I have been preaching Wall Street manipulation for years. And Wall Street took manipulation to a completely new level in 2022, accumulating shares of panicked retail traders after the distribution period from January through May 2022 ended. Sure, we had two more price lows - one the very next month in... READ MORE
Monthly options expiration creates a whole new set of headaches for retail traders. As if trading wasn't already hard enough, throw in the short-term financial incentive for market makers to "manipulate" prices and cash in big time at options expiration, and you have a recipe... READ MORE
Stocks went on a tear from late December to early February with the SPDR S&P 500 ETF (SPY) advancing some 11% from low to high. SPY then pulled back last week with a 2.5% decline from the February 2 high to the 10-February 10 low. A... READ MORE
After a dicey week, are the clouds descending again? In this episode of StockCharts TV'sThe MEM Edge, Mary Ellen covers some critical areas of support and resistance in the broader markets, before moving on to where the strength took shape and what drove the weakness this week. This... READ MORE
On this week's edition of StockCharts TV'sStockCharts in Focus, Grayson shows you how to build what he calls the "Ultimate Relative Strength" chart template, inspired by the multi-level Sector Summary structure that we covered last week. You'll learn how to take... READ MORE
I talk about it almost every week in Sector Spotlight, but I just realized that I have not written about it for quite a while. The investment decision that has the most significant impact on your results... Asset Allocation. Many, especially retail investors, are so focused on the stock market... READ MORE
This is not meant to be political. As we have written many times, politics and investing should not be in the same sentence. With that said, during this past week's State of the Union Address, we were keenly listening for comments on our macro themes (as reported in... READ MORE
I've recognized the strength displayed by the S&P 500 and Nasdaq Composite off the October lows. I've written about the New Dow Theory buy signaland the improvement in breadth indicators like thepercent of stocks above moving averages.So, while I am not as all-... READ MORE
In this week's edition of Moxie Indicator Minutes, TG explains how we could see the pullback building this week, with breadth weakening and many stocks being in extended positions that made getting long a risky proposition. This is good though, and was needed. Now, we need to see... READ MORE
BOND YIELDS ARE CLIMBING... Last week's message showed the 10-Year Treasury yield bouncing off its 200-day moving average suggesting that a rebound in yields might be starting. Chart 1 shows the TNX climbing above its 50-day moving average and a falling trendline extending back to... READ MORE
In this week's edition of the GoNoGo Charts show, Alex and Tyler explain the process and tools that investors can use to narrow their universe of securities to those in the highest performing sector, industry group, and even to individual names. Starting from the macro picture, GoNoGo Charts... READ MORE
On this week's edition of Stock Talk with Joe Rabil, Joe shows how he uses RSI for Swing Trading. He uses 2 different settings on this indicator and 1 is used to determine the trend and the other for ob/os. He also discusses the key levels to... READ MORE
Disney reported Q1 FY23 earnings on Wednesday, February 8, 2023, after the close. The company beat earnings per share and revenue estimates, and total Disney+ subscriptions were higher than expected. Successive peaks and dips in rapid order may be thrilling for most roller coaster enthusiasts, but, on Wall Street, not... READ MORE
This week, we have featured the 23-month moving average, or two-year business cycle, and its significance to the indices. In particular, when speaking about the S&P 500 index, we wrote: * There was a bullish run in 2021 based on easy money. * Inflation ran hotter than most... READ MORE
If you want to be a trader, you only need to do two things: seek out trends and figure out how to get aboard them-nothing more, nothing less. You cannot "confuse the issue with facts" by interjecting logic or reasoning. A market might be a bubble, but... READ MORE
Some of you might have already heard us speak about the monthly moving averages or have read our commentary about their significance. On Monday, we asked, "What if the trading range top at 4200 we have been calling for in the S&P 500 turns out to be.... READ MORE
Shutterstock (SSTK), the American creative content solutions firm, has been riding a doozy of a downtrend from October 2021 to the end of 2022. Aside from the bear mauling, SSTK's fundamentals weren't entirely disappointing. There were two positive (yet dwindling) earnings and revenue "beats,"... READ MORE
Every business cycle has an inflationary and deflationary part to it. And if you know the prevailing phase, it can be enormously helpful. For example, when inflation is dominating, it's usually a favorable environment for commodities and commodity defensive sectors, such as mining and energy. At such times,... READ MORE
In this episode of StockCharts TV's Sector Spotlight, for this first week of February, I cover both the seasonality and the monthly charts. We have an interesting alignment of seasonal expectation and current sector rotation floating to the surface, offering a nice potential pair trading opportunity. This video... READ MORE
SNAP's got a new game plan up its sleeve and, depending on how well it fits, it may make or break the stock. After flat or disappointing earnings reports for most of 2022, mainly due to weak social media ad revenues, SNAP stock has suffered. The stock'... READ MORE
