Over the past few weeks, I have been pointing out conflicting rotations for sectors on Relative Rotation Graphs, the negative divergence between RSI and SPY and a few more arguments that signal caution.With regard to the S&P, that has not paid off.... yet. The US stock market,... READ MORE
In this week's edition of Stock Talk with Joe Rabil, Joe shows how a simple moving average can help to define the trend in each time frame. He then explains how to take it a step further and find trend alignment in 3 timeframes. By doing so, we... READ MORE
Representing 2000 small-cap companies, the Russell 2000 (IWM) gives a great view of the overall market picture. Recently, we talked about watching our Real Motion momentum indicator to time a buy entry if it cleared its 50-day moving average in both price and momentum. However, momentum was unable to clear... READ MORE
There's no doubt that U.S. equities have been carried higher by a handful of mega-cap superstars. The S&P 500 is a market cap weighted index and its top holdings include: * Apple (AAPL): 5.90% * Microsoft (MSFT): 5.60% * Amazon.com (AMZN): 4.05% * Alphabet (GOOGL)... READ MORE
I haven't reviewed the Rydex Ratio chart in some time, mainly because what used to be considered overbought territory became the "new" oversold territory and I wanted to see how it behaved moving forward. A quick refresher on what the Rydex Ratio tracks. We compare the... READ MORE
Chart 1 shows that the US stock market is in a long-term uptrend relative to the rest of the world. The upper window compares the S&P to the Vanguard All-World ex-US ETF and indicates a recent breakout from a consolidation reverse head-and-shoulders. The lower panel substitutes the S&... READ MORE
The jobs market is growing, with more companies offering higher wages and increased benefits. For instance, Walmart (WMT) increased its average minimum wage to $16 an hour and has a program to pay for worker's tuition at a four-year college. Many other companies have followed suit with increasing... READ MORE
On this edition of StockCharts TV's Sector Spotlight, I talk you through the recent rotations in Asset Classes and Sectors, addressing the counter-trend move in the USD index -- which is close to negating the double bottom in the index and the H&S pattern in the... READ MORE
In a very strong surge to the up move, the Indian equity markets scaled greater heights, ending on a new lifetime high. In the previous edition of the weekly note, it was mentioned that, looking at the week's options data and the amount of PUT writing that was... READ MORE
For a very long time, I have avoided holding stocks that I own into an earnings report. I should explain that I am more of a short-term trader, so I don't like the risk that goes along with holding a stock when they are about to report. And... READ MORE
This week on StockCharts TV'sThe MEM Edge, Mary Ellen shares growth stocks that are on the move. She also reviews where the current strength is in the markets, as well as hot Cryptocurrency-related stocks. This video was originally recorded on September 3, 2021. Click on the above image... READ MORE
On Friday, the jobs report showed 235,000 new jobs reported for August. This was not good news since the estimate was roughly 500,000 higher. Ouch! However, the major indices did not take a large hit and closed roughly flat or a smidge down for the day. So why... READ MORE
Today's commentary will start with price chart analysis for a clean energy ETF, which once led the market with triple digit gains. After a corrective period, it appears that this high flying ETF and a few of its brethren are turning up again with recent trend signals. We... READ MORE
The last update on the RRG baskets goes back to 20 July. In that post, I did a big clean up and left the basket with the following positions: LONG: EXR, WM, CRM SHORT: ETR, XLY, SWKS LONG Basket The RRG for the three stocks on the long side shows... READ MORE
In this week's edition of Chartwise Women, Mary Ellen and Erin share the best chart set-ups that are working in the current markets. They also review stocks that have those characteristics, as well as historical precedent stocks that uncover how to trade with success. This video was originally... READ MORE
In this week's edition of Stock Talk with Joe Rabil, Joe shows how he uses ADX slope to determine how deep of a pullback to expect in a trending stock or market. He explains how an extra moving average can be used to see this more clearly. Then,... READ MORE
Recently, the small-cap index Russell 2000 (IWM) cleared $225. This was a main resistance level dating back to early August. Now that IWM had cleared resistance, will it make new highs? One way we can judge the odds of IWM's continued rally is by checking its underlying momentum... READ MORE
In this week's episode of Sector Spotlight, I focused on the long-term trends using monthly charts. For several months already, most sectors have been in an uptrend on these charts; only the energy sector and the utilities sector did not qualify as such (higher highs and higher lows... READ MORE
When considered in their own right, commodities, as represented by the CRB Composite, are in a primary bull market. Chart 1, for instance, shows that the Index is above its 12- and 24-month moving averages and the long-term KST is also in a bullish trend. That said, this momentum indicator... READ MORE
The market is about to enter the month of September, which many investors view as a historically negative month in the trading year. Also called the September effect, some analysts attribute a selling from investors rebalancing their portfolios at the end of the summer. However, is the September effect something... READ MORE
