There is no change in the indicator summary. On the positive side, the NYSE AD Line is trading near a 52-week high, NYSE Net New Highs are positive and eight of the nine sector Bullish Percent Indices are above 50%. On the negative side, the AD Volume Lines remain weak,... READ MORE
Stocks moved sharply lower on Thursday's open when it became clear that European Central Bank (ECB) president Mario Draghi was not quite ready to act. Nevertheless, stocks firmed at midday and then edged off their lows in the afternoon. Perhaps the market is expecting an upside surprise to... READ MORE
Fiserve (FISV) gapped up last week, but then gapped down this week to forge an island reversal. The stock followed through with a support break at 68 and this short-term trend reversal is turning into a medium-term trend reversal. Click this image for a live chart... READ MORE
WORLD STOCK INDEX PEAKED IN 2011... My earlier message showed a rotation out of small cap stocks into mega-caps in the middle of 2011 which continues to this day. That suggests that investors have been growing increasingly defensive over the last year. Chart 1 provides graphic evidence that global stocks... READ MORE
The S&P 500 ETF (-.36%) and Dow Industrials SPDR (-.19%) edged lower on Wednesday, but the Russell 2000 ETF (-1.65%) and S&P MidCap 400 SPDR (1.05%) moved decisively lower. Again, relative weakness in small-caps and mid-caps remains a major concern in the... READ MORE
ARO Stalls at 61.80% Retracement. FISV Forms Island Reversal. HRB Breaks Flag Support with High Volume. Plus ASEI, BBBY, LIFE This commentary and charts-of-interest are designed to stimulate thinking. This analysis is not a recommendation to buy, sell, hold or sell short any security (stock ETF or otherwise). We... READ MORE
SPY EXTENDS HIGH LEVEL STALL... Link for todays video. The Fed came and went, but stocks did not react much. There was a little volatility around announcement time, but stocks settled back into their narrow ranges of the last three days. In its policy statement, the Fed noted that economic... READ MORE
On Balance Volume (OBV) is a simple indicator that measures buying and selling pressure. Volume is added on up days and subtracted on down days. Even though the Dow Transports is holding above its June low, OBV sank to new lows and shows selling pressure. Click this image for a... READ MORE
Stocks continued to edge lower on Tuesday with small-caps and mid-caps leading the way. The Russell 2000 ETF lost .70% and the S&P MidCap 400 SPDR declined just over 1%. Eight of the nine sectors were down with the Technology SPDR bucking the trend. However, XLK gained just... READ MORE
The Russell 2000 ETF (IWM) and the S&P 500 ETF (SPY) parted ways over the last few weeks. IWM peaked in early July and zigzagged lower. SPY, in contrast, zigzagged higher with a move above the mid July high. This divergence means small-caps are showing relative weakness. Click... READ MORE
Stocks edged lower on Monday in listless trading. The Russell 2000 ETF (IWM) led the way down with a .64% loss, while the Nasdaq 100 ETF (QQQ) held most of its ground with a fractional .11% loss. Sector action was mixed with technology, energy, consumer staples and utilities slightly higher.... READ MORE
DHI Stalls above Resistance Break. KGC Breaks Wedge Resistance. MCHP Breaks Triangle Resistance. Plus ANF, CVS, DDR, UTX, XL This commentary and charts-of-interest are designed to stimulate thinking. This analysis is not a recommendation to buy, sell, hold or sell short any security (stock ETF or otherwise). We all need... READ MORE
Stocks were weak on Monday with the Technology Sector (XLK) leading the market down. The average loss for a technology stock was .70 percent. Citrix (CTXS) was the big loser with a decline of 6.09%. The Consumer Discretionary SPDR (XLY) was also showing weakness. Click this image for a... READ MORE
SPY EXTENDS UPTREND AND ESTABLISHES KEY SUPPORT... Link for todays video. It is likely to be a big event-driven week for the market. In addition to over a dozen economic reports, the Fed makes its policy statement on Tuesday and the European Central Bank (ECB) meets on Thursday. The week... READ MORE
There was one downgrade, but the indicator summary remains net positive. Net New Highs were downgraded to neutral because Nasdaq Net New Highs are showing weakness as the cumulative line moved below its 10-day EMA. NYSE breadth remains strong overall as the AD Line trades near a 52-week high and... READ MORE
Mario Draghi said the magic words and stocks answered with a powerful surge higher. The rally started on Thursday and extended on Friday. The Russell 2000 ETF (IWM) and Nasdaq 100 ETF (QQQ) led the charge with 2+ percent gains. All sectors were higher the Technology SPDR (XLK), Industrials SPDR... READ MORE
As many of you know, American composer extraordinaire Richard Rodgers collaborated with Oscar Hammerstein to produce some of the greatest musicals of the 20th century. Discussing their success, he once explained his thoughts on what it takes to be a superb songwriter. In his marvelous quote, I took the liberty... READ MORE
A LONGER TERM VIEW OF THE EURO... Since the Euro is the best barometer of problems in the eurozone, an analysis of the European currency is crucial to any analysis of markets in that region, and global stocks in general. That being the case, a chart analysis of the Euro... READ MORE
I am taking Friday off. Art's Charts will return on Monday with the Indicator Summary and normal commentary. Have a great weekend!... READ MORE
EURO GAPS HIGHER... A pledge from the ECB president to boost the Euro has caused a strong bid in that currency and European stocks. Chart 1 shows the Europe 350 iShares (IEV) gapping nearly 4% today on the news. That strong bounce has reversed the short-term damage done earlier in... READ MORE
