The S&P 500 SPDR (SPY) is down sharply this morning and over the last six days. The ETF hit a new all time high less than two weeks ago and remains above its 200-day SMA, and its early June low. This suggests that the long-term trend remains up.... READ MORE
CHINA DEVALUES YUAN IN RESPONSE TO NEW TARIFFS...It didn't take long for China to retaliate against last Thursday's announcement of a new U.S. tariffs on Chinese imports starting on September 1. Those tariffs are a tax on Chinese imports which raises their price. Today&... READ MORE
Market Recap for Friday, August 2, 2019 The latest nonfarm payrolls report came in, but quite honestly no one seemed to care. The Fed has already said its piece and was rather noncommittal to another rate cut and both bond and equity markets are fixated on the US-China trade war.... READ MORE
The end of the previous week saw the NIFTY taking support at its 50-Week MA but making a downward breach on the downside from the secondary channel, which was formed after the NIFTY breached the primary uptrend in October 2018. The week that went by saw the index extending its... READ MORE
* Two Indicators That are Not Yet Oversold * Several Confidence Ratios are at the Brink * Global Equities Probably Need to Test Their 200-day MA In the third week of July, I wrote an article entitled "Is It Time For A Contra Trend Correction?" (currently unavailable). Initially, the market thumbed... READ MORE
S&P 500 UPTREND MAY BE TESTED...Global weakness has become a major theme for financial markets. Even the Fed's so-called "data dependence" relies more on developments in foreign economies and markets. That includes falling foreign interest rates which are pulling bond yields down in... READ MORE
Stocks were hit with some of the strongest selling pressure since December as the S&P 500 fell 3.10% and the Nasdaq 100 fell 4.04%. These weekly declines were the largest since mid December. The Russell 2000 held up the best with a 2.87% decline, which... READ MORE
(This is a reprint of a Trading Places blog article written a week ago. I've updated the performance and charts to include last week's selloff.) Beating the S&P 500 is my #1 goal. If I didn't believe I could beat the S&... READ MORE
The bears were awakened last week following Fed Chair Powell's remarks, as well as Trump's trade war tweets. Both events brought the markets to their knees, with each of the major indices pulling back to their 50-day moving averages. Despite the negative action in the broader... READ MORE
Editor's Note: This article was originally published in Martin Pring's Market Roundup on Tuesday, July 30th at 1:14pm ET. Technical Analysis is an art form, one in which we put together several reasonably reliable indicators and form a weight-of-the-evidence opinion about the status of the... READ MORE
While I work, I watch a business news channel with the sound turned down. It's not really a necessary activity, it's just what I do. One of the things I notice is that the commentators try to attribute news items to every market twitch, and most... READ MORE
"Never confuse brains with a bull market." When the market is going higher and the average stock is appreciating, we often attribute the gains to our skill as investors. Due to our incredible investing prowess, we have managed to own stocks that are doing well! However, when the... READ MORE
In my latest "Don't Ignore This Chart" article, I used a Relative Rotation Graph holding 20 stocks as a starting point to find an interesting-looking rotation and a possible trading opportunity for BHGE. The question: how was I able to select those 20 stocks to include... READ MORE
The monthly Market Roundup video for August is now available. Good luck and good charting, Martin J. Pring The views expressed in this article are those of the author and do not necessarily reflect the position or opinion of Pring Turner Capital Group of Walnut Creek or its affiliates.... READ MORE
AUSSIE AND CANADIAN DOLLARS ARE TIED TO COMMODITIES...Two major events this past week have highlighted the need to view things from a global perspective. Mr. Powell on Wednesday emphasized that the Fed was lowering its short-term rate to partially offset weakness in foreign markets. President Trump yesterday announced new... READ MORE
Today I am going to dive into breadth by looking at two indicator groups used for short-term market timing and three indicator groups for long-term market timing. Most of you are familiar with these indicators: AD Percent, Up/Down Volume%, High-Low Percent and %Above 200-day EMA. Stocks fell on Wednesday... READ MORE
Market Recap for August 1, 2019 Today's article will be very brief. The whole Fed deal and now another trade tweet. Really? Can we all just get along? It reminds me of that old Jackson 5 song, Rockin Robin (sing along if you'd like....and yes... READ MORE
BOND YIELDS PLUNGE...A threat of new tariffs on China starting September 1 is contributing to this afternoon's plunge in bond yields. And lower stock prices. Chart 1 shows the 10-Year Treasury yield plunging 13 basis points to the lowest level since 2016. Even more surprising is a... READ MORE
A RISING DOLLAR IS KEEPING COMMODITY INFLATION DOWN...One of the reasons given by the Fed for lowering rates yesterday was to boost inflation. But the dollar hit the highest level in a year right after the rate cut. That's because foreign central bankers in Asia and Europe... READ MORE
Here's a Relative Rotation Graph filled with stocks that I got off my StockCharts.com dashboard this morning: Your Dashboard is a great way to get an overview of what's going on in the market and organize your workflow on the site. If you are interested... READ MORE
