One would normally not consider Facebook, Alphabet, Apple, Amazon and Microsoft boring. Well, maybe Microsoft. All joking aside, these tech titans are the biggest stocks in the Nasdaq 100 ETF (QQQ) and they account for around 40% of the ETF. This means traders or investors in QQQ best follow these... READ MORE
On Friday, I received a StockCharts Technical Alert in my email inbox letting me know that the Equal-Weight Utilities ETF (RYU) had triggered a new Intermediate-Term Price Momentum Oscillator (PMO) BUY signal. I immediately had to check out the weekly chart. There is a clear breakout from a declining trend... READ MORE
Weekly Market Review & Outlook .... All Time Highs Affirm Bull Market .... QQQ Continues to Lead on the Charts .... Small-caps Extend Stall .... Eight of Nine Sectors have Golden Crosses .... Tech, Industrials and Consumer Discretionary Lead .... Finance Breaks mid December low .... Energy Sports a Bullish Wedge .... Staples and Utilities Hit Potential Reversal... READ MORE
Earnings Season is now in high gear with thousands of companies getting ready to report their numbers over the next several weeks. Whenever earnings season comes around there are clear winners and clear losers with the sole evidence of success or failure being the performance of a stock. For example,... READ MORE
* The current status of the US versus the rest of the world * Europe * Asia * Latin America The current status of the US versus the rest of the world Earlier in the week I pointed out that the trend of superior performance by the US against the "rest of the... READ MORE
Holistic is most commonly heard in reference to skilled medical practitioners who treat the whole person, considering not only the physical symptoms of patients but mental, emotional and social factors as well. Holistic is also the perfect adjective to describe skilled investors. They appreciate the fact that the numerous parts... READ MORE
Market Recap for Thursday, January 20, 2017 The industrial sector (XLI, +0.73%) was the only sector to finish in positive territory as railroads ($DJUSRR) broke out on massive volume Thursday. CSX Corp (CSX) soared more than 23% after Canadian Pacific's (CP) CEO Hunter Harrison announced he was... READ MORE
Yesterday during my webinar, I added a "chart spotlight" at the end of the program. It's a new feature that viewers had asked for since I generally go through a review of the major indexes (small and large), DP indicators and the "Big Four"... READ MORE
I wrote about Fastenal (FAST) in this blog just two weeks ago. This is a stock that had been in a sideways consolidation pattern for many years after a prior uptrend. So I was looking for the next breakout. However, when a stock consolidates for years, you want to see... READ MORE
Broad Market Breadth Corrects During Consolidation .... Still Far from Bearish Breadth Signals .... New Highs Shrink, but New Lows have yet to Appear .... Over 70% of Stocks remain above 200-day EMAs .... Identifying Pullbacks with %Above 20-day EMA .... //// .... The S&P 500 consolidated with a trading range the last five weeks... READ MORE
10-YEAR TREASURY YIELD BOUNCES OFF 50-DAY AVERAGE ... The pullback in Treasury yields (coinciding with an oversold bounce in Treasury prices) may have run its course. Chart 1 shows the 10-Year Treasury Yield ($TNX) bouncing sharply off its 50-day moving average. The two momentum indicators above Chart 1 are also supportive.... READ MORE
Market Recap for Wednesday, January 18, 2017 Financials (XLF, +0.83%) were back on track Wednesday as mortgage finance ($DJUSMF), life insurance ($DJUSIL), investment services ($DJUSSB) and banks ($DJUSBK) led the equity charge. It was a bifurcated day with the Dow Jones retreating, but the S&P 500, NASDAQ... READ MORE
CENTURY ALUMINUM LEADS THAT GROUP HIGHER... Aluminum stocks are leading a rally in the materials group. Chart 1 shows the Dow Jones US Aluminum Index surging to the highest level in eighteen months. Chart 2 shows Century Aluminum (CENX) looking pretty much the same. Alcoa (AA) is also having a... READ MORE