With a big surge above 1350 today, the S&P 500 reversed its falling O-Column and started a rising X-Column on the P&F chart. This reversal creates support from the prior two O-Columns and the rising Bullish Support Line (blue). A move below 1320 would break these... READ MORE
Stocks were mixed on Wednesday. The Nasdaq 100 ETF (QQQ) and S&P 100 ETF (OEF) moving lower, but the Russell 2000 ETF (IWM) and S&P MidCap 400 SPDR (MDY) edging higher. The sectors were also moved with the Consumer Discretionary SPDR (XLY) and Technology SPDR (XLK)... READ MORE
AMZN Tests Triangle ahead of Earnings. CTXS Gaps Down. JWN Hits Key Retracement. Plus BBBY, DRI, IDCC, NUE, SKUL This commentary and charts-of-interest are designed to stimulate thinking. This analysis is not a recommendation to buy, sell, hold or sell short any security (stock ETF or otherwise). We all need... READ MORE
This blog entry has been updated to reflect new information. The Hindenburg omen almost triggered on July 23rd. First, notice that new highs and news lows as a percentage of total issues surged above 2.8%. Second, notice that new highs were less twice the number of new lows. The... READ MORE
SMALL-CAPS AND MID-CAPS SHOW RELATIVE WEAKNESS... Link for todays video. Chart 1 shows the performance for five major index ETFs since June 4th, which is when stocks started a seven week advance. By starting at this level, we can see which ETFs are holding most of their gains and which... READ MORE
Stocks were under selling pressure again on Tuesday with the Russell 2000 ETF (IWM) and S&P MidCap 400 SPDR (MDY) leading the way lower. Small and mid-caps are less diversified than large-caps and they have less overseas exposure. In other words, they are more domestically oriented. Relative weakness... READ MORE
The image below comes from the predefined scans page. New highs were outpacking new lows earlier this month, but the tide is shifting as new lows expand on the NYSE and Nasdaq. Click this image for a live version.... READ MORE
VANGUARD ALL-WORLD EX-US INDEX BREAKS SUPPORT... As has been the case since the spring, foreign shares are leading the U.S. stock market lower. More importantly, they've already broken below some short-term chart support. The Vanguard FTSE All-World Index (VEU) includes foreign developed and emerging markets. Chart 1... READ MORE
The major index ETFs were hit with strong selling pressure on the open, but managed to bounce after gapping down. Nevertheless, the major index ETFs finished with losses and the gaps held. Small-caps led the way lower as the Russell 2000 ETF (IWM) lost 1.60%. All nine sectors were... READ MORE
CCE Advances on Good Volume. FDX Reverses at Key Retracement. JPM Forms Falling Flag. Plus ECA, FCX, NVDA, WU This commentary and charts-of-interest are designed to stimulate thinking. This analysis is not a recommendation to buy, sell, hold or sell short any security (stock ETF or otherwise). We all need... READ MORE
With the market shifting to risk-off mode the last few days, the Yen ETF (FXY) broke above trend line resistance. The Yen has been moving higher since early July and the Nikkei 225 ($NIKK) has been moving lower. In fact, notice that this seesaw relationship has been quite strong in... READ MORE
DOW BACKS OFF 13000 FOR THE SECOND TIME... Link for todays video. Stocks were down on Monday as European issues weighed on the market. Chart 1 shows the Dow Industrials hitting resistance just below 13000 for the second time this month. Resistance here is proving formidable and chartists should watch... READ MORE
Stocks moved sharply lower on Friday with the Russell 2000 ETF (IWM) and the Nasdaq 100 ETF (QQQ) leading the major index ETFs down. Seven of the nine sectors were lower with the Finance SPDR (XLF) leading this group. The Energy SPDR (XLE) and the Utilities SPDR (XLU) managed to... READ MORE
Hello Fellow ChartWatchers! At StockCharts.com, we go to great lengths to make sure that our indicator values are calculated correctly as discussed in that article. Here's a repeat article from 2010 that talks about how we work hard to make sure that the data used in those... READ MORE
I know many traders view the MACD to be a lagging indicator and technically it is. After all, the calculation of the MACD uses historical price data so how could it not be a lagging indicator? Well, I can only tell you that I use the MACD for advanced calls... READ MORE
The current market environment is rather difficult to be sure; but the moving of the chess pieces underneath the market surface is what interests us at present. We are focused upon the Energy Sector (XLE) in general, and the Oil Services Group (OSX) in particular. To this end, we find... READ MORE
Last week the Rydex Ratio was displaying very bullish sentiment, and that is still the case. In rather stark contrast AAII Investor Sentiment* (American Association of Individual Investors) reflects very bearish sentiment this week, with 22% bulls and 42% bears. The ratio of bears to bulls is 0.53. These... READ MORE
Currency trends often us something about the mood of global traders, and which way they're starting to lean. In the ongoing battle between "risk-on" and "risk-off" trades, one of the markets worth keeping an eye on is the Australian Dollar. For a number of... READ MORE
The first chart shows the S&P Sector PerfChart for the one month time frame (22 trading days) and the second chart shows the three month timeframe (64 trading days). Note that these PerfCharts show relative performance, which is the amount the SPDR is outperforming or underperforming the S&... READ MORE
A week doesn’t go by without some investor asking me “which one single indicator do you recommend above all others?” When I answer this question, the indicator I speak of is never the one they expect. The most important indicator – the one that will determine the majority of your... READ MORE