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ChartWatchers

Monthly PMO SELL Signals Vulnerable?

by Erin Heim

The DecisionPoint Scoreboards stopped changing on July 8th as the final BUY signal was added to the Nasdaq 100's Scoreboard. The question is how much longer before the other four SELL signals are erased? The Long-Term  Read More

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DecisionPoint Alert

A Market Pause? More Like a Campout - Gold's Monthly and Weekly Charts Suggest Strong Resistance Nearing - New LT PMO BUY Signal on Oil?!

by Erin Heim

Today's DP Alert will include a review of all of the monthly charts for not only the SPY but for the Dollar, Gold, Oil and Bonds. You'll find a live analysis of these charts and others in today's DecisionPoint Report webinar.  The SPY penetrated the all-time highs resistance line, but didn't close at that high. The trading channel has...  Read More

Wyckoff Power Charting

Beach Reads

by Bruce Fraser

During the long hot summer, it is a wise idea for Wyckoffians to go to the beach (or the pool) and relax, recharge, and do some light reading. My favorite summer reads are.... Charts!! What could possibly be more relaxing and enjoyable. So get your tablet (or laptop), find a beach towel and start reading. I am off to the beach to take some of my own medicine. So here are some charts that I am  Read More

The Traders Journal

Flopping in Sports Can Make One Millions / Flopping in Investing Can Cost You Millions

by Gatis Roze

As an investor, there is only one day a year that you are unable to do anything about the stock market's behavior, and that is yesterday.  Any other day, your action or inaction will determine your bottom line.  As a trader, the two things I must do each day is focus on doing and focus on being. Flopping has no place in the investment arena, but you see it as often...  Read More

Commodities Countdown

$NATGAS Blows Out - Webinar Skim 2016-07-29

by Greg Schnell

Natural Gas ($NATGAS) surged on Thursday on the back of the inventory data. It was a huge thrust. After breaking through the 4-week downtrend, Natural Gas looks strong here.  Checking in on the daily chart, the price closed up 8% yesterday. Natural Gas appears to be entering a new bull market based on the RSI on the weekly in Chart 1. This new thrust should be the initiation of a new...  Read More

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Market Message

DOLLAR DROPS ON WEAK GDP REPORT -- YEN SURGES ON BOJ DISAPPOINTMENT

by John Murphy

DOLLAR DROPS AS YEN SURGES... A combination of factors are pushing the U.S. Dollar sharply lower. One is today's report of GDP growing only 1.2% in the second quarter. That pushed Treasury yields lower and bond prices higher and weakened the dollar. Chart 1 shows the PowerShares Dollar Index ETF (UUP) gapping lower today and putting it well below its 200-day moving...  Read More

Don't Ignore This Chart!

Caterpillar (CAT) Makes New 52 Week Highs

by Greg Schnell

It has been a long time since we talked about Caterpillar (CAT) making new highs. The equipment machinery maker has been under duress since the oil market top in 2014. The Caterpillar (CAT) top was within weeks of the oil high and like so many industries that rolled over on the back of the breakdown in oil, Caterpillar tracks roll with the price of oil. I have placed a...  Read More

Trading Places with Tom Bowley

Q2 GDP Is Out And Falls Waaaay Short

by Tom Bowley

Market Recap for Thursday, July 28, 2016 The action on Thursday was different than what we've seen recently as investor focus seemed to turn to safety ahead of the GDP report and after the FOMC announcement on Wednesday.  Consumer staples (XLP, +0.44%) and utilities (XLU, +0.39%) led the six advancing sectors while basic materials (XLB, -0.14%) was the worst  Read More

Thu, Jul 28

DecisionPoint

Topping or Pausing?

by Erin Heim

One look at the DecisionPoint Scoreboards and a review of the DP Market/Sector Summary and you'll see the plethora of BUY signals and green paint. Yet the market is traveling sideways and has been for 12 days. Should we expect an upside break or...  Read More

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Martin Pring's Market Roundup

Better Days Lie Ahead

by Martin Pring

More long-term US Equity indicators turning bullish The case for a spirited rally Testing the theory At my webinar last week I pointed out a couple of observations on the US equity market. First, that more and more indicators are signaling a bull market. Second, there are some characteristics that suggested that we could see a really spirited rally unfold. Now that many of the short-term...  Read More

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DecisionPoint Alert

More Continuation Within Small Trading Range

by Erin Heim

First, don't miss tomorrow's webinar! I'll be reviewing not only the weekly charts, but the monthly charts that will have gone final.  Looking at the bullish DP Scoreboards as well as the Market/Sector Summary posture tables' BUY signals across all sectors except commodities, all are characteristic of a long standing bull market. Yet...  Read More

Don't Ignore This Chart!