When the 20-EMA crosses up through the 50-EMA, we consider it to be an intermediate-term BUY signal (aka Silver Cross, as opposed to the Golden Cross, to be discussed later). A few years ago, we developed the Silver Cross Index (SCI), which shows the percentage of stocks in a given... READ MORE
Did you see the break in Utilities? On this edition of StockCharts TV's Sector Spotlight, it's all about the monthly charts. As the last Tuesday of this month (August) also happened to be the last day of the month, I decided to push things forward a... READ MORE
On Monday, both the S&P 500 (SPY) and the Nasdaq 100 (QQQ) climbed to new highs once again. While the large-cap indices continue to lead the market, the Economic Modern Family made little progress. However, each Family member is standing its ground and may only be lagging when... READ MORE
In the previous weekly note, it was mentioned that, although the markets are due for some range-bound consolidation, defending the zone of 16300-16450 will be crucial for the NIFTY. Over the past five days, the NIFTY kept marking intermittent highs with some consolidation in between. During some interim profit-taking pressure,... READ MORE
Last week was an eventful period for the markets, as two highly impactful news items converged in a perfect storm that could push the markets higher over the near-term and beyond. At the beginning of the week, Pfizer's COVID-19 vaccine was fully approved by the FDA. The news... READ MORE
My medium-term Market Trend Modelturned bearish in May and has remained consistently bearish ever since. The market hasn't seemed to notice and has continued to make new all-time highs in every subsequent month. So how do we reconcile these two conflicting signals, with a model turned negative and... READ MORE
It wasn't too long ago that a $5 billion market cap company was considered a "mid-cap". But in today's mega-cap world of Apple (AAPL) and Microsoft (MSFT) sporting $2.46 trillion and $2.25 trillion market caps, respectively, $5 billion to them is spare... READ MORE
This month marks exactly seven years ago that I started contributing to the StockCharts website, after Relative Rotation Graphs were added to the graphical toolbox in July 2014. As the number of eyeballs on RRGs, the blog and the weekly episodes of Sector Spotlight has grown substantially over these years,... READ MORE
This week on StockCharts TV'sThe MEM Edge, Mary Ellen reviews shifting dynamics in the market after several impactful news items were released. She also shares a major group that's just now turning bullish, with much further upside ahead. This video was originally recorded on August 27,... READ MORE
On Friday, the Fed's Jackson Hole symposium stimulated the market, with all 4 major indices closing positive. Due to the improvement in the economy, the Fed feels more comfortable with tapering monetary policy possibly near the end of 2021. This means the Fed would begin to reduce the... READ MORE
Trading stocks with a lot of short interest is a risky proposition. Many are being shorted for a reason and they drift lower and lower over time. However, not all short sellers are correct, and when a stock begins to break out and forces short sellers to cover (buy), that&... READ MORE
In this week's edition of Stock Talk with Joe Rabil, Joe discusses how to view Price Structure in multiple timeframes. He shows how each time frame provides its own insight into improving your stock selection and timing. He also explains how it can be used to confirm Moving... READ MORE
In this week's edition of Chartwise Women, Erin and Mary Ellen discuss the rise in stocks that are getting social media hype. They also review the short squeeze concept and charts of names on the move, such as GME and AMC. In "Yeah... That Happened!", the... READ MORE
October has historically been a seasonal sweet spot for stocks to stage substantial rallies. But will that be the case this year? In this special presentation, Larry looks to answer this question with facts and figures. This video was originally broadcast on August 26, 2021. Click anywhere on the Larry... READ MORE
Back in June, I wroteabout the possibility that a major reversal in the dollar could be underway, but that certain things had to happen before we could come to a firm conclusion. One of those conditions was a Dollar Index daily close above 93.5, as that would complete what... READ MORE
With the Jackson Hole Fed meeting coming up, the market could be expecting taper talks, as the Fed at some point will be looking to decrease their $120 billion monthly bond-buying program. However, the Fed has been very accommodating and with the COVID-19 delta variant, does not want to jostle... READ MORE
In this edition of Trading Simplified, Dave explains how, eventually, the stock market (or any market, for that matter!) will lose half or more of its value. Once this occurs, it's too late to do anything. The bomb's already blown up. Fortunately, you can learn while... READ MORE
Bitcoin continues its rally up with a recent break over the 50K price level. However, many investors are watching for Bitcoin to clear 51K as the next hurdle. With that said, if we are expecting Bitcoin to run higher, we should keep in mind recent support levels, along with volume... READ MORE
The Relative Rotation Graph above shows the rotation for the G10 currencies against the USD, which is the base (=benchmark) for this universe. Or, better, it shows nine of the G10 currencies against the USD. The general direction for this universe is pretty clear. The majority is moving inside the... READ MORE
On this edition of StockCharts TV's Sector Spotlight, I take a chance and bring in seasonality for next month. Usually, we do that on the last Tuesday of the month, but this time the last Tuesday (next week) falls exactly on the last day of August and we... READ MORE