Gold broke out of its recent falling wedge pattern, which is the normal expectation for that pattern. The weekly chart shows price sliding down the declining tops line. Nice that it is staying on top of the line, but it needs to reverse direction. Despite the breakout, as of 4/... READ MORE
Hello Fellow ChartWathcers! April ended on a fairly positive note with all of the major US average up about 1% for the week. That comes as we head into what has been - at least over the last 5 years - the worst month of the year for the S&... READ MORE
In 2013, market participants couldn't get enough of cyclicals, or consumer discretionary stocks. The XLY (ETF that tracks consumer discretionary) rose more than 40% in 2013 to lead all sectors on a relative basis. But things have changed in 2014, with many of the strong industry groups in... READ MORE
The dollar has been weakening since the start of the year, and is now in the process of testing some important chart support. The weekly bars in the chart below show the U.S. Dollar Index ($USD) testing a support line drawn under 2012-2013 lows. A decisive close below that... READ MORE
BOUNCE IN LUMBER MAY HELP HOMEBUILDERS... My April 23 message showed the Dow Jones U.S. Home Construction iShares (ITB) testing support at its 200-day moving average. The homebuilding ETF bounced off that support line this week (see circle). A weak housing sector has been a drag on the economy... READ MORE
The Technology SPDR (XLK) and the Finance SPDR (XLF) remain in uptrends overall, but Friday's intraday reversal could signal a near term peak and result in a bearish wedge. The first chart shows XLK hitting a new high in early April and then declining below 35.25 with... READ MORE
EQUAL-WEIGHT S&P 500 ETF CONSOLIDATES WITHIN UPTREND... Link for today's video. What a boring week. The Fed policy statement came and went. The bulk of earnings have come and gone. A slew of economic reports hit the wires. The employment report has come and gone. We... READ MORE
As I’ve revisited my trading journals from many years ago, I’ve come to realize what an unbelievable transformative journey it has been from part-time investor to full-time trader. I am somewhat startled by the personal evolution I’ve undergone with respect to both the markets and my personal... READ MORE
There is no change on the charts as the current patterns held up. SPY and QQQ have flag breakouts, while IWM is bouncing within a downtrend. IWM could be forming a bear flag/wedge over the last few days. Treasuries surged this week as the 10-YR Treasury Yield ($TNX) fell... READ MORE
MARKETS PAUSE AFTER DOWS NEW CLOSING HIGH ON WEDNESDAY... While it is possible to come out of the fed meetings with a quiet market result, today was very quiet on the equity markets. This could be due to many nations having a holiday today, or investors still analyzing their positions.... READ MORE
The Consumer Discretionary SPDR (XLY) was leading the sectors at midday on Thursday. Trading in general was rather lackluster, but it is still positive to see some leadership from this economically sensitive sector. The Market Carpet below shows Netflix (NFLX), DirecTV (DTV), Abercrombie (ANF), TripAdvisor (TRIP) and Expedia (EXPE) leading... READ MORE
ADSK Corrects after Strong Advance DDD Firms at long-term Support ISIL Breaks Out after Earnings ITRI Tests Island Reversal Zone PVH Breaks Flag Resistance Video is not available at the moment because we moved to a new blogging platform over the last few days. We are working on the technical... READ MORE
Trading remains mixed as the market awaits the employment report on Friday, or perhaps jobless claims today. Despite a mixed market, the S&P 500 SPDR and Dow Diamonds continue to behave and act like they want to move higher. The Nasdaq 100 ETF also has a flag breakout... READ MORE
I wrote an article a few days ago pointing out that the PMO had a positive crossover generating a PMO crossover BUY signal on the SPX. Indicators were not behind the BUY signal and a day later the PMO turned back down toward its EMA, leaving us wondering whether it... READ MORE
DOW AND S&P 500 NEAR RECORD HIGHS... Today's Fed announcement slashed another 10 billion from its monthly bond purchases as expected, and contained no surprises. In addition, first quarter GDP growth was basically flat. Despite that, stocks continued their recent bounce. Charts 1 and 2 show... READ MORE
The S&P 500 is up around 1.75% over the last two months, but the Nasdaq is down around 4%. Part of the reason for this discrepancy can be found in the performance of ten key tech stocks. The PerfChart below shows IBM, Microsoft, Intel, Cisco and Oracle... READ MORE
The major index ETFs closed with small gains as the market treaded water ahead of today's FOMC statement. These gains were enough to produce flag breakouts in QQQ and SPY. IWM remains in a downtrend and small-caps continue to hold the market back. Some of the beaten-down high-beta... READ MORE
I hadn't run my favorite PMO Rising scan in about a week so I decided to see if any charts showed up that were worthy of adding to my PMO Watch List. The scan I use is below: [exchange is NYSE] AND [Daily SMA(20,Daily Volume) >... READ MORE
SLIGHT BULLISH DIVERGENCE FORMS IN AD LINE FOR XLY... Link for today's video. The Consumer Discretionary SPDR (XLY) led the way lower from early March to mid April and underperformed the broader market during this timeframe. Relative weakness in the most economically sensitive sector is negative overall, but... READ MORE
It was a volatile and mixed day on Monday. The Dow Diamonds (DIA) closed a half percent higher to lead the major index ETFs, while the Russell 2000 ETF (IWM) closed .58% lower on the day. The sectors were mixed with technology, healthcare and consumer staples leading on the upside.... READ MORE