What if the trading range top at 4200 we have been calling for in the S&P 500 turns out to be... the top? Certainly, we can make a case for it given higher yields, strong dollar, geopolitical stress, debt issues, government spending, and no real proof we have... READ MORE
On this week's edition of The DecisionPoint Trading Room, Carl looks at the Big 10 capitalized stocks and determines whether a bull market right now will have legs. Do we use common sense or technicals regarding a new bull market? Carl and Erin discuss. Both of them deep... READ MORE
I'm a follower and believer of history when it comes to the stock market. After years of research, I understand that some aspects of U.S. equity performance are rather transparent and resulting technical signals generally can be relied upon. There were plenty of warning signals to open... READ MORE
Are the major stock indexes under Accumulation? If so, we Wyckoffians would expect an important Markup (uptrend) to follow. Accumulation is the process of large interests (known as Composite Operators) stealthily Absorbing shares of stocks they expect to appreciate during the subsequent Markup Phase. Accumulation can take an indeterminant period... READ MORE
As the week came to an end, the equity markets left behind a very eventful week. Two important events were expected to infuse volatility into the markets. The first was the Union Budget, one of the most major external domestic events that the markets react to. The other was the... READ MORE
The Nasdaq just booked its fifth consecutive weekly gain, which is the longest winning streak in over a year. The rally occurred amid strong earnings reports from some major tech companies. Also driving the Nasdaq higher is bottom-fishing among investors looking for quality software and retail stocks that were... READ MORE
While the technical analysis toolkit has certainly evolved over time, having benefitted from advances in computing and data analysis, in many ways, the tools of the modern technical analyst are not far from the original work of Charles Dow in the early 20th century. But an updated version of his... READ MORE
If you are having a hard time figuring out the market's next moves, start by thinking about trading range. The 2023 Outlook spells out reasons for a 1000-point trading range potential in the SPY from 3200-4200. We are adding that the NASDAQ 100, through QQQ, can... READ MORE
In this episode of StockCharts TV'sThe MEM Edge, the markets closed above key resistance in the S&P 500, which Mary Ellen reviews along with its impact. She also highlights rotation taking shape and what's driving the moves. This video was originally broadcast on February... READ MORE
We have begun collecting Silver Cross Index and Golden Cross Index data for four new industry groups, and StockCharts.com back-calculated data for two years: Biotechnology (IBB), Regional Banking (KRE), Retail (XRT), and Semiconductors (SMH). First let's cover what the Golden/Silver Cross Indexes are: * The Golden... READ MORE
On this week's edition of StockCharts TV'sStockCharts in Focus, Grayson shows how to combine the Sector Summary tool with SCTRs (StockCharts Technical Rank) to find the market's strongest stocks in just four clicks. By drilling into the strongest sectors and then the strongest industry... READ MORE
SMALL CAP LEADERSHIP... The last couple of messages have shown improvement in market breadth. That improvement was reflected in rising advance-declines lines and percent of stocks over moving average lines. Here's another example of improving breadth in the form of small cap leadership. The daily bars in... READ MORE
Whether its a short squeeze or more buying, the market went up a few minutes after Jerome Powell started speaking today. Yes, there might be really negative economic data coming sometime in the future. But we don't know how much of that the market has already priced in,... READ MORE
Three big bellwether stocks announced earnings on the same day, after the close, and they all missed estimates. Does this mean the Technology sector or the broader market will head lower? Not necessarily. From a technical perspective, ahead of earnings, the charts of Alphabet (GOOGL), Amazon (AMZN), and Apple (AAPL)... READ MORE
Today is Friday; however, when the market drew to a close on Thursday, it left both major events behind itself while it also navigated the weekly options expiry. The market is having an immensely volatile week; with the last trading day of the week yet to unfold, the weekly bar... READ MORE
In this week's edition of the GoNoGo Charts show, Alex and Tyler take a macro top-down approach to understanding what technical analysis is telling us about market moves. Starting with an Asset Map and moving through treasury rates, gold, the dollar, and the S&P 500,... READ MORE
I have been negative on the market for some time. I believe that it's a wiser policy to wait for the long-term indicators to turn bullish, rather than trying to capture every twist and turn of those bear market rallies, pregnant as they are, with false breakouts... READ MORE
On this week's edition of Stock Talk with Joe Rabil, Joe shows off a different pattern that was not included in his book. Using MACD and Price/MA together, we can identify a potential turning point. This pattern is a different form of momentum divergence and just took... READ MORE
In the second half of 2022, the price chart for XLY started to form a falling wedge pattern. This pattern or formation is characterized by two converging trendlines, BOTH moving lower. The falling wedge variant comes in two variations. It can be either a continuation within an established uptrend or... READ MORE
By the time you read this, the buzz of what the Fed did and Powell's presser will be over... at least for the day. We will not repeat the obvious. What we are way more focused on is the underlying reasons that the Fed, unless they are willing... READ MORE