The Purchasing Managers Index (PMI) release came out today, giving insight into the economy's health as the market ramps up with increased consumer sales and all time highs for hiring. Additionally, the Economic Modern Family got another positive boost from Oxford and AstraZenica's vaccine. Grandad Russell... READ MORE
ENERGY ETFS CLEAR THEIR 200-DAY AVERAGES... Energy stocks are continuing to show new market leadership. They're getting help from rising oil prices. Last Thursday's message showed the Energy SPDR (XLE) testing its 200-day moving average. Chart 1 shows the XLE moving decisively above that long term... READ MORE
"Bull markets are born on pessimism, grow on skepticism, mature on optimism and die on euphoria." - Sir John Templeton My macro process has three key steps: Price, Breadth and Sentiment. While most measures of price and breadth indicate the bull market is in decent shape, the third... READ MORE
The weekly high-low range for the Nasdaq 100 ETF (QQQ) was the narrowest of the year this past week and the ETF is battling triangle resistance. A narrowing range shows indecision and a volatility contraction. Even though this is just one weekly bar, QQQ is at a moment of truth.... READ MORE
In the previous weekly note, we mentioned that the NIFTY was testing its crucial pattern resistance. Over the past five trading sessions, the markets, in general, displayed some corrective tendencies, but continued to extend gains. As compared to the previous two weeks, which had a wide trading range of 723... READ MORE
With the move into Cyclical stocks continuing to expand, sectors such as Industrials have stocks with multiple reasons to continue to trade higher. In addition to industrial production reports, which just posted a fourth month of improvements, factory orders have also been steadily increasing, which in turn is helping select... READ MORE
I'm going to keep this article short and sweet. We're going higher. If you're still convinced that the U.S. stock market is staring at a doom-and-gloom environment, I don't know what to say. Several months ago, I created a User-Defined Index,... READ MORE
"Bull markets are born on pessimism, grow on skepticism, mature on optimism and die on euphoria." - Sir John Templeton My macro process has three key steps: Price, Breadth and Sentiment. While most measures of price and breadth indicate the bull market is in decent shape, the third... READ MORE
On Monday, we talked about positive vaccine news from Pfizer (PFE) and Moderna (MRNA) holding up the market. Friday proved the market was able to hold up through the week. And yet, the same day, many articles surfaced about the market's health related to the increasing state lockdowns... READ MORE
Major stock indexes continue to consolidate their November gains, and remain above recent support levels. Chart 1 shows the Dow Industrials pulling back over the last three days, but remaining above underlying support along their October peak and recent low near 29,000. Chart 2 shows the S&P... READ MORE
In this episode of StockCharts TV'sThe MEM Edge, Mary Ellen shares how to uncover and then capitalize on the strength that is continuing to emerge from select areas of the market. She also reviews select stocks that are poised to trade higher due to strong earnings and attractive... READ MORE
When I was preparing for last week's episode of Sector Spotlight and writing an article for the RRG Blog on the Growth/Value Rotation, I had to think back to an article that I wrote for this newsletter back in August. The title for this article was "... READ MORE
It's been a tricky couple of weeks in the markets as lockdown stocks dropped sharply on the vaccine news but are currently "back in style" given the surge in new virus cases. Other areas such as Healthcare have seen their share of mixed signals as well.... READ MORE
Lock-dow or recovery? In this week's edition of Chartwise Women, Mary Ellen and Erin review top candidates in both categories while revealing what they would rather do given 4 incredible scenarios. In "Yeah... That Happened!", they also talk about the Midwest city that will pay big... READ MORE
MAJOR STOCK INDEXES CONSOLIDATE...Major stock indexes continue to consolidate their November gains, and remain above recent support levels. Chart 1 shows the Dow Industrials pulling back over the last three days, but remaining above underlying support along their October peak and recent low near 29,000. Chart 2 shows... READ MORE
On the Relative Rotation Graph for Technology stocks (XLK), the tail on INTC stands out - but not in a positive way. INTC is positioned inside the improving quadrant after a recovery in relative momentum (JdK RS-Momentum), but recently started to roll over again, while still being the technology stock... READ MORE
Every 3 months, on February 19th, May 19th, August 19th, and November 19th, we host our own version of a "Draft Party". It's the most exciting day of the quarter for us at EarningsBeats.com. The anticipation has been building for weeks, and for good reason.... READ MORE
Today, Goldman Sachs (GS) announced that commodities were poised for a bull market. We have been taking advantage of that bull market for quite some time now. We've seen nice moves from hard to soft commodities, which we are currently still holding. But what alerted us to this... READ MORE
Later tonight and tomorrow, I'll be evaluating literally thousands of stocks in determining which 10 equal-weighted stocks I'll include in each of our 4 portfolios at EarningsBeats.com. Our track record is sparkling and you can view our portfolio results HERE. I start with sectors. I&... READ MORE
In this edition of Trading Simplified, Dave continues from last week's topic of "Acceptance." If you are willing to accept what Dave teaches, you are well on your way to becoming a successful trader. Alternatively, if you've lost your way, this will help you... READ MORE
