For many investors, uncovering that best-of-breed stock that goes on to far outpace its peers can be elusive. With the tools I'm going to share with you today, you can get started setting up a system that's designed to locate and help you trade that next... READ MORE
In the past couple of weeks, we've talked about the rise of oil and gas exploration (XOP). On Friday, XOP closed with just under an 8% gain for the day. Its recent break over the 200-day moving average gave a good area to risk from. Even with its... READ MORE
In this episode of StockCharts TV'sThe MEM Edge, Mary Ellen reviews where the momentum is in the markets and how you can capitalize with specific stocks, as well as screening techniques to uncover top candidates. She also shares names that gapped up on earnings this week and how... READ MORE
As much as people speak of gold's value as a safe haven, its performance in 2020 has done much to dispel that investment thesis. Recent months have seen gold and gold stocks underperforming the S&P 500. Is the pattern of new highs for stocks and new... READ MORE
Bitcoin and, more broadly, cryptocurrencies, are back to the forefront of financial markets. A lot of new participants are entering the crypto-space and they are all looking to get a piece of the bitcoin-pie. So what can we learn from the Bitcoin chart when we want to get an idea... READ MORE
FALLING DOLLAR BOOSTS COMMODITY PRICES...One of the side-effects of a falling dollar is usually rising commodity prices. That's partly because global commodities are priced in dollars. And our first chart reflects their inverse relationship. Chart 1 shows the Invesco DB Commodity Index (DBC) in a rising trend... READ MORE
TEN-YEAR TREASURY YIELD NEARS 1%... Treasury bond yields continue to climb and are hitting new recovery highs. Chart 1 shows the 10-Year Treasury Yield trading rising 5 basis points today to .96%. It also touched the highest level since March. That's obviously bad for Treasury bond prices which... READ MORE
In this week's edition of Chartwise Women, Erin and Mary Ellen are in the holiday spirit today as they talk about whether Santa Claus is fact or fiction. Oops, that should be Santa Claus RALLY! They look at seasonality to show you when is the best time to... READ MORE
This has been the quarter for short squeezes. It's been crazy. The beauty from the long side is that once these stocks make breakouts, the pressure builds on short sellers to cover their positions. Unfortunately, many have the same emotional connection to their bearish bets that many long... READ MORE
Since its intraday high (set in August), the price of the SPDR Gold Trust, the GLD, has fallen close to 15%. That's not enough to qualify for a bear market under the media's arbitrary and totally useless 20% standard. However, it is enough for bulls like... READ MORE
AIRLINE ETF CLEARS JUNE HIGH... Airline stocks continue to gain more altitude and show stronger chart patterns. Chart 1 shows the US Global Jets ETF (JETS) surging to the highest level since the spring. The upper box shows its relative strength ratio rising to the highest level since June. A... READ MORE
The Relative Rotation Graph for Commodities shows the tail for precious metals deep inside the lagging quadrant and recently bending towards the left again after a few weeks of picking up relative momentum. This makes precious metals the weakest group in the universe. Watching such a rotation on the tail... READ MORE
In Santa Fe, New Mexico, we awoke with freezing temperatures and fresh snow. This week, the state lifted the current lockdown, with restaurants now being able to serve at 25% occupancy outdoors. I can hardly wait to sit outside on a windy winter day! The blatant disconnect between state orders... READ MORE
In this edition of Trading Simplified, Dave shows viewers how following a simple trend following methodology can pay off nicely. He also presents Mystery Charts examines the "what, when, where, how and what" of trading. This video was originally broadcast on December 2nd, 2020. Click anywhere on the... READ MORE
In this edition of Sector Spotlight, I kick off by walking viewers through last week's performances and rotations on the Relative Rotation Graphs for Asset Classes and US sectors. After the break, I put these rotations in a bigger perspective and bring in seasonality for the month of... READ MORE
Those of you who are new to the Daily have probably noticed the references to the Economic Modern Family. Mish developed one index and five sectors as the nucleus of the Family to help you and herself see the real economy, as portrayed through a combination of cyclicals and non... READ MORE
NASDAQ 100 HITS NEW RECORD...With the Dow and S&P 500 reaching new records, the tech-dominated Nasdaq market has been lagging behind. Not anymore. Chart 1 shows the Invesco QQQ Trust trading in record territory today. It's also the strongest of the major U.S. stock... READ MORE
The chart above shows the seasonality for all US sectors relative to the S&P 500 index. The numbers in the table are the percentages of time in history (20 years when available) where a sector outperformed the S&P. For the coming month of December, two sectors... READ MORE
With today being the final day of the month, DecisionPoint "books" the current signals from the monthly charts. In this episode, Carl discusses the importance of monthly PMO direction changes, as many times the crossover signals arrive late. Today, there were TWO monthly PMO direction changes of special... READ MORE
Today, Bitcoin (BTC) passed its record high as certain members of the Economic Moderns Family digest their recent gains. Cryptocurrency as an alternative currency has pushed for widespread acceptance since the launch of the first Bitcoin in 2009. Even more so, it has become a movement for investors who see... READ MORE
