In this episode of StockCharts TV'sThe MEM Edge, Mary Ellen reviews areas of the market that are relatively outperforming as product demand heats up for select companies. Shorter term, she shares how to uncover stocks on the move, as well as what chart timeframes to use. This video... READ MORE
Editor's Note: This is an expansion of a previous Market Roundup article written on Tuesday, March 24th, now with updated charts and commentary. For the original article, click here. I wrote earlier in the week that, whenever the market rallies by 8-9%, it's obvious that some... READ MORE
Instead of simply looking at sectors, it also makes sense to keep an eye on segments of the stock market based on different criteria. The Size Factor One example is to group stocks based on Market Capitalization, i.e. Large-, Mid- and Small-Cap stocks. A Relative Rotation Graph of that... READ MORE
In light of tax season being near (albeit delayed) and that we find ourselves in the midst of a bear market, we thought it was a good time to discuss active management and taxes, which is something we are asked about regularly. We often get asked about the impact of... READ MORE
A lot of eye balls on the health care sector these days, and for good reasons. Traditionally, this has been one of the more defensive sectors, and it seems to be picking up that role at the moment. On the weekly RRG for US sectors, XLF hooked sharply upward, moving... READ MORE
Yesterday's 9.4% rally in the S&P 500 Index has many investors wondering whether a bottom has been put in place in the markets. Certainly, the fear among the U.S. population has hit new highs, and we now have a historical stimulus package close to... READ MORE
The Price Momentum Oscillator (PMO) turned down on February 21, two days after the market's all-time high, and it moved steadily downward until Tuesday, when it finally turned up -- a short-term buy signal. The PMO has a normal range for market indexes of about +2.0 to... READ MORE
In this edition of Trading Simplified, Dave talks about trend following in bear markets and how to do it properly. He shows how to determine whether the market is a value, how to identify important bottoming signs/signals and beyond. This video was originally broadcast on March 25th, 2020. Please... READ MORE
At this exact moment? Yes. Am I a fan longer-term? No. Gold ($GOLD) nearly always is a good choice during periods of anxiety and we sure have plenty of that right now. So owning a piece of it would make sense for anyone wanting a hedge against the stock market... READ MORE
* Indicators Start to Flash Buy Signals * What Happened in the 1929-32 Bear Market? * Longer-Term Perspective Whenever the market rallies by 8-9%, it's obvious that some form of bottom has taken place (however fleeting), so I don't want to state the obvious. It is apparent, though, that... READ MORE
On this episode of Sector Spotlight, I discuss the subtle differences between cap-weighted and equal weight sector ETFs on RRG. I also take some time to show how you can plot pairs/ratios on a Relative Rotation Graph. This video was originally recorded on March 24th, 2020. Please note the... READ MORE
I'm a historian at heart. I absolutely love analyzing history to see what makes the market tick. It's why I turned my attention from fundamentals to technicals a few decades ago. Technical analysis is the study of price action to help forecast future price action. The... READ MORE
In this episode of DecisionPoint, Carl talks about the concept of "deflationary depression" and the implications. Carl and Erin discuss current technical levels for price and also look at the technical levels based on earnings at overvalue, fair value and undervalue. Carl reported on the "Big Four&... READ MORE
In 1959 a dynamic uptrend Climaxed. This began a range-bound market with Broadening features. Higher highs and Lower lows persisted into 1963. In 1962 a surprising waterfall decline fell below the lows of the 1960 SOW, then formed an Accumulation and a fresh new uptrend. This Broadening structure has eerie... READ MORE
It's time to take a new approach to the stock market. There are plenty of times where it's just "rinse and repeat" and we use the same old strategies we've always used. Well, those days are gone. For me, it's... READ MORE
The unabated meltdown in the equities markets continued this week as well, which saw the NIFTY plunging to the fresh weekly lows. The Indian equities traded in line with the weak global setup and lost ground as rapidly as other global markets. The benchmark index NIFTY declined and ended in... READ MORE
In this episode of StockCharts TV's The MEM Edge, Mary Ellen shares newly defensive areas of the market that are in the early stages of reversing from steep downtrends. She also reviews cutting-edge companies that are seeing increased demand for products that are assisting during this unprecedented global... READ MORE
My weekend message showed the Dow Industrials testing important chart support along its late 2018 low. The weekly bars in Chart 1 show the Dow falling below that important support line this week. That raises the likelihood of even lower prices. The question is how low. The best way to... READ MORE
I'm so excited to report sentiment to you this weekend with commentary added from Mark Young of WallStreetSentiment.com. We are seeing extraordinarily high bearish sentiment on most of our charts; however, I don't think we are bearish enough based on extremes we've previously... READ MORE
Generally, my articles focus on corporate earnings. But let's face it - earnings have taken a back seat these days, with traders more in survival mode. How volatile has it gotten out there and how worried are investors? Well, just take a look at the chart on the... READ MORE