BroadCom (AVGO) is showing upside leadership again with a flag breakout last week and a 2% surge today. Overall, the stock advanced to a 52-week high in August and then embarked on a long consolidation. A large symmetrical triangle formed as the stock traded flat from September to early December.... READ MORE
Market Recap for Tuesday, January 17, 2017 Money rotated towards defense on Tuesday as our major indices saw a day of profit taking. The small cap Russell 2000 was hit particularly hard, dropping 1.44%. But all of the key indices were lower as the banks' failure to break... READ MORE
* Gauging the trend between the US and the rest of the world * Relative performance of the US is largely dependent on the direction of the Dollar * Special K is close to a relative sell signal for the US * What does “The rest of the world” look like? * A few comments... READ MORE
Small-caps Pull back after Big Surge .... SPY Stalls Near 52-week High .... QQQ and its Top Components Lead .... Five Sectors within 2% of 52-week Highs .... Consumer Discretionary and Materials Hold Breakouts .... Finance and Industrials Extend High-Level Consolidations .... Healthcare is the Most Challenging Sector .... Utilities and Staples Remains the Laggards .... //// .... ----Art'... READ MORE
Market Recap for Friday, January 13, 2017 Friday may have seemed like a ho-hum kinda day as the Dow Jones actually finished with a loss for the session. But there was significant strength in both the more aggressive NASDAQ and Russell 2000, not to mention that the four sector leaders... READ MORE
The Relative Rotation Graph above holds the constituents of the XLV (Health Care) ETF. In this post, I want to follow up on my previous article which pointed at the potential rotation from Financials into Health Care and take a look at the relative rotation of individual stocks that make... READ MORE
The chart below shows the High-Low Line for the S&P 500, new highs/lows as a histogram, and the S&P 500. Notice that new highs exceeded 50 several times from mid November to mid December. This showed good internal strength because over 10% of stocks in... READ MORE
Banks threatened another breakout on Friday before stalling and dropping after an early morning surge higher. Bank of America (BAC) credited higher interest rates for its earnings beat Friday morning and said it was anticipating significantly higher net interest margins in 2017. So how much higher will the 10 year... READ MORE
Wyckoff has a fractal quality, and thus, the Method essentially works in all timeframes. The trained eye can see the price structures unfolding whether it be on a weekly vertical chart or the shortest term intra-day chart. Let us see if we can drill into the shorter timeframe and find... READ MORE
At the close of the prior week, a breakout from a flag formation had us questioning if the market was too overbought for the breakout to lead to higher prices. My conclusion was that there was plenty of room to the upside before our indicators got uncomfortably overbought. Brilliant! Unfortunately,... READ MORE
SMALL CAPS SURVIVE TEST OF SUPPORT... The stock market continues to trade sideways within the context of an overall uptrend. The fact that small caps stabilized at week's end is an encouraging sign (because they often lead larger stocks). At one point Thursday morning, the Russell 2000 iShares... READ MORE
Groucho Marx first said it and Woody Allen repeated the famous line “I’d never join a club that would allow a person like me to become a member.” As an independent trader, I’m part of an informal loose-knit group of investors who do what I do, tend to... READ MORE
----- Weekly Recap Video ----- Art's Charts ChartList ----- Weekly Recap Video .... A Pretty Normal Uptrend .... QQQ is Leading the Broader Market .... Small-caps Take a Rest .... Oil Continues to Grind Higher .... Energy SPDR Corrects within Uptrend .... Oil & Gas Equip & Services SPDR Outperforms XLE .... //// .... A Pretty Normal... READ MORE
Market Recap for Thursday, January 12, 2017 Healthcare (XLV, +0.10%) and utilities (XLU, +0.08%) finished in positive territory and provided sector leadership on Thursday, but the remaining sectors and all of our major indices finished the day in negative territory. Financial stocks (XLF, -0.85%) performed worst as... READ MORE