I wanted to make sure all of our subscribers to the DecisionPoint Blog on StockCharts know about our Cyber Monday Special and I want to share the "Diamond of the Week" as soon as possible. I presented it on today's DecisionPoint Show that will air later... READ MORE
The Consumer Discretionary SPDR (XLY) is leading the charge with the most stocks trading above their 200-day EMAs. The table below shows the percentage of stocks above their 200-day EMAs for three indexes and the eleven sectors. This indicator is above 98% for XLY and above 90% for four other... READ MORE
The equity markets are presently dealing with one of their most important pattern resistances over the previous days. In the previous note, we had mentioned the importance of this pattern resistance line; it was also mentioned that, unless the zone of 12960-13000 is taken out comprehensively, we may not see... READ MORE
Global markets are rallying as more and more analysts look beyond the devastation caused by the 100-year pandemic and see a very bright economic outlook. Pent up demand, combined with historically-low interest rates will likely prove to be very bullish in the end. I continue to believe that we'... READ MORE
A month ago, we provided our EarningsBeats.com members a list of 20 companies that have historically performed well in the month of November. One of the stocks was TransDigm Group (TDG), and it only takes a quick glance at the seasonality chart to see why it was featured at... READ MORE
The decline in the U.S. dollar continues. Chart 1 shows the Invesco US Dollar Index (UUP) dropping to the lowest level in two years. Previous messages have described some of the intermarket side-effects of a weaker greenback. One of them is that it's usually good for foreign... READ MORE
In this special workshop episode of StockCharts TV'sThe MEM Edge, Mary Ellen shares the common characteristics of stocks that far outpace the broader markets. She also presents ways that you can screen for these big winners. This video was originally recorded in mid-November and broadcast on November 27th,... READ MORE
Boring and lagging ETFs turned into exciting leaders in November as we saw breakouts in the Regional Bank ETF (KRE) and REIT ETF (IYR). The breakouts are bullish and IYR has a short-term bullish continuation pattern working, but we should not forget about the prior leaders and ETFs with real... READ MORE
Last September, I pointed out herethat the ratio between the S&P Composite and the MSCI World Stock ETF (SPY/ACWI) had reached a critical juncture and needed an immediate rally in order to avoid an important sell signal. That point has been flagged with the green arrow. As... READ MORE
DOLLAR DROPS TO TWO-YEAR LOW... The decline in the U.S. dollar continues. Chart 1 shows the Invesco US Dollar Index (UUP) dropping to the lowest level in two years. Previous messages have described some of the intermarket side-effects of a weaker greenback. One of them is that it'... READ MORE
With returns in the Energy sector flying off the charts, I want to track developments in individual stocks within the sector closely. This is particularly true because the rotation of the sector on the weekly Relative Rotation Graph is still not very strong. The weekly tail on XLE is shown... READ MORE
In this archived edition of Chartwise Women, Mary Ellen and Erin examine the topic of bringing women into the investing arena using a preview of their MoneyShow presentation. Mary Ellen discusses the dangers that can come from waiting to begin investing and Erin looks at some case studies. This video... READ MORE
The market rotation of late has resulted in some explosive moves in some "forgotten stocks." This has been particularly true of those stocks that have a high percentage of shares short. As an example, take a look at the two charts below. Both of these stocks are on... READ MORE
As we head into the Thanksgiving holiday here in the U.S., we cannot help but think how grateful we are in the midst of so much stress. For starters, we are grateful to you - our folks who publish and post our daily, plus our readers, members, followers and... READ MORE
We have all heard that "a rising tide raises all boats," and at DecisionPoint.com we have come to think of the direction of the market tide as being a bias that can benefit or work against our trading positions. As regular market participants, we may have a... READ MORE
In this edition of Sector Spotlight, I walk viewers through the current state of asset class and sector rotations. After that, I zoom in, using the Relative Rotation Graphs of Equal weight and Cap weighted sectors side by side in order to spot differences or anomalies that can help us... READ MORE
Since the pandemic, the market has risen on stimulus. Then, the market bulls turned to vaccine news and hopes for a quick and effective release. Most recently, the market has a new guardian - a transition team taking shape with the market's favorite dove Janet Yellen as Treasury... READ MORE
The Financial sector has been picking up a lot of relative strength recently. On the Relative Rotation Graph for US sectors (against SPY), XLF is on a rotation trail through the improving quadrant and closing in on a cross over into the leading quadrant. Where JdK RS-Momentum was slightly lower... READ MORE
DOW REACHES 30K... Chart 1 shows the Dow Industrials hitting 30,000 and setting a new record. The S&P 500 isn't far behind. Chart 2 shows the S&P 500 in a coiling pattern which also favors higher prices. The Nasdaq is lagging behind but... READ MORE
In this episode of DecisionPoint, as we head into the holiday week, Carl and Erin talk about why the Dow sometimes seems to outperform the SPX (today was a great example!). Carl follows up on Climax Analysis and how it can give you the very short-term signals of exhaustion or... READ MORE