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The Canadian Technician

Energy Stocks Continue To Be Added To Canada's Top Performers

by Greg Schnell

The momentum continues to surge towards the energy sector and now the oil services sector. If you have not seen the change in momentum, I'll be hosting a Commodities Countdown webinar 2016-04-28 and you can click on this link to register. Here are a few more stocks adding to the momentum. ARC Resources...Read More

Don't Ignore This Chart!

Jacob's Engineering Hits That Line In The Screen - JEC

by Greg Schnell

The story that stocks stop at resistance couldn't be demonstrated more clearly than reviewing this Jacob's Engineering (JEC) chart. This stock has stopped 9 times rallying to $45.00 and broke through it once in April 2015 only to gap down below it and get stuck under $45 for a year!  Today we are testing it again. With the steadily improving trend on the SCTR, this looks...  Read More

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Art's Charts

Generals Diverge from Troops - XLI Leads - XSD Breaks Out - Dollar, Yen, Gold & Oil

by Arthur Hill

Generals Not Following the Troops    //    Unfilled Gaps Haunt QQQ   //    SPY Set to Test Gap Zone    //    IWM is the Current Leader    //    XLI Leads with New High    //    Three Strong Groups within Technology...  Read More

Trading Places with Tom Bowley

Energy And Utilities Lead Market After FedSpeak

by Tom Bowley

Market Recap for Wednesday, April 27, 2016 Well another FOMC meeting has come and gone.  Not much has changed really.  The Fed still seems adamant about raising rates, but they're not sure as to the timing.  The next meeting in June is a real possibility, but they're non-committal.  The reaction to the meeting was interesting.  Money rotated mostly  Read More

Wed, Apr 27

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DecisionPoint Alert

Pullback Reprieve - Oil Breaks Out

by Erin Heim

No new signal changes on the DecisionPoint Scoreboards. Not a surprise as most of the indexes are recapturing some of last week's losses. If the rally continues, we will likely see the ST PMO signals switch once again as momentum moves more positive and triggers crossovers. I'll discuss Oil in its section below. The purpose of the DecisionPoint Alert Daily Update is to quickly review  Read More

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Martin Pring's Market Roundup

Bearish Dollar Index Signal Has Major Implications For All Kinds Of Markets And Relationships

by Martin Pring

Changes in key relationships Implications for specific stock sectors of a declining dollar The US versus the world At this week's Market Roundup webinar, I suggested that we had reached an inflexion point for many markets as well as several Intermarket and inter-asset relationships. That inflexion point centered on a change in the primary trend of the US Dollar Index. You could argue that it's...  Read More

Dancing with the Trend

Candlestick Analysis - Filtering

by Greg Morris

Candle pattern filtering offers a method of trading with candlesticks that is complemented by other popular technical tools for analysis.  Filtering is a concept that has been used in many other forms of technical analysis and is now a proven method with candle patterns. Since any one indicator on its own can have inherent flaws, the synergy created by combining different methods of price...  Read More

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Market Message

VALUE ISHARES CONTINUE TO OUTPACE GROWTH ISHARES WHICH ARE BEING PULLED DOWN BY TECHNOLOGY SELLING -- BUT FINANCIALS, HEALTHCARE, ENERGY, AND INDUSTRIALS SECTORS ARE RISING

by John Murphy

ROTATION FROM GROWTH TO VALUE CONTINUES... Last Thursday I wrote about a rotation from "growth stocks" which rely on growing earnings into "value stocks" that are viewed as relatively cheap. That rotation is continuing. Chart 1 shows the S&P Value iShares (IVE) trading at a nine-month high after clearing its fourth quarter high. The IVE/SPX ratio...  Read More

Don't Ignore This Chart!

The Other QQQ is Still Holding Up

by Arthur Hill

The Nasdaq 100 ETF (QQQ) is one of the weakest of the major index ETFs right now because of several large-caps within the ETF. Note that Apple (-10%), Facebook (-6%), Google (-6.5%) and Microsoft (-8%) are all down sharply this month. Amazon (+2%) is the only one of the big five that is up.  The four losers account for around 35% of QQQ and AMZN accounts for 5.5%. Weakness in these four is...  Read More

Trading Places with Tom Bowley

Apple Crushed After Earnings, NASDAQ Futures Tank

by Tom Bowley

Market Recap for Tuesday, April 26, 2016 April has not been kind to technology stocks (XLK).  We've seen several key earnings disappointments from the group, including Microsoft (MSFT), Alphabet (GOOGL) and Apple (AAPL), and investors in those three are not happy.  We've seen bifurcated action throughout April where energy (XLE), materials (XLB) and financials...  Read More

