* A few words on sentiment * The long-term technical remains bearish but… * Short-term is almost bullish * What about the euro? * Conclusion A few words on sentiment The Dollar Index has been in a virtual free fall since the end of last year. No market goes down forever, because traders exhaust their... READ MORE
.... Small-caps Extend Newfound Leadership Role .... AD Lines Hit New Highs .... RSI Notches another Overbought Reading for SPY .... IJR Continues to Grind Higher .... Tech, Industrials, Healthcare and Materials Lead .... XLI and XLB Extend after Breakouts .... XLF Fully Recovers with Flag Line Break .... XLY Puts Double Top on the Back Burner .... XLE... READ MORE
Market Recap for Thursday, September 14, 2017 Consumer discretionary (XLY, -0.54%) was the worst performing sector on Thursday, but you'd never know it from looking at the automobiles or auto parts stocks. The Dow Jones U.S. Automobiles & Parts Index ($DJUSAP) is featured below in the... READ MORE
Sometimes the best moves higher occur after an extended period of sideways price action, or basing. We recently saw a breakout in biotechs ($DJUSBT) and that industry quickly became one of the strongest. The healthcare sector (XLV) also has been among the strongest sectors. It makes sense that other healthcare... READ MORE
A day passed with no signal changes for the DP Scoreboards, but also for the SPDRs and their equal-weight counterparts that DecisionPoint follows. The market is taking a short pause. I suspect with options expiration tomorrow, we will see more flat trading though with higher volume. The purpose of the... READ MORE
Price Characteristics and Indicator Effectiveness There is NO SUCH thing as the perfect indicator. Further more, even if you find the almost perfect indicator, there is no such thing as the optimal setting. A 50-day SMA works great for one stock and lousy for another. 14-day RSI nails the oversold... READ MORE
Market Recap for Wednesday, September 13, 2017 Wide participation is a key to sustaining a bull market advance. We want as many indices, sectors and stocks on a buy signal as possible. That makes it nearly impossible for bears to regain control of the market as technical buyers show up... READ MORE
* Many positive indicators * Strong showing outside the US as well The last time I focused on the US stock market I pointed out that I liked the fact that the market was shrugging off bad news in the form of numerous widely circulated articles calling for a correction. While not... READ MORE
Lots of new signals today! Three important PMO signals arrived on the Dow, Bonds (TLT) and Dollar (UUP); not to mention two important Intermediate-Term Trend Model BUY signals on Russell 2000 ETF (IWM) and Consumer Staples SPDR (XLP). Feast your eyes on these charts! First and foremost, I must talk... READ MORE
SMALL CAPS ARE RISING AGAIN ... With the three major stock indexes hitting record highs yesterday, attention remains focused on market leaders. To me, the bigger story may be the resurgence of weaker parts of the market that have been holding it back. Small caps are at the top of the... READ MORE
Texas Instruments (TXN), the semiconductor behemoth, formed a bullish cup-with-handle pattern and a classic volume-based indicator points to a breakout. The chart shows TXN hitting resistance in the 83-84 area from June to September (red zone). In between these resistance points, the stock dipped to the 76 area in June... READ MORE
Market Recap for Tuesday, September 12, 2017 Financials (XLF, +1.18%) were the primary beneficiary on Tuesday as treasury yields rose. That typically leads to strength in this sector, with particular strength usually seen in banks ($DJUSBK) and life insurance ($DJUSIL). Yesterday was no exception and the DJUSBK is featured... READ MORE
No changes to the DP Scoreboards. We're just waiting on the Dow to log a PMO BUY signal. Reviewing the chart of the Dow we can see that a PMO BUY signal should trigger on the next positive close, if not sooner. Today's breakout to new... READ MORE
Technical analysis education suffered a great loss with the recent passing of Dr. Henry O. (Hank) Pruden. A consummate educator, in 1976, Hank combined his incredible capacity for inspiring students with his personal passion for Technical Market Analysis. The result was the very first graduate course, at an accredited university,... READ MORE
.... Sticking with a Strategy (IJR) .... Finance Sector Rebounds .... Broker-Dealer ETF Holds Up Better .... TD Ameritrade and Etrade Lead Brokers .... Industrials Sector Breaks Out .... Airlines Finally Perk Up .... Delta and American Lead Bounce .... Cisco, Teradata and Skyworks .... Sticking with a Strategy (IJR) Sticking with a strategy is perhaps the hardest part... READ MORE
Market Recap for Monday, September 11, 2017 It was a very bullish day on Wall Street. First and foremost, the benchmark S&P 500 rose more than 1% to close at a fresh all-time high. Its previous closing high was approximately 2481. The bulls left no doubt about this... READ MORE
The Dow's 5/20-EMAs have been braiding and unfortunately that causes whipsaw signals. Today saw the recent 9/6 ST Trend Model Neutral signal fall away in favor of a new BUY signal. With the market hitting new all-time highs, this wasn't a surprise to anyone... READ MORE
Johnson & Johnson (JNJ) appears to be ending its consolidation period with a surge and triangle breakout over the last three days. Overall, the stock is in a long-term uptrend because it hit a 52-week high in June and remains well above the rising 200-day moving average. JNJ consolidated after... READ MORE
Why do investors / traders like predictions? The prediction industry is not just Wall Street, there are business forecasting companies, economic analysis and forecasting, sales forecasting, on and on. However, Wall Street seems to have the least talent of the bunch. Here are some reasons I think investors / traders like predictions:... READ MORE
Market Recap for Friday, September 8, 2017 The NASDAQ fell on Friday mostly due to a very weak technology sector (XLK, -0.82%). Computer hardware ($DJUSCR) tumbled as Apple (AAPL) closed well below its 20 day EMA on heavier than normal volume for the first time since its big drop... READ MORE
Just a quick reminder that Greg Schnell and I will be hosting StockCharts Outlook webinar for September in one hour, beginning at 11am EST. Please join us if you're available. It's free and you can REGISTER HERE! Happy trading! Tom... READ MORE
Last week there was a high-volume breakout above a declining tops line. This week price pulled back to the line, bounced somewhat higher, then moved sideways the rest of the week. S&P 500 total volume was fairly robust compared to the weaker SPY trading volume, so there was... READ MORE
History matters because markets do indeed repeat themselves. John Kenneth Galbraith was interviewed in the PBS documentary, The Crash of 1929, and he observed that every 30 years or so we predictably have a major market correction because that seems to be the length of time it takes each generation... READ MORE
.... Large-techs Tower over Small-caps .... September is a Coin Flip .... High-Low Percent Indicators are Dragging .... Fewer than 50% of Small-caps Above 200-day EMA .... SPY and QQQ Hold Flag Breakouts .... Monitoring the Upswing in IJR .... Finance Weighs as Healthcare Leads .... The Three Leaders (XLV, XLK and XLU) .... XLB Breaks Out as XLI... READ MORE
Special Announcement Tomorrow's StockCharts Outlook Webinar with Greg Schnell and me will be held at 11am EST. Please join us by registering HERE. Market Recap for Thursday, September 7, 2017 Thursday's action was just further confirmation of a strengthening healthcare group (XLV, +1.11%). The group... READ MORE
Over the past six months, the Dow Jones U.S. Gambling Index ($DJUSCA) has gained 27.35% to lead all consumer discretionary groups. In fact, renewable energy ($DWCREE) is the only industry group among all sectors to outperform gambling stocks. But the short-term outlook for gamble stocks changed on Thursday... READ MORE
Signal changes keep coming in with three important new ones today. USO had already logged a new IT Trend Model BUY signal this week and today gets to add a PMO positive crossover BUY signal to the chart. The Dollar has struggled mightily and continues to fall so it was... READ MORE
DOLLAR INDEX FALLS TO TWO-YEAR LOW... The weekly bars in Chart 1 show the PowerShares U.S. Dollar Index ETF (UUP) falling below its 2016 bottom to the lowest level since the start of 2015. Some of that has to do with the fact that bond yields in the states... READ MORE
Here is the link to the Market Roundup Video Recording for September 2017. Market Round Up Live With Martin Pring September 2017 from StockCharts.com on Vimeo. Good luck and good charting, Martin J. Pring The views expressed in this article are those of the author and do not necessarily... READ MORE
Market Recap for Wednesday, September 6, 2017 Energy (XLE, +1.63%) has been the clear leader for the U.S. stock market the past week or so, but I'm not a fan just yet of the recent bounce continuing and morphing into an uptrend. Keep in mind that... READ MORE
.... Bollinger Bands Contract for Dow SPDR (plus BA and GS) .... QQQ Holds Breakout Zone .... Setting a Pullback Target for Apple .... A Boring Uptrend for Microsoft .... Facebook Breaks Wedge Line .... Alphabet and Amazon are the Weakest Links .... Mea Culpa on Intel and Target .... Charts Worth Watching (CY, PFE, AMGN, AGU, POT)... READ MORE
My email inbox presented two new important signals. First is the Intermediate-Term Trend Model (ITTM) BUY signal for USO. We've been watching it as it managed to find support and rallied strongly. Second is the Short-Term Trend Model (STTM) Neutral signal on the Dow Industrials. I've... READ MORE
STOCKS REMAIN ABOVE 50-DAY LINES... Stocks are ending the day on a strong note. Chart 1 shows the Dow Jones Industrial SPDR (DIA) remaining above its 50-day average. Chart 2 shows the S&P 500 SPDR (SPY) bouncing off its 50-day line as well. Chart 3 shows the PowerShares... READ MORE
Lowes (LOW) successfully tested the 71 area twice in July-August and surged above short-term resistance this week. At the risk of jumping the pattern, the two semi circles show a double bottom taking shape and a break above the August high would confirm this bullish reversal pattern. Also notice that... READ MORE
Market Recap for Tuesday, September 5, 2017 Hurricane Irma may still be well out in the Atlantic Ocean, but its bearish winds are being felt on the shores of Wall Street already. Irma is a monster and is now regarded as the most powerful Atlantic storm ever recorded and it&... READ MORE
A few new Price Momentum Oscillator (PMO) BUY signals appeared on the DP Scoreboards Thursday and Friday. Friday, the SPY generated a PMO BUY signal as well. You'll note on the charts below the Scoreboards, that these three major indexes had difficult days, but price managed to stay... READ MORE
* Long-term technical structure looks solid * Gold shares are solid * Hail silver! Back at the end of July in an article entitled Has $GOLD Got What It Takes For A Major Rally? I pointed out that gold was sporting some bullish characteristics to the extent that we would probably see a... READ MORE
.... Small-caps Take the Short-term Lead .... But Small-caps are Still Lagging Long-term .... IJR Surges Toward Chandelier Exit .... 10-yr T-Yield Firms Near June Lows .... Correlations with the 10-yr Yield .... Brent Stronger that WTI .... Two Bearish Stocks and One Bull .... There was a shift in leadership over the last two weeks with small-caps... READ MORE
Market Recap for Friday, September 1, 2017 The latest government nonfarm payrolls report came and went. The number was a bit disappointing, but the U.S. stock market handled it quite well and the bond market surprisingly sold off. Normally, you'd see traders move into bonds on weak... READ MORE
The Wyckoff Method is well suited to the concept of campaigning stocks. When a campaign works, a stock may be held for months to years while participating in a major uptrend. Mr. Wyckoff’s goal was to hold the campaign stock until the chart (tape) indicated selling by the large... READ MORE