From time to time, I discuss possible long or short positions (stocks, ETFs) based on observations on Relative Rotation Graphs or ideas generated from them. Currently, the baskets contain five positions each. Below, I will review all positions and come up with a few proposed changes to the mix. Long... READ MORE
The S&P 500 (SPY), Nasdaq 100 (QQQ) and Dow Jones (DIA) all closed under their recent highs, while Granddad Russell 2000 (IWM) was able to close over 178.10, making new all-time highs. It's no easy feat for the small caps to outperform the major indices,... READ MORE
I'm regularly screening the market for stocks poised to outpace the markets and, since I'm looking for characteristics proven to be common among big winners prior to takeoff, the more of these traits a stock has, the better the odds it will do well. Below is... READ MORE
* Russell 2K at a Record High * Some Small-Cap Sector ETFs Breaking as Well Russell 2K at a Record High Small-caps have been underperforming since early 2018, but, in the last few weeks, have begun to emerge as relative outperformers. We can see this from Chart 1, where the iShares Russell... READ MORE
In this edition of Sector Spotlight, I look at the performances for asset classes and sectors last week, noticing long tails on those daily RRGs - that indicates some big moves that have taken place. Following the lookback using daily RRGs, I move on to some weekly charts for stocks,... READ MORE
In this episode of DecisionPoint, Carl and Erin follow up their discussion regarding very short-term initiation and buying climaxes that have occurred recently. They look at the difference between Friday's initiation climax and the possible exhaustion climax that could be giving us a short-term attention flag regarding this... READ MORE
The Modern Family shows confidence as more positive vaccine news came out on Monday. This time, the positive news came from Moderna (MRNA). Hence, after last Monday's Pfizer (PFE) announcement, the market thrives on hope rather than fear, as COVID cases rise and areas of the country are... READ MORE
There is a lot of talk lately regarding the Growth to Value rotation that seems to be going on. And if you look at the surface, that is certainly true, but there is more to it than meets the eye... The Relative Rotation Graph below visualizes this rotation and shows... READ MORE
Ever since the worst industry groups in March and April revealed themselves, I've been tracking what I refer to as my Pandemic Index. It's an equal-weighted index of the 10 worst performing industry groups during the pandemic's first few months. A key resistance level... READ MORE
During the initial stages of the pandemic in March and April, it became quite clear to me that companies with a strong online brand and presence were set to outperform the broad S&P 500 index. The accumulation/distribution line (AD line) pointed us towards those companies that were... READ MORE
In a yet another gainful week for the markets, the Indian equities extended their move on the upside and posted decent weekly gains. The past five days saw the NIFTY moving higher and closing at its lifetime high levels. As compared to the week before this one, the trading range... READ MORE
Pfizer (PFE)'s announcement about a vaccine may have triggered a sharp rally on Monday, but its real effect was to boost confidence, which improved the status of a lot of different relationships that I follow, portending further gains for stocks and commodities down the road. Swings in sentiment... READ MORE
This past week, we saw traders turning their attention away from some of the high-flying "Stay at Home" tech stocks to some other sectors that could fare well if the recently announced COVID vaccines have the promising effect that is hoped for. We've certainly noticed the... READ MORE
Amid the news and initial reaction to this past Monday's selloff, we still need to take into account the week of the election range, or the range two weeks ago. Created from Monday, Nov 2nd to Friday Nov 6th, the high and low from this period creates a... READ MORE
Energy was the big winner this week as it gapped up on the open Monday. Since then, price has consolidated somewhat and could be forming a reverse island formation. Looking under the hood at our indicators for XLE, we have quite a few that are very overbought. The 20-EMA is... READ MORE
In this episode of StockCharts TV'sThe MEM Edge, Mary Ellen reviews the rotation taking place in the markets following news of a possible vaccine. She also shares top candidates in Biotech stocks as major innovations take place there. In addition, short squeeze plays are uncovered as investors were... READ MORE
Maintaining the mindset of a serious investor takes discipline. Personally, I have found necessary motivations amongst sports analogies and metaphors. I confess — I lean on them heavily. After 30 years, I've learned that stock market profitability is a synonym for discipline. Anyone who doubts this should read Michael... READ MORE
Even though the Biotech ETF (IBB) and the Biotech SPDR (XBI) represent the same industry group, their composition is very different and one is clearly outperforming the other. Nevertheless, the laggard still has a big bullish continuation pattern and this group looks bullish as a whole. First, let's... READ MORE
MONDAY BREAKOUTS ARE STILL INTACT... Stocks are ending the week on a firm note; and are holding onto upside gap breakouts achieved earlier in the week. Stock indexes have spent the week consolidating their sharp gains on Monday and are remaining above some chart support levels. Chart 1 shows the... READ MORE
In this week's edition of Chartwise Women, Erin and Mary Ellen reveal their top tools to help you navigate the markets. They also share the best chart styles depending on your investment horizon. Finally, the pair gobble up a new "Yeah... That Happened!" story. This video... READ MORE