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Art's Charts

Testing the Best Six Months Strategy and a Classic Moving Average Crossover System

by Arthur Hill

Dissecting the Best Six Months Pattern    //    Historical Numbers Confirm    //    Shorting the Market is a Challenge    //    What is the deal with October?    //    Reducing the Dreaded Drawdown    //     Testing the 50-200 Cross Since 1950    //    Final Thoughts  ...  Read More

Tue, Apr 26

DecisionPoint

Four Signs that a Bull Market is Upon Us

by Erin Heim

During last Friday's webinar, I attempted to answer the "$64 Million Dollar Question" (For old-timers like me who know it was the $64,000 Question, I chose to use poetic license because $64,000 sounds lame by today's standards!) that readers and viewers have inundated me with. I imagine you know the question, although the title clearly gives it away. "Is a new Bull  Read More

Commodities Countdown

The Electric Car Needs Lithium. Does Your Portfolio?

by Greg Schnell

Lithium is not a well-known industry group. However, with the attention towards electric cars and distributed power in neighborhoods, the market is currently fixated on energy storage. Elon Musk, President of Tesla, is also doing his best to drive it to center stage. With the all-out giddiness towards the Tesla, cars like the Volt, Leaf, and Prius seem relegated to the back of the theater...  Read More

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DecisionPoint Alert

Two New Bearish Signals - Dollar and Bonds Near Important Support

by Erin Heim

The pullback has affected the DecisionPoint Scoreboards quite a bit this week. Yesterday saw two new ST PMO SELL signals arrive on the Dow and SPX; today, we've added a ST PMO SELL signal on the OEX and a new ST Trend Model Neutral on the NDX. Remember, a "neutral" signal is generated in the short term when the 5-EMA crosses below the 20-EMA while the 20-EMA is above the 50-EMA. The  Read More

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Market Message

COMMODITIES ETF CHALLENGES 200-DAY AVERAGE WHICH MAY BE PULLING TREASURY BOND YIELDS HIGHER -- HIGHER YIELDS ARE HELPING FINANCIALS

by John Murphy

RISING COMMODITIES PULL BOND YIELDS HIGHER... The rally in commodity markets may be about to move into higher gear. Chart 1 shows the DB Commodities Tracking Index Fund (DBC) on the verge of moving above its 200-day average for the first time in two years. A weaker dollar is one of the reasons why. The commodity rally is continuing to support rallies in energy and...  Read More

Trading Places with Tom Bowley

Crude Oil Hasn't Done This In Nearly Two Years

by Tom Bowley

Market Recap for April 25, 2016 Energy (XLE) was very weak on Monday, losing 1.12% to finish 9th out of 9 sectors.  Technically, the sector is still very strong and has essentially "reset" its hourly MACD to centerline support.  A negative divergence on the hourly chart suggested the XLE could use a little time to gather itself before another attempt to push...  Read More

Don't Ignore This Chart!

Can This Chemical Company (FMC) Start To Accelerate With Lithium?

by Greg Schnell

FMC Corp is a large cap specialty chemicals manufacturer in the materials sector. With three business divisions now, the agricultural arena dominates their earnings but the Lithium business is starting to perk up. The FMC chart below rolled over in June 2014. After breaking below the 40 Week MA, the price dropped by more than 50%. After a rough couple of years, is there any hope that this...  Read More

Mon, Apr 25

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DecisionPoint Alert

Market Slowly Pulls Back - New ST PMO SELL Signals

by Erin Heim

As the market slowly pulls back from all-time highs and overhead resistance, it isn't surprising to see two new Short-Term PMO signal changes on the DecisionPoint Scoreboards. In addition to the SPY (which I'll cover later), the Dow and SPX both received ST PMO SELL signals. This occurred when the PMO crossed below its signal line. The charts are below the Scoreboards for your perusal.  ...  Read More

Don't Ignore This Chart!

