders with a ton of opportunities to make money through focusing... READ MORE
On this episode of StockCharts TV'sThe MEM Edge, Mary Ellen shares areas of the market that are experiencing relative strength and reveals ways to take advantage. She also reviews weaker areas that could trade lower as the yield curve inverts. This video was originally recorded on April 1,... READ MORE
The past week was a chop fest in the major indices, with large intraday price swings. While the 3 major indices closed roughly flat on Friday, the Russell 2000 (IWM) made a late-day turnaround, ending up over 0.8% on the day. Although IWM closed under its pivotal $209 level,... READ MORE
Volatility is through the roof for many commodities and commodity-related ETFs, but this does not mean we have to abandon technical analysis and classic setups. High volatility does, however, imply higher risk and we probably need to give setups a little more wiggle room. The Palladium ETF (PALL) surged over... READ MORE
In this week's edition of Moxie Indicator Minutes, TG discusses where he is seeing strength in the market. Specifically, he takes a deep dive into commodities, including GLD, USO, and UNG. This video was originally broadcast on April 1, 2022. Click this link to watch on YouTube. You... READ MORE
On this week's edition of the GoNoGo Charts show, Alex and Tyler take a look at the cross-asset GoNoGo Heat Map® for a sense of overall bullish and bearish trends this week. The top panel shows that U.S. equities reversed the trend last week into "Go&... READ MORE
In this week's edition of Stock Talk with Joe Rabil, Joe shows the different entry setups that can be found using multiple time frames. MACD and ADX can help with both isolating the best opportunities and dramatically improving your timing. Joe discusses the 1-2-3 change in trend which... READ MORE
STOCKS HAVE WORST QUARTER IN TWO YEARS...The month of March has seen a rebound in stocks. Even with that rebound, however, the first quarter of this year has been the weakest in two years. Which raises the bigger question of whether or not the recent rebound is the start... READ MORE
In a fantastic sign of the times, I find myself writing an article with a legitimate discussion as to which of these two sectors has a more attractive technical setup - Utilities or Technology. For younger investors, the idea that anything other than Technology would be leading the market is... READ MORE
On this week's edition of Trading Simplified, Dave discusses profit centers and how to trade Opening Gap Reversals (OGRes). He also talks Mystery Charts and shows more of his methodology in action. He continues with a follow-up on his prior show about cryptos rising from the dead, and... READ MORE
Recently, we talked about the volatility fund standing its ground in price. While the market has been trending higher, the short-term volatility fund S&P 500 VIX (VXX) was able to stay mostly over its 200-day moving average near 24. Then, on Tuesday, many commodities rallied into the close.... READ MORE
In this edition of StockCharts TV's Sector Spotlight, after having missed last week's show, I catch up with a discussion on rotations for asset classes and sectors, in particular pointing out the rapidly-rising interest rates and their potential impact on stocks. The near-term rotations are in... READ MORE
On Tuesday, many commodity ETFs gapped lower while the major indices gapped up. Additionally, the Russell 2000 (IWM) finally cleared its pivotal price level at $209. However, while the indices made a nice close on the day, ETFs such as Oil (USO), Agricultural Fund (DBA), and Silver (SLV) regained a... READ MORE
Markets discount the future, so if the Fed tells the market it's going to raise rates, it goes ahead and raises them anyway. Why wait on the railroad tracks when you know a train is coming? Ironically, the widely-telegraphed rate rise has arrived at a time when bond... READ MORE
The S&P 500 (SPY) and the Nasdaq 100 (QQQ) continue to trek upwards, along with the Dow Jones (DIA). While the DIA and QQQ still need to clear their 200-DMA, the 4th major index is flashing a warning sign. When watching the major index, it is always important... READ MORE