Relative Rotation Graphs are not only used to look at sector-rotation or help with asset allocation decisions but can also help you to pinpoint potential forex trades. Most currency traders are short-term orientated so the RRG above is a daily chart showing the rotation of the Norwegian Krone and the... READ MORE
Market Recap for Friday, July 6, 2018 It was a solid close to the week on Friday, especially on the tech-laden NASDAQ where that index rose 101 points, or 1.34%. Biotechnology stocks ($DJUSBT, +3.74%) surged on news of positive trial results for Biogen's (BIIB, +19.63%... READ MORE
I cannot tell you the number of times an investor has asked, “Considering the difficulties of the past few months, do you still believe in your investment process?” These questions always concerned me because I never once considered not believing in my process for managing money just because of short-term... READ MORE
This is an extended version of the recent RRG article in Chartwatchers "Checking out the land down under on a Relative Rotation Graph". Even if your investment portfolio is tied to a specific country or region it makes sense to keep an eye on developments around your geographical... READ MORE
During my most recent guest appearance on MarketWatchers LIVE (7/5/18) I introduced a case study of intraday trading with the Wyckoff Method. Intraday trading is not every traders cup of tea, but even if you are not a short term trader there are benefits to studying the intraday... READ MORE
* Technical picture is ripe for a turn, but the main trend is up right now * Tuesday’s outside day could be the first domino * Negative divergences between several energy components Technical picture is ripe for a turn, but the main trend is up right now The oil price remains in... READ MORE
STOCKS START SECOND HALF ON A STRONG NOTE ... After a shaky month of June, stocks started the second half of the year on a positive note. And moving average lines continue to play an important role in that stronger start. Chart 1 shows the Dow Industrials ending the week on... READ MORE
Let's first talk about a trading strategy that doesn't work. I steer clear of companies that struggle to meet Wall Street expectations and there's a very simple reason why. Management helps Wall Street set their expectations. So when companies miss their targets, it'... READ MORE
On the Relative Rotation Graph above I have grouped a selection of world equity market indices, mainly some big regions, and put them against the Vanguard Total World Stock Index (VTWSX) as the benchmark. What immediately grabs our attention, or at least mine is the fact that this selection is... READ MORE
On a day when stocks are rising, and all eleven market sectors are in the black, healthcare is the standout performer. This chart shows the Health Care SPDR (XLV) rising to the highest level since the middle of March. The bottom box shows the XLV/SPX ratio rising to the... READ MORE
The market has been in stall mode for quite some time now. Even though the S&P perked up some on Friday it's still hanging out near levels seen in early January, going nowhere fast.At the same time the market has had all kinds of reasons... READ MORE
I've presented my favorite PMO scan numerous times during the MarketWatchers LIVE show, but also in articles. Here's a link to my article on that scan. However today I wanted to present my "Chart Breakouts" scan. I use this scan during the MarketWatchers LIVE... READ MORE
Wedges are a favorite of mine because they are so reliable. For example, there is a high probability that rising wedge formations will resolve downward, so it is usually best to wait for this resolution and the aftermath before going long. Two weeks ago SPY broke down from a rising... READ MORE
HEALTHCARE SPDR ACHIEVES BULLISH BREAKOUT... On a day when stocks are rising, and all eleven market sectors are in the black, healthcare is the standout performer. Chart 1 shows the Health Care SPDR (XLV) rising to the highest level since the middle of March. The bottom box shows the XLV/... READ MORE
Market Recap for Thursday, July 5, 2018 U.S. equities rallied on Thursday, led by the NASDAQ and Russell 2000, which gained 1.12% and 1.15%, respectively. The Dow Jones and S&P 500 tacked on lesser gains. Technology (XLK, +1.41%), consumer staples (XLP, +1.38%) and... READ MORE
Although we haven't quite seen any changes on the DP Scoreboards in the "momentum" category, detailed analysis of the PMO in all three timeframes shows signs that components of these indexes are gaining positive momentum. The PMO Analysis charts below are in the DecisionPoint Market Indicator... READ MORE
MOVING AVERAGE LINES ARE STILL HOLDING... Major stock index continue to find support around moving average lines. Chart 1 shows the Dow Industrials rising 181 points (+0.75%) to close at 24356. That was enough to put it just above its 200-day moving average. Other stock indexes did even better.... READ MORE
Market Recap for Tuesday, July 3, 2018 U.S. equities started the holiday-abbreviated trading session on Tuesday quite nicely with gains across each of our major indices. But that strength deteriorated throughout the day and, by the close, all but the small cap Russell 2000 had finished in negative territory.... READ MORE
A good start of the day, at least for me is to go to the StockCharts.com dashboard and look at the Top 10, most active, market movers, in the S&P 500 index. The table gives a quick idea of what has happened the previous day. From there... READ MORE
* Copper signals a primary bear market * Copper’s influence on commodities in general * Copper and bond yields It’s often said that Copper has a PHD in economics because it is used widely in many economic sectors. As a result, long-term reversals in its price trend often foreshadow general swings... READ MORE