This Inverse Head & Shoulders Pattern Is Breaking Out On Earnings

by Tom Bowley

Chart Industries (GTLS) was mired in a downtrend for two years, shedding 90% of its market value, but things have changed and the upward momentum is quickly building for this equipment maker for the energy sector.  They blew top and bottom line estimates out of the water and shareholders are finally being rewarded.  Take a look at today's candle: This inverse head & shoulders...  Read More

Commodities Countdown

Lithium - Mixed Bag or A Super Industry?

by Greg Schnell

In January, we created a chartlist of Lithium companies. This industry appears to be at the forefront of the electric car for battery storage technology. It has been a strong uptrend for the companies involved in the space. Be careful with the percentage gains, as many are penny stocks. However, in the last month, the picture is not as clear. If we sort by price, it makes it more interesting...  Read More

Trading Places with Tom Bowley

Facebook Delivers On Earnings But Futures Sour

by Tom Bowley

Market Recap for Wednesday, July 27, 2016 Crude oil ($WTIC) continues to remain under pressure with its fifth consecutive drop on Wednesday.  Crude oil has now fallen nearly 20% since topping at $51.53 per barrel on June 8th.  From a technical perspective, it shouldn't really be all that surprising.  A potential bottoming reverse head & shoulders pattern...  Read More

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Art's Charts

A Flag Break for IWM - Looking at August Seasonal Patterns - Adding Parabolic SAR to Gold and Bond Signals

by Arthur Hill

Waning Momentum is Not Always Negative     //     Selling Pressure Remains Muted     //     IWM Breaks Out of Flag     //     Here Comes August     //     Positive Correlation between Bonds and Gold     //     Adding Parabolic SAR to IEF Signal     //     Gold Follows Through  Read More

Wed, Jul 27

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DecisionPoint Alert

Trading Channel Continues

by Erin Heim

The trading channel with a less than 1% width is still intact after over 10 trading days. There appears to be a concerted effort to keep prices above all-time highs as the NDX works to catch up. This may be the substitute for a short-term decline that will prepare indicators and price for a new leg up. However, I'm not so certain. Check out my  Read More

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Market Message

NASDAQ GETS BOOST FROM APPLE AND BIOTECHS -- APPLE SURGES 7% HIGHER ON STRONG VOLUME

by John Murphy

POWERSHARES QQQ NEARS OLD HIGH... Chart 1 shows the PowerShares QQQ climbing again today and in the process of testing its early December high at 114.75. The QQQ achieved a bullish breakout earlier this month and has shown market leadership since then. That can be seen by the rising QQQ/S&P 500 relative strength ratio (top of chart). The ratio has broken a  Read More

The Canadian Technician

A New Look At Using The SCTR - Webinar Skim 2016-07-26

by Greg Schnell

The market continues to churn higher, continuously pushing away from breakout levels above September 2015 around 14000. The $TSX opened to new 2016 highs this morning even as oil has pulled back over the last two months. On the webinar, I walked through all of the Canadian sectors. They are all up through the month of July off the June 24th lows. Because the trend was up on the...  Read More

Don't Ignore This Chart!

Counting the Gaps for Clues on Earnings Season

by Arthur Hill

There were dozens of gaps today with most coming to the upside. Down gaps in Akamai (AKAM) and Lumber Liquidators (LL) were countered with up gaps in Apple (AAPL) and Buffalo Wild Wings (BWLD). At midday on Wednesday, the Predefined Scan results showed 22 up gaps on the NYSE-Nasdaq, and 15 down gaps on the NYSE-Nasdaq. The net is +7 for the up gaps. Chartists looking for clues on how the market...  Read More

Trading Places with Tom Bowley

Industrials Led By A Breakout In This Industry Group

by Tom Bowley

Market Recap for Tuesday, July 26, 2016 Commercial vehicles & trucks ($DJUSHR) surged 3.34% on Tuesday, leading a rally in industrials (XLI, +0.83%) that once again sustained the advance in the benchmark S&P 500 despite weakness during the first couple hours of the trading session.  The 10 year treasury yield ($TNX) began strengthening in the morning session,  Read More

