As part of my preparation of the "DecisionPoint Diamonds Report", I seek areas that are showing leadership, and the Materials sector has been doing just that. Materials was up 5.47% on the week, which was only second to Industrials at 5.87%. The "darling" of... READ MORE
The last time Value took over from Growth was at the end of 2018, and even that was only for a short period going into and following the Christmas Crash. But that situation rapidly reversed a few weeks into 2019, when the uptrend in the Growth-Value ratio continued strongly. If... READ MORE
Below is today's Daily Market Report (DMR) that I send to EarningsBeats.com members every day. Today's focus was definitely on health care (XLV). I've been waiting for a few months for its sideways consolidation to resolve and we're getting that now:... READ MORE
RAILS AND TRUCKERS LEAD TRANSPORTS HIGHER... Wednesday's message showed the Dow Transports closing above their 200-day line for the first time since early June. Chart 1 shows them continuing to build on that upturn. Their relative strength ratio in the upper box has turned up as well, which... READ MORE
* Technology About to Pause? * New Blood is Starting to Emerge * Two Fence Sitters Technology About to Pause? The undisputed king of sectors so far this year has been technology. This week's price action from the tech dominated NASDAQ Composite ($COMPQ), though, suggests that this leadership may be rotating... READ MORE
I wrote this article for last Saturday's ChartWatchers newsletter, focusing on the overbought conditions rampant in mega cap technology and consumer names. Monday's selloff certainly changes the short-term look of most of these charts, potentially beginning the topping process I described below. The next move higher... READ MORE
I got triggered to watch the chart printed above when I was scrolling through the pre-defined RRG groups. This is a routine I go through on a regular basis; just flip through all pre-defined RRGs and see if I note any strange or particularly strong or weak rotations. Literally right... READ MORE
In this episode of DecisionPoint, Carl and Erin discuss their outlooks for the market based on new signals and divergences popping up on the charts. Erin focuses in on the Dollar, Gold and Gold Miners. Carl brings his wisdom discussing Earnings outlooks that aren't in line with price... READ MORE
Last week I did a piece called "Granny Retail Hangs Tough". At the time, I noted "On the weekly chart, XRT is above the 200-week moving average, while her husband, Russell 2000 (IWM) is not." Also, at the time I wrote, "XRT is in a... READ MORE
S&P 500 TESTS JUNE HIGH... Stocks gained more ground today with ten of eleven sectors in the black. Chart 1 shows the S&P 500 ending the day just below its early June intra-day high at 3233. Also encouraging was better participation by value stocks which have... READ MORE
Last night, I featured junk bonds (JNK). As it has been underperforming, I wanted to give a head's up in case it failed a key support area. However, it not only held over the 101 area, it rallied to close up .97%. With risk appetite still a thing,... READ MORE
CATERPILLAR AND DEERE HAVE A STRONG DAY...With technology stocks underperforming for the second day in a row, money flowed into cheaper parts of the market today. All eleven sectors closed higher with energy, materials, industrials and healthcare in the lead. Energy is benefiting from crude oil prices over $40,... READ MORE
On this episode of Sector Spotlight, I spends the full show in line with StockCharts TV's theme of the week "Charting the Second Half," examining what may be in store for the markets in the next part of 2020. I look at the rotation on the... READ MORE
With bank earnings the big buzz this week, here are some highlights to keep in mind. Bank earnings are set to tank 69% year-over-year for the second quarter. But what's important here is not the expectations, but whether or not those expectations are exceeded. Analysts are worried about... READ MORE
Financial markets are pushing up into the start of earnings season. In June, the S&P 500 and the Dow Jones Industrial Average accelerated into climactic exhaustion as end of quarter window dressing came to a conclusion. This set up a ‘Range-Bound' condition in these averages that continues... READ MORE
BUYING HEALTHCARE AGAIN... After taking a leadership role during March and April, healthcare stocks have essentially moved sideways over the last couple of months while the rest of the market has gained ground. The sector's recent underperformance can be seen by the falling XLV/SPX relative strength ratio... READ MORE
When a stock, industry group, or sector breaks out before earnings season, that's generally a signal that Wall Street is anticipating solid results. Whether the breakout is sustained, however, boils down to the actual earnings results. In the case of trucking ($DJUSTK), the breakout has been made. This... READ MORE
Price action has seen an Ascending Triangle formation in APOLLOHOSP.IN over the past several weeks. In this classically bullish formation, the 200-DMA appears to be acting as a proxy trend line. The prices have tested the 200-DMA five times; any strong move above this could lead to a breakout.... READ MORE
The Indian equity markets went on to end their fourth week in a row with gains as the NIFTY extended its up move. However, unlike the previous week, the trading range narrowed down considerably and momentum appeared to be losing its strength as well. As compared to the 400-point trading... READ MORE
On the daily Relative Rotation Graph for US sectors, the Consumer Discretionary sector rotated back into the leading quadrant last week, coming up from weakening. Generally, this is a positive/strong rotation as it reflects the second (or third, etc.) leg within a relative uptrend that is already underway. Looking... READ MORE