Market Recap for Monday, July 2, 2018 A brief recap from yesterday: All of our major indices climbed higher with renewed leadership from the NASDAQ and Russell 2000. Technology (XLK, +0.89%) and utilities (XLU, +0.71%) led the action, while energy (XLE, -1.47%) was very weak. Given the... READ MORE
For the last couple of decades, I have classified myself as a trend follower. Mind you, this is not market timing. Market timing involves guessing at tops and bottoms. A trend follower will NEVER get in at the bottom or out at the top. It depends on how quickly his/... READ MORE
Here is the link to my current thoughts about the global markets. 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... READ MORE
Market Recap for Friday, June 29, 2018 The first half of 2018 ended on Friday in bifurcated fashion, which is fitting given that most of 2018 has seen bifurcated action thus far. The NASDAQ gained nearly 9% in the first six months, with the Russell 2000 not too far behind,... READ MORE
This (DAILY) Relative Rotation Graph shows the rotation of the Health Care stocks against their XLV benchmark. One stock really stands out because of its wide rotation. ALGN crossed over into the leading quadrant, from improving, last May and sharply moved higher on the price chart since then while building... READ MORE
Remember to tune in this coming Thursday, July 5th, when I will be a guest on MarketWatchers Live. I recently promised to drill down into intraday charting using the Wyckoff Method. The Wyckoff technique works very well on smaller timeframes and it is fun to do. On Thursday I will... READ MORE
DOW AND S&P 500 GIVE UP SOME OF FRIDAY'S GAINS... First a quick update on Friday's price action. The Dow and S&P 500 gave up some of their gains on Friday afternoon. The Dow gained 55 points (+0.23%) but ended slightly... READ MORE
Monthly charts were finalized on Friday, so we can get an up-to-date assessment of the very long-term. On the SPY monthly chart below, note that the cyclical bull market up trend has taken price on a very wide departure from the secular bull market rising trend line. The monthly PMO... READ MORE
DOW REGAINS ITS 200-DAY MOVING AVERAGE... Stocks are off to a strong start today. Wednesday's late selloff pushed the Dow below its 200-day average. Chart 1, however, shows the Dow Industrials regaining that long-term support line this morning. Chart 2 shows the S&P 500 regaining its... READ MORE
Market Recap for Thursday, June 28, 2018 The selling episode went according to plan, with many higher risk areas taking on most of the bears' wrath. The three worst performing sectors over the past week led the rebound on Thursday. Technology (XLK, +1.22%), financials (XLF, +0.87%) and... READ MORE
* June Swoon Looks Pretty Tame. * Programming Note: Up Coming Vacation. * High-Low Lines Still Rising. * S&P 500 Sets up First Test. * Short-term Oversold in Long-term Uptrend. * XLF and XLI Toy with Support. * Three Tech ETFs Become Oversold. * Notes from the Art's Charts ChartList. ...There are plenty of... READ MORE
Market Recap for Wednesday, June 27, 2018 Trade war fears are dominating the headlines, but U.S. Dollar Index ($USD) strength is quietly making the biggest news of all. The rising greenback is potentially good news as it signals that the U.S. economy is humming along, and is perhaps... READ MORE
* Mind the Gap in XLK. * Offensive Sectors Lead the Correction. * Bonds Continue to Rise. * Banks, Utes and the 10-year Yield. * Yuan Breaks Support. ... Mind the Gap in XLK ... The Technology SPDR (XLK) hit a new high and then gapped down for the third time this year. The red annotations show... READ MORE
Last week Thursday (6/21) was the third Thursday (try saying that out loud ;) ) of the month. The day that I join Tom and Erin in the Market Watchers Live show to talk about Relative Rotation Graphs. In the show, which you can play back here, I talked about different... READ MORE
Another day of decline after a head fake at the open when prices gapped up and rallied. The Nasdaq and Russell 2000 never caught a break as they began their decline right out of the gate. These two indexes have shown great relative strength, but are now taking it on... READ MORE
DOWNSIDE REVERSAL DAY ENDS RALLY ATTEMPT ... This morning's market rebound didn't last for long. By day's end the market had suffered a downside reversal day. And some support levels were broken. Chart 1 shows the Dow Industrials falling 165 points (-.68%) and ending... READ MORE
* The US on a knife edge * Global markets are also on the edge * Individual regions largely around key support Last week I wrote about the important upside breakout in the US market vis a vis the rest-of-the-world, and a previous article pointed out that the S&P had also... READ MORE
THE DOW IS LEADING TODAY'S RALLY ... After weighing on the rest of the market all month, the Dow is leading today's rebound. And it couldn't come at a better time. Chart 1 shows the Dow Industrials bouncing off chart support near their late-May low... READ MORE
Market Recap for Tuesday, June 26, 2018 Tepid gains on Wall Street allowed trade fears to subside for a day, but technical indications suggest this is likely just a temporary breather. The Dow Jones gained 30 points on the session, while the small cap Russell 2000 and tech-laden NASDAQ produced... READ MORE
The Oil & Gas Equip & Services SPDR (XES) is trading near a potential reversal zone, but the ETF is not keeping pace with strength in oil. The first chart shows XES, the Light Crude Continuous Contract ($WTIC) and the Correlation Coefficient for the two. XES bounced between 13 and... READ MORE