Micro-caps Take the Lead

by Arthur Hill

The appetite for risk has increased over the past month with small-caps, mid-caps and micro-caps leading the market higher. The PerfChart below shows one-month performance for the S&P 500 SPDR (red) and seven other broad market index ETFs. The S&P MidCap SPDR (green), S&P SmallCap iShares (pink) and Russell 2000 iShares (teal) are outperforming SPY with bigger gains. The Nasdaq 100...  Read More

Trading Places with Tom Bowley

Stock Market Bulls: "Let's Have A Toast"

by Tom Bowley

Market Recap for Friday, April 22, 2016 The technology world (-1.74%) was rocked on Friday with disappointing earnings announcements from a host of NASDAQ names, particularly a couple large technology companies.  Microsoft (MSFT) stumbled badly, losing 7.17% after posting EPS that fell slightly below expectations.  Revenue guidance in the quarter ahead also fell short...  Read More

RRG Charts

Strong rotation for commodities, SPY and IEF (ratio) under threat

by Julius de Kempenaer

The Relative Rotation Graph below shows the rotational picture for a number of asset classes, based on ETFs, against the Vanguard Balanced index fund on a weekly basis. For some of these asset classes, the equivalent picture on a daily basis is confirming but for others it is contrarian. or maybe I should say, confusing. Summary Commodities confirming turnaround after long downtrend Short-term...  Read More

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Art's Charts

Small-caps, Junk and Risk Appetite - HACK Firms - 7 Cyber Security Stocks to Watch

by Arthur Hill

Small-caps, Junk Bonds and Risk Appetite    //    QQQ Forms Island Reversal    //    IWM Continues to Outperform    //    SPY Holds Breakout    //    HACK Consolidates after Big Surge    //    Seven Cyber Security Stocks to Watch     ////     Small-caps, Junk Bonds and Risk...  Read More

Sun, Apr 24

DecisionPoint

Homebuilders: Watch for Correction

by Carl Swenlin

The Homebuilders sector (XHB) has had an interesting six months, declining -25% from the December high, then rallying +27% from the February low. Now the internals are implying that a correction is about to start. First, the PMO has topped in very overbought territory, and it is about the cross down through its signal line. In fact, the downside crossover will probably take place on Monday...  Read More

Don't Ignore This Chart!

Helix Energy Breaks Out, SCTR Surges Above 90

by Tom Bowley

Energy stocks have been strengthening throughout 2016 and Helix Energy Solutions (HLX) is a small $900 million market cap company that just broke out his past week.  Its SCTR rank has quickly soared to above 90 after recently printing SCTR readings in the single digits for several months.  Check out the chart: The breakout occurred near the 7.00 level with volume expanding.  A...  Read More

Fri, Apr 22

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DecisionPoint Alert

Overhead Resistance Holding - Weekly Chart Review

by Erin Heim

For the week, we saw the DecisionPoint Scoreboards switch from short-term PMO SELL signals to BUY signals, but now the NDX may be leading the way with a new PMO SELL signal. The SPY is very close to a PMO SELL signal. The pullback began and the result is overhead resistance holding. The purpose of the DecisionPoint Alert Daily Update is to quickly review the day's action,  Read More

Wyckoff Power Charting

Wyckoff Skill Building

by Bruce Fraser

There are no absolutes in trading financial markets. The best market operators are exceptional risk managers. The Wyckoff Method seeks conditions where a high likelihood of success is probable. Wyckoffians systematically search for the clues that precede a stock becoming a persistent and long term leader. Some of these characteristics we have already explored. The list includes; breaking above  Read More

The Traders Journal

Here's How Your Buying & Selling RT (Reaction Time) Flows Through to Your Bottom Line

by Gatis Roze

I've been told I'm a little unusual in that I rate my trades on a scale of 1 – 5 stars depending on my reaction time (RT).  My reaction time rating is merely a measure of the quickness an investor responds to some sort of market stimulus.  I rate it both on the buy side and on the sell side of my trades.  No, I don't get wired up like the Dutch physiologist, F. C. Donders,  Read More

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Market Message

HEALTHCARE PROVIDER INDEX REACHES SIX-MONTH HIGH -- LED BY AETNA AND ANTHEM

by John Murphy

HEALTH CARE PROVIDERS INDEX TURNS UP ... I've been writing a lot about the recent upturn in the healthcare sector. Most of my attention has been on biotechs, pharmaceuticals, and medical equipment stocks (Boston Scientific, Thermo Fisher, Zimmer, and Waters). Today's message will focus on health care providers which are also healthcare leaders. Chart 1 shows the Dow Jones  Read More

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Art's Charts

Breadth Remains Strong Enough - The Effect of Rising Rates on Key Assets and ETFs - Video

by Arthur Hill

SPY Challenges the Top of the Range    //    QQQ Continues to Lag SPY    //    Breadth Remains Strong Enough    //    High-Low Percent Wanes in April   //    Treasury Yields Could be Bottoming    //    Assets Affected by Rising Rates   //   Breakouts for the Finance, Bank and Broker ETFs...  Read More