First and foremost, a message to my readership: I hope you are staying safe and healthy during these difficult and unsettling times. COVID-19 is wreaking havoc on our lives, our families, our jobs and the markets. I ask you all to be mindful of the older generation amongst us — those... READ MORE
The broad market environment is bearish and volatility remains high, even with stock alternatives, such as gold and bonds. This is hardly a conducive environment for trading or investing, but there are alternatives, such as a bear market project. This can be remodeling a room, finally clearing out the garage... READ MORE
On Tuesday, I held a special webinar for EarningsBeats.com members to discuss the massive amount of net in-the-money put premium on major ETFs and many individual stocks. I can't say with any certainty, but I believe the current strength likely won't last. We could see... READ MORE
Everybody's looking at the stock market these days, but, in other areas of the market, big shifts seem to be underway as well. One of the areas that I like to keep an eye on is currencies, and Relative Rotation Graphs can help you keep an eye on... READ MORE
The image above shows two Relative Rotation Graphs for US sectors, side by side. The one on the left is the RRG (as I usually use it in my blogs and the Sector Spotlight show) holding 11 US sector ETFs, the SPDR ETFs offered by State Street. The one on... READ MORE
EDITOR'S NOTE: This is an update to my 3/13/2002 DP Weekly Wrap comments. When we look for downside potential for the S&P 500 Index, the simplest way is to look at obvious support levels based upon lines drawn across prior significant highs and lows.... READ MORE
LOWER TARGET FOR THE DOW... My weekend message showed the Dow Industrials testing important chart support along its late 2018 low. The weekly bars in Chart 1 show the Dow falling below that important support line this week. That raises the likelihood of even lower prices. The question is how... READ MORE
In this edition of Trading Simplified, Dave continues his series regarding the traits of successful traders, impart ing his wisdom and the lessons he's learned throughout his decades of trading. Dave discusses humility, flippancy, being a student of the markets, commitment devices and more. This video was originally... READ MORE
On this episode of Sector Spotlight, I try to see through the mayhem and get an angle on US sector rotations on weekly Relative Rotation Graphs. In addition, I go a bit more in-depth answering some questions from the Mailbag. This video was originally recorded on March 17th, 2020. Please... READ MORE
On this special episode of Real Trading with Larry Williams, Larry explains why he believes the bull is about to roar back and put the bears to sleep. Based on nearly 60 years of market analysis and trading experience, Larry showcases the charts and indicators he's watching most... READ MORE
The US sector universe is split pretty much evenly around the benchmark SPY. That is normal. It is also split pretty distinctively in sectors that are inside the leading quadrant and/or traveling at a positive RRG-Heading, which means that they are in a relative uptrend vs. the market. Under... READ MORE
In this episode of DecisionPoint, Carl and Erin discuss several topics including, of course, the bear market environment, along with global markets, broad markets and a few individual stocks you should see. Additionally, they analyze the implications of the Fed rate interest levels and the current and possible effects to... READ MORE
For this weekend's ChartWatchers newsletter, I shared some perspective on the bullish divergence appearing on the daily S&P 500 chart. It's worth noting that Monday's selloff pushed the S&P down to new lows, invalidating the bullish divergence. As price continues... READ MORE
Some Personal Thoughts on the Coronavirus Everyone, especially those with an internet "mouthpiece," is holding themselves out as a professional. I am not one of them. Below is just my opinion. Feel free to skip down to the trading commentary portion of this piece if you feel that... READ MORE
The S&P 500 moved from a 52-week high to a 52-week low with lightening speed over the last three weeks. To capture the sharpness of this decline, I am showing a chart with the 3-week Rate-of-Change in the indicator window. At -18.78%, this is the deepest three... READ MORE
DOW DROPS INTO BEAR TERRITORY... Friday's strong rebound helped prevent a very bad week in stocks from getting worse. And it came at a good time. That's because of number of U.S. stock indexes are nearing tests of major long-term support lines. We'll... READ MORE
After the violation of critical near-term support a week before, the Indian equities suffered their worst-ever weekly decline of the decade. In line with the global mayhem, the Indian stock markets also saw an equally sharp meltdown, going on to end well below the key moving average and slipping further... READ MORE
This week has seen U.S. administration fiscal proposals, as well as 1.5 trillion dollars in Fed support, aimed at limiting the economic damage from COVID-19. Friday saw a travel ban put into effect, along with a state of emergency. Unfortunately, these actions, just like the previous week'... READ MORE
The stock market has a mind of its own, so I never like to say that it MUST do one thing or another. But I'm firmly in the camp of this being a cyclical bear market, rather than a secular bear market. Historically, cyclical bear markets within secular... READ MORE
It was not a week for the faint of heart as the markets posted daily roller coaster type swings that had one day's action wiping out the prior day. The S&P 500 was down as much as 17% at one point before Friday's relief... READ MORE