Tue, Jul 26

DecisionPoint

Nasdaq 100 Catching Up to All-Time Highs - What Could This Mean for Market?

by Erin Heim

The Nasdaq 100 has been running toward its all-time highs while the S&P 500 already surpassed its all-time high a few weeks ago. The SPX has been consolidating sideways and rounding ever since the breakout; whereas, the NDX continued to stretch upward. It's visible more clearly when comparing the thumbnails of the NDX and SPX. I suspect that the NDX will reach its all-time...  Read More

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DecisionPoint Alert

More of the Same Ahead of FOMC Meeting

by Erin Heim

As is typical, today was a less than volatile day with not too much price movement as everyone considers the upcoming Federal Open Market Committee's decision regarding the economy and possible rate changes. At this point, word is that everything is already 'baked in' as there are not expectations of a rate hike. The FOMC could be the catalyst we have been waiting for in regard to the market...  Read More

Trading Places with Tom Bowley

Here Are Key Support And Resistance Prior To AAPL's Earnings

by Tom Bowley

Market Recap for Monday, July 25, 2016 It was a quiet session for most areas of the market.  Consumer discretionary (XLY, +0.16%) was the only sector to finish in positive territory, but most of the other sectors lost fractional amounts and it did little to change their technical pictures or outlooks.  Energy (XLE, -1.99%), however, tumbled as crude oil prices ($WTIC)...  Read More

Dancing with the Trend

WHY Are So Many Esoteric Things Attached to Technical Analysis?

by Greg Morris

I am not sure why there are so many vague and totally subjective analysis techniques that have become part of technical analysis.  Probably because the main stream Wall Street and their marketing department, academic finance, does not follow technical analysis like they do the accepted rubbish from the ivory towers.  Early in this WHY series I tried to be convincing that technical...  Read More

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Art's Charts

Major Index ETFs Hold Gains - Energy Sector Hits Make-of-Break Level - Oil Resumes Big Downtrend - Webinar Video

by Arthur Hill

SPY Stalls and Gains Hold     //    Marking First Support for QQQ     //     IWM Forms High and Tight Flag     //     Energy Sector Nears Make-or-break Level     //     XES Breaks Channel Trend Line    //     Oil Resumes Long-term Downtrend     //     Webinar Preview  ...  Read More

Mon, Jul 25

Don't Ignore This Chart!

T-Mobile (TMUS) Hangs On To New Highs

by Greg Schnell

T-Mobile (TMUS) is never short of attention-getting advertising. In the stock world, nothing garners more attention than new 52 week highs. Last week T-Mobile moved to new highs but never really had a breakout size bar. It pushed above the new highs and then just inched higher each day. Today it pulled back all day but still made a higher high earlier on. If it pulled back to...  Read More

The Canadian Technician

The Agricultural Crops Look Fantastic This Year

by Greg Schnell

This is the fifth article in a series about a 1700 Kilometre (over 1000 miles) road trip that I did two weeks ago. You can follow these links to the first four articles.  Canadian Transportation Companies Start My Tour  Read More

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DecisionPoint Alert

Market Continues to Look Toppy - Gold Holds Support

by Erin Heim

The market continues to travel sideways, consolidating. However, the price pattern appears rounded which could be bearish for the shorter term. Nothing really new from the previous consolidation of the previous week. Scoreboards are reading bullish with no changes. The purpose of the DecisionPoint Alert Daily Update is to quickly review the day's action, internal condition,  Read More

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Art's Charts

TradingStrategy - Difference between SMA and EMA - Using Stocks Above 200-day EMA to Measure Trend Participation

by Arthur Hill

Introduction - Measuring Trend Participation      //     200-day EMA versus 200-day SMA     //     Backtesting the Moving Averages     //     Percent above 200-day Breadth Indicator     //     Smoothing and Reducing Whipsaws     //     Capturing Broad Market Participation    //...  Read More

Don't Ignore This Chart!