Market Recap for Wednesday, July 31, 2019 To say that this current Fed is transparent would be the equivalent of saying I'm a marine biologist (a Seinfeldism for those of you that are fans). What the heck are they doing? Seriously, what is going on in those meetings?... READ MORE
While the Fed didn't do anything unexpected, market participants were not excited about the language of Chairman Powell. The 10-minute bar chart below shows the spike in volume that finished the day, which is the biggest volume finish in the past two weeks. The question is whether it... READ MORE
STOCKS WEAKEN...Stocks sold off on today's Fed accouncement. Or, more accurately, during the press conference afterwards based on some confusing responses from Jerome Powell regarding the reasons for today's rate cut, or whether more cuts are coming. The first three charts show three major stock... READ MORE
Market Recap for Tuesday, July 30, 2019 For a second straight day, traders opted for safety ahead of today's FOMC policy statement. It was once again apparent in the sector leaderboard, which ended the session on Tuesday as follows: Industrials (XLI, +0.43%) became the first aggressive sector... READ MORE
After an extended tightening cycle, the Fed is set to lower rates for the first time since December 2008 (yawn). It seems easy to equate easier Fed policy as bullish for housing, but the relationship between Treasury yields and the Home Construction iShares (ITB) is not as clear cut. First... READ MORE
* Defining a Bull or Bear Market Using a Two-Way Test * Applying the Test to the Dollar * The Euro and the Pound Defining a Bull or Bear Market Using a Two-Way Test Technical Analysis is an art form, one in which we put together several reasonably reliable indicators and form a... READ MORE
What was the first chart you looked at today? Was it for a stock that you read about in a blog or the newspaper? Was it for a company that was mentioned in that e-mail newsletter you saw? Was it for one of your holdings that you're concerned... READ MORE
Market Recap for Monday, July 29, 2019 I am not at all surprised by Wall Street's action on Monday. The current Fed has not exactly been dependable in terms of following the lead of the treasury market, so short-term trading ahead of this week's Fed meeting... READ MORE
This post will update some prior setups that are still working as we start the week. As noted in the State of the Stock Market on Friday, we are in a bull market right now and have been since mid February. Anyone basing their decisions on the current trend, aka... READ MORE
Market Recap for Friday, July 26, 2019 Communication services (XLC, +2.86%) exploded higher on Friday, thanks in large part to a blowout quarterly earnings report from Alphabet (GOOGL, +9.62%) after the bell on Thursday. They apparently kept their good news to themselves because Wall Street didn't... READ MORE
Fastenal, an industrial staples company, is reversing off a key level with an RSI failure swing working. Never heard of that sector? Let me explain. The company is a wholesale distributor for industrial and construction supplies, including nuts, bolts, screws, washers and fasteners. It does not get much more basic... READ MORE
In the run-up to its resistance level (around 2950), along with first two weeks after breaking that barrier while pushing to new highs, more defensive sectors like Utilities and Consumer Staples were leading the market higher. The situation is changing now, adding more reliability to this important breakout. RRG Positions... READ MORE
In the week before this past week, the NIFTY rested itself and took support on the lower rising trend line of the nine-month-long secondary channel that had been formed. This secondary channel was formed after the index breached its three-year-long upward rising channel in October 2018. In the previous weekly... READ MORE
That is my #1 goal. If I didn't believe I could beat the S&P 500, I'd simply buy the SPY (ETF that tracks the S&P 500) and call it a day. But I know I can beat the S&P 500... READ MORE
NASDAQ AND S&P 500 HIT NEW RECORDS... SMALLER STOCKS AND TRANSPORTS STRENGTHEN... Stocks ended the week on a strong note. Charts 1 and 2 show the Nasdaq Composite Index and the S&P 500 closing at record highs on Friday. A report showing 2.1% GDP growth... READ MORE
With a new earnings season comes new leadership, and I'm already beginning to see a shifting of industry winds. Sure, some of the prior leaders continue to show leadership - software ($DJUSSW), financial administration ($DJUSFA), renewable energy ($DWCREE), and restaurants & bars ($DJUSRU) - but, as the current... READ MORE
On today's DecisionPoint show, we looked at some of the intermediate-term analysis charts and found some disturbing negative divergences. Below are the charts you need to see. Starting off with the NYSE Composite, price has been flat, which explains the flat reading for percent above 200-EMA. However, there... READ MORE
The S&P 500 Index has been making all-time highs for over a month, but new highs for S&P 500 component stocks has been fading since the rally initiation spike in early-June. This indicates that participation is narrowing and that largest-cap stocks are doing most of the... READ MORE
Editor's Note: This article was originally published in John Murphy's Market Message on Friday, July 26th at 11:16am ET. Global stock indexes are once again testing overhead resistance barriers. The weekly bars in Chart 1 show the MSCI All Country World Index iShares (ACWI) in... READ MORE
Price action is not everything, it's the only thing. This is what Vince Lombardi might have said were he a trader or investor. Indicators are great for scans and sorting through hundreds of stocks, but nothing takes the place of price action. Moreover, our profits and losses are... READ MORE