Every weekend, my "Sunday Portfolio Review"ends with the same rigorous search process. With my market evaluation and portfolio analysis routines complete, I turn my attention to the discovery phase. This is the fun part. I sit down with all the results of the scans I've... READ MORE
Recent messages showing the ongoing bull market in gold (and its miners) have stressed that a weaker dollar and historically low global interest rates have pushed the price of gold to the highest level in nearly nine years. Yesterday's message showed gold rising faster than the world'... READ MORE
Let me start right off the bat looking at two companies that reported earnings over the past week or so: FedEx (FDX) and Bed, Bath and Beyond (BBBY). When FDX reported its numbers on July 1, the stock skyrocketed by 16%. On the other hand, when BBBY reported its numbers... READ MORE
Will the markets crack as corporations report their second quarter earnings? In this episode of StockCharts TV'sThe MEM Edge, Mary Ellen shares what to expect ahead of 2nd quarter numbers. She also explains how to take advantage of a Wall Street activity that's having a powerfully... READ MORE
Perhaps the most incredible aspect of the market, for traders, is the ever-changing landscape of investment opportunities. I spend a lot of time telling followers that the rules have changed. The relationships experienced traders hold dear have changed. The metrics have changed. The world has changed. The younger generation has... READ MORE
I've received many questions recently on stocks experiencing overbought conditions, from stocks like Activision Blizzard (ATVI), which recently broke above RSI 70, to Amazon (AMZN), which has an RSI that has breached 80. What does it mean to be overbought? Is that a sell signal? What do I... READ MORE
LONG-TERM TREND APPEARS TO BE SHIFTING TO GOLD OVER STOCKS... Recent messages showing the ongoing bull market in gold (and its miners) have stressed that a weaker dollar and historically low global interest rates have pushed the price of gold to the highest level in nearly nine years. Yesterday'... READ MORE
3 years, 3 months and 29 days. That's how long I've been waiting to write this article. Seriously – I took the time to go back through my notes and calendars to confirm it, right down to the day. Now I know many of you have been... READ MORE
This is a question directly from one of our EarningsBeats.com members and it honestly goes right to the heart of my trading strategy, so I thought it was a great question to answer and share with everyone. Because I deal so closely with earnings, gaps are a huge part... READ MORE
We're in an unprecedented period where a select subset of sectors is outperforming the markets by a very wide margin. And, while my work shows that most of the big winners from these select areas have much more upside, many investors may find it hard to initiate a... READ MORE
GOLD VERSUS THE DOLLAR... The generally inverse relationship between gold and the U.S. Dollar is one of the best known and reliable intermarket relationships. Part of the reason is that gold is traded in U.S. dollars. Another part is due to the fact that gold is often preferred... READ MORE
There is no doubt that the technology sector is still the strongest segment in the US stock market, but, in the near term, it is losing some of its relative momentum, as you can see on the daily Relative Rotation Graph for US sectors. One of the stocks in that... READ MORE
In this edition of Trading Simplified, Dave is pleased to that announce his indicators/plugin are now available on the StockCharts.com Advanced Charting Platform (StockChartsACP). Dave presents an explanation on what his indicators are and how they are constructed. He also answers a popular question from a viewer: "... READ MORE
The malls were high risk before COVID-19, given the number of bankruptcies of chain stores such as Pier One (PIRRQ) and Toy "R" Us. Online shopping was already leading malls to become like ghost towns. Now, with COVID-19, one would expect the high risk to go to full... READ MORE
GOLD SPDR REACHES ANOTHER EIGHT-YEAR HIGH...Gold prices are on the rise again. The monthly bars in Chart 1 show the Gold Shares SPDR (GLD) rising to the highest level since 2012. The August gold contract has risen to $1820 and appears headed toward its 2011 peak at $1923. Gold... READ MORE
Rare to see an island bottom. However, the one in UNG, the ETF for natural gas, had a classic one. After making new all-time lows, an island confirmation suggests a reversal of the downtrend. But that's not all. Warren Buffett bought Dominion Energy (D), a company that heats... READ MORE
The S&P 500 preliminary earnings results for 2020 Q1 are out, and based upon GAAP (Generally Accepted Accounting Principals) earnings, the S&P 500 is far above its normal value range. The following chart shows us the normal value range of the S&P 500 Index,... READ MORE
The first half of 2020 is "done and dusted." On this episode of Sector Spotlight, I start with a quick look back at the performance and rotations for asset classes and Sectors last week. Then, I take a closer look into the long-term trends using monthly charts in... READ MORE
The S&P 500 index has remained in consolidation mode, spending the shortened holiday week in a rally back to the upper end of the recent trading range. Last week on The Final Bar, I announced "The Mindful Six", a group of six stocks that I feel... READ MORE
* Silver has been Range-Bound - But is That About to End? * Silver Shares Starting to Perk Up * Silver Bottoming Against Gold? Silver has been Range-Bound - But is That About to End? Gold has been in a strong bull market recently, which has eclipsed the performance of the gray metal.... READ MORE