Tesla Gets a Relative Strength Surge ahead of Earnings

by Arthur Hill

Tesla (TSLA) caught my eye on Monday because its StockCharts Technical Rank (SCTR) surged over 20 points. The image below shows the SCTR tables for large-cap stocks and ETFs. Notice that I clicked the Top Up tabs to view those with the biggest SCTR gains. Micron (MU) is the top gainer and Tesla is second in early trading on Monday. You can find these tables mid-way down on our homepage.  Read More

TechniTrader

Martha Stokes: Market Participant Groups Cycle

by Martha Stokes

Understanding the Dynamics of the Automated Multi-Venue Stock Market Since a lot of you are very serious about trading, I am going to talk frankly here as I would to my students. I believe this will help you do better in your trading. Of course some of you won't like it much, but my reason for spending my retirement teaching is to have traders succeed.  Technical Traders...  Read More

Trading Places with Tom Bowley

Look Out, Earnings Season Is In Full Swing

by Tom Bowley

Market Recap for Friday, July 22, 2016 Utilities (XLU, +1.33%) surged on Friday to lead all nine sectors higher.  All of our major indices also finished higher with most of the gains generated in the afternoon session as traders went home happy for the weekend.  Many of the same warning signs remain, but the bullish price action must be respected.  Financials  Read More

Sun, Jul 24

RRG Charts

Real Estate shines, Stocks are still good, US stocks are even better.

by Julius de Kempenaer

The Relative Rotation Graph below shows the rotation for various asset classes (through ETFs) against the Vanguard Balanced Index fund (VBINX) on a weekly basis. The picture is pretty conclusive for some asset classes but less so for others. Zooming in on the daily time-frame, usually, helps to add a bit more info and color to the weekly reading of the RRG. The RRG of international stock...  Read More

DecisionPoint

Bull Market: How Old Is It?

by Carl Swenlin

The stock market (SPY) has: (1) advanced over +20% from its February low, (2) after breakout, advanced +4% above the top its one-year continuation pattern (consolidation), and (3) generated a DecisionPoint IT Trend Model BUY signal on March 7, 2016. By my reckoning, the bull market is at least five months old, although, that could not be confirmed until the recent breakout. Note that...  Read More

Don't Ignore This Chart!

Here Are The Two Best Performing Industry Groups In August

by Tom Bowley

The summer months can be very difficult for U.S. equities, as history has proven over time.  But there's always a bull market somewhere and the consumer electronics space seems to find a sweet spot in August.  There are only two industry groups that average more than 5% monthly gains during August.  One is the Dow Jones U.S. Consumer Electronics Index (+7.5% over the past...  Read More

Commodities Countdown

Sitting In A European Bank Waiting Room - Webinar Skim 2016-07-21

by Greg Schnell

It's been a month since the Brexit storm rolled through the world's charts. Amazingly, it turned out to be one of the best times to put money to work. One of the blogs I wrote shortly after the Brexit event covered off the global banking charts. When Should  Read More

Sat, Jul 23

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Market Message

TECHNOLOGY SHOWS NEW MARKET LEADERSHIP -- EBAY, MICROSOFT, AND QUALCOMM GAP HIGHER

by John Murphy

TECHNOLOGY SPDR SHOWS NEW LEADERSHIP... Stocks had another good week with the Dow and S&P 500 ending Friday at new records. One of the other positive developments was new upside leadership by technology which was the week's strongest sector. Chart 1 shows the Technology Sector SPDR (XLK) hitting a new record high at midweek. That strong price performance was matched...  Read More

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Art's Charts

SystemTrader - Testing and Improving the 5-day RSI Mean Reversion System with the Sector SPDRs

by Arthur Hill

SystemTrader     //     System Rules and Conditions     //     Why 5-day RSI?     //   Testing with S&P 500 Trend Condition     //    Surviving Some Bad Signals    //   Sensitivity Testing   //    Reducing the MDD with Another Trend Condition     //    Testing Each  Read More

Fri, Jul 22

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DecisionPoint Alert

Consolidation Helps Overbought Indicators Unwind

by Erin Heim

The market was up today but did not reach or close on all-time highs, just more consolidation and some topping action. Short-Term indicators are looking good, but intermediate-term there could be some problems. The DP Scoreboards show no change. The purpose of the DecisionPoint Alert Daily Update is to quickly review the day's action, internal condition, and Trend Model status of  Read More

Wyckoff Power Charting

Point and Figure Pie in the Sky?

by Bruce Fraser

During the bear market that ended in 2009, the broad market indexes traced out a large base. Using the horizontal Point and Figure counting methodology, a Wyckoffian could generate a very large price objective. The countline was at the 8,100 level on the Dow Jones Industrial Average, with a low of 6,500. Once the Accumulation zone was completed the price projection was a range of 17,600 to...  Read More