AMGN Spikes Near Support. BTU Breaks HS Resistance with Volume. Plus $EXPD, $GOOGL and $LEN VIdeo is unavailable while we work on a new interface. This chart analysis is for educational purposes only, and should notbe construed as a recommendation to buy, sell or sell-short said securities This commentary and... READ MORE
The market had a volatile day, swinging up, dipping low and then recovering to close up. Expectation on a rally would be short-term indicators switching direction and maybe even making climactic moves. Looking at the daily bar chart, price still looks like it is topping out. Yesterday's high... READ MORE
AN INFLECTION POINT FOR TREASURIES (AND MAYBE STOCKS)... Link for today's video. This week could mark an inflection point for Treasury bonds because the Fed makes its policy statement on Wednesday and the economic docket is overflowing with reports. The fundamentals alone do not make for the inflection... READ MORE
Stocks sold off on Friday, but the long-term trends remain up. We cannot forget about the long-term trend because it is the bigger force. In other words, IWM and QQQ may be in downtrends since early March, but these downtrends are still considered corrections within bigger uptrends. Yes, relative weakness... READ MORE
NASDAQ RALLY ATTEMPT MAY BE FAILING... The Nasdaq lost -1.75% on Friday to lead the market lower once again. The relative strength line (top of Chart 1) shows the Nasdaq/S&P 500 ratio peaking at the start of March and falling to the lowest level in eight... READ MORE
LOWER HIGHS EXTEND FOR IWM AND QQQ... Link for today's video. Selling pressure hit small-caps and techs hard in early trading on Friday. With further weakness over the last few days, the Russell 2000 ETF (IWM) and Nasdaq 100 ETF (QQQ) are poised to extend their string of... READ MORE
The S&P 500 is up 1.64% year-to-date and the Russell 2000 is down 1.66%. This market splits is also reflected in year-to-date performance for ten key industry group ETFs. Notice that five are up and five are down. The Retail SPDR (XRT), Home Construction iShares (ITB)... READ MORE
There is only one Albert Einstein and only one Warren Buffett. There is only one race – the human race. There is only one life you can live. There is only one God. Some say there is only one way to avoid criticism – do nothing, say nothing, be nothing. Many claim... READ MORE
Stocks have traded in mixed fashion for several weeks now. DIA, SPY and RSP are flat since early March, but QQQ and IWM are down. Relative weakness in small-caps and large-techs is a concern, but we have yet to see a breakdown in the broader market. Relative weakness in the... READ MORE
After breaking out from a short-term declining trend channel, the market seems to be losing steam. But, is it? The PMO has just had a positive crossover its 10-EMA triggering a PMO Buy signal. We may be looking at a fake-out PMO Buy signal like we saw in early April.... READ MORE
Juniper Networks (JNPR) is making waves because its StockCharts Technical Rank (SCTR) surged above 80 with one of the biggest SCTR gains among large-caps. Chartists can access the SCTR tables in the lower half of the home page. Click on "top up" to find the biggest SCTR gainers... READ MORE
$SPX AND $INDU TEST RESISTANCE AGAIN... The $SPX shown in the 60 minute view on Chart 1 pushed above 1884 this week and settled back on Wednesday. This morning the market surged higher on the back of great numbers from AAPL and FB. This is an extremely important place on... READ MORE
Stocks took a breather with techs leading the market lower on Tuesday. Relative weakness in techs may not last long because the Technology SPDR (XLK) and the Nasdaq 100 ETF (QQQ) are poised to open sharply higher on the heels of Facebook and Apple. Elsewhere, the Home Construction iShares (ITB)... READ MORE
ANF Follows Up on Hammer. BAC Firms in Support Zone. Plus C, JPM, SYMC Individual charts are below video. Sorry but your browser doesn't support HTML5 video. **This chart analysis is for educational purposes only, and should not be construed as a recommendation to buy, sell or sell-short... READ MORE
Nvidia (NVDA) is showing relative strength as it breaks above consolidation resistance. The chart below shows the stock surging and then moving into a trading range that looks like a flat flag. A breakout here would signal a continuation higher. The indicator window shows the StockCharts Technical Rank (SCTR) above... READ MORE
REITS BENEFIT FROM FALLING BOND YIELDS... Previous messages have shown falling bond yields benefiting dividend-paying stocks like utilities. REITS fall under the same category, and are getting the same lift from falling bond yields. The brown bars in Chart 1 show the MSCI US REIT Index ($RMX) trading it the... READ MORE
After becoming short-term oversold on 10-11 April, stocks firmed Monday-Tuesday last week and started a rally on Wednesday-Thursday. This short-term upswing continued this week with both QQQ and SPY advancing six days straight. On the breadth charts below, notice that the AD Line and AD Volume Line for the S&... READ MORE
One of the features that I used frequently on the DecisionPoint.com website was Gallery View in the ChartTool. I was happy to learn that you can not only use Gallery View on Stockcharts.com to get an in depth view on a stock, ETF, etc., but you can customize... READ MORE
Today's Market Roundup Headlines: * Stocks break down big time against commodities * IGE/XLP (Inflation/deflation ratio) breaks in favor of IGE * Brent Crude close to a major breakout * Industrial metals with the exception of copper break to the upside. * Spider Metals and Mining (XME) close to major upside... READ MORE
DOW INDUSTRIALS TRACES OUT BULLISH CONTINUATION PATTERN... Link for today's video. The Dow Industrials has been quite choppy over the last seven weeks, but the overall pattern looks like a cup-with-handle. Popularized by William O'Neil of Investors Business Daily, the cup-with-handle is a bullish continuation pattern,... READ MORE