Trading Places with Tom Bowley

Market Bifurcation Intensifies As Utilities Fall Beneath Key Moving Average

by Tom Bowley

Market Recap for Thursday, April 21, 2016 The Dow Jones dropped 114 points on Thursday, marking only the fourth time in the past two months it's lost more than 100 points during a session.  The climb has been steady with few declines of any magnitude as energy (XLE) and materials (XLB) have regained their bullish stride.  But that hasn't stopped our bouts of  Read More

Commodities Countdown

Looking For Leaders in Oil And Gas, Oil Services - Webinar 2016-04-21 HIghlights

by Greg Schnell

With all of the oil stocks rallying this week, we have finally reached a place on the charts where they are testing major support and resistance lines. As promised, the majority of the presentation was reviewing the US Oil and Gas individual stocks as well as the oilfield service industry.  "Commodities Countdown LIVE!" with Greg  Read More

Don't Ignore This Chart!

Five Prime Therapeutics (FPRX) Makes New All Time Highs

by Greg Schnell

Five Prime Therapeutics (FPRX) is a small cap that trades about 600,000 shares per day. This week it is poking up to new all-time highs. In the wild world of Biotech, this stock has built a wide-ranging but solid uptrend. While all biotechs are volatile, the group has been under pressure since the biotech top last July(see SBIO, XBI, IBB). There has been a tendency to stay away...  Read More

Thu, Apr 21

DecisionPoint

Nasdaq 100 Loses February PMO BUY Signal

by Erin Heim

The Nasdaq 100 had managed to avoid a Price Momentum Oscillator (PMO) SELL signal while the other major indexes on the DecisionPoint Scoreboard did not. Of course, their PMO SELL signals only lasted a week as...  Read More

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Martin Pring's Market Roundup

Indicators Still Mixed As The Market Reaches All-Time Highs

by Martin Pring

Coppock Curve on a buy and sell? Record high indicator signals a bull market 6/180 PPO right on the cusp of a bull market signal Short-term overbought condition argues for a pause Commodities breaking to the upside Interest rates waffling During the last couple of months I have been focusing on several indicators that can help us determine whether last February's low was "the low" or...  Read More

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DecisionPoint Alert

Pullback Begins - NDX ST PMO SELL Signal - Bonds (TLT) Suffering

by Erin Heim

The market finally decided it was time for a pullback. For the SPY it occurred at all-time highs. For the other indexes on the DecisionPoint Scoreboards, the pullback occurred below overhead resistance. Please see my DecisionPoint blog article on the new Nasdaq 100 PMO BUY signal which will be posted shortly. You can see the change on the Scoreboard for the NDX as well as the daily chart below.  Read More

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Market Message

VALUE STOCKS GAIN ON GROWTH -- VALUE GROUPS INCLUDE FINANCIALS, ENERGY, AND HEALTHCARE

by John Murphy

S&P 500 GROWTH ISHARES ARE STARTING TO LAG... For the first time since the latest bull market began in 2009, value stocks are gaining ground on growth stocks. The bull market is in its seventh year and looking very mature. One way some investors are participating in the current uptrend without taking too many chances is by moving money out of growth stocks that depend on growing...  Read More

Trading Places with Tom Bowley

Energy And Banks Lead Continuing Stock Market Parade

by Tom Bowley

Market Recap for Wednesday, April 20, 2016 Energy (XLE) once again found itself on top of the relative leaderboard in terms of sector performance.  The XLE gained .90% on Wednesday.  Oil equipment and services ($DJUSOI) gained over 1% and broke to fresh highs.  Here's an update on that industry group: The recent breakout is notable because it's part of the best...  Read More

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Art's Charts

Gaps are Holding - Sector Rotation is Bullish - Yield Surge is Positive for Stocks

by Arthur Hill

Large-caps Still Leading, but Small-caps Perk Up    //    Mind the Gaps in SPY and IWM  //    Sector Rotation is Bullish for Broader Market    //    XLI, XLK and XLY Near 52-week Highs    //    XLY, XLI and XLK Hold Consolidation Breakouts    //    Utilities and Staples Suffer as Bond Surrogates  Read More

Dancing with the Trend

Know Thyself II

by Greg Morris

The first article on Know Thyself generated a lot of interest, so here is the second one.  Welcome to being human!  Do you really know that person you see while shaving or applying makeup?  If you are going to be a successful investor/trader, you better get to know him/her and know them really well –...  Read More

Wed, Apr 20

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DecisionPoint Alert

Rally Follows-Through But Short-Term Indicators Turn Bearish

by Erin Heim

Yesterday's rally saw some follow-through today, but interestingly the past few days, short-term indicators have topped and are falling. No new signal changes on the DP Scoreboards. The purpose of the DecisionPoint Alert Daily