Carl Swenlin wrote back in a July 2014 an in-depth article about the Rydex Cashflow and Asset Ratios. His explanation of sentiment in relation to the Rydex Ratios is simple and well-stated so I won't rewrite it: "Sentiment has traditionally been measured by taking polls of selected... READ MORE
Stryker Corporation (SYK), a medical technology company, preliminarily reported their latest quarterly results and indicated they'd be ahead of expectations. That announcement resulted in a gap up and breakout above previous price resistance on Wednesday. Over the past couple days, we've seen a bit of selling... READ MORE
SHORT-TERM MARKET TREND WEAKENS... It looks like the Dow probably won't reach the 20K on this attempt. That's because of weaker market action in other stock indexes. Chart 1 shows the S&P 500 SPDR (SPY) starting to roll over to the downside after touching... READ MORE
Market Recap for Wednesday, January 12, 2017 The U.S. Dollar Index ($USD) fell for the fourth time in the past six trading sessions after sideways consolidating for a couple weeks prior. This hesitation and recent profit taking has provided fuel for a rebound in gold ($GOLD) and silver ($SILVER)... READ MORE
QQQ Closes near another 52-week High .... Fab Five Holding Strong .... HealthCare SPDR Falls on Huge Volume .... Biotech ETFs Test Breakout Zones .... ITB Still Setting Up Bullish .... Watching MACD for a Reversal in Gold .... A Precarious Bounce for Treasury Bonds ... ChartList Update .... //// .... QQQ closed at the high of the day and... READ MORE
WHICH TRENDLINE IS BILL GROSS REFERRING TO... I've heard a lot this week about Bill Gross' prediction that a move by the 10-Year Treasury yield above 2.6% would end the secular bull market in bonds. Part of his reasoning is that a rise above 2.6%... READ MORE
After a big surge from early November to early December, the Russell 2000 iShares (IWM) moved into a tight trading range the last four weeks. Chartists should watch the resolution of this trading range for the next directional clue. The chart shows Bollinger Bands confirming a volatility contraction as the... READ MORE
Market Recap for Tuesday, January 10, 2017 It was another bifurcated market day on Tuesday, but under the surface there was much more bullishness than on Monday. For one, six sectors rose instead of one. Secondly, all of the aggressive sectors gained ground, led by industrials (XLI, +0.42%) and... READ MORE
* Long-term perspective * The short-term picture * The Pound against other major currencies * Watch that gold! Long-term perspective Last October, I wrote an article entitled “British Pound Headed For Par, But Not Now”. The long-term case rested on the fact that the Pound, when measured against the Dollar, had completed a 30-year... READ MORE
Market Recap for Monday, January 9, 2017 Dow 20k watchers were left hanging another day as the NASDAQ was the only major index to gain ground on Monday. And speaking of lone leaders, healthcare (XLV, +0.42%) was the only sector to post a gain as falling crude oil prices... READ MORE
----- Webinar Video ----- Art's Charts ChartList (updated 10-Jan) ----- QQQ and SPY Get Oversold Bounces .... IJR Fails to Hold Breakout .... Healthcare Leads in 2017 .... Biotechs Lead Healthcare Sector Higher .... Vanguard Financials and Regional Bank SPDR Extend Stall .... Housing and Retail Off to a Rough Start .... //// .... Let'... READ MORE
The Copper ETN (JJC) broke out with a big surge in October-November and then pulled back in December. This pullback looks like a normal correction after a big move and chartists should be alert for a continuation higher. The weekly chart shows JJC and the Copper Continuous Futures Contract ($COPPER)... READ MORE
Market Recap for Friday, January 6, 2017 Let's party like it's 1999.....9. Do you think that big round numbers don't matter on Wall Street? If so, you might want to think again. Since December 13th, the Dow Jones ($INDU) has traded above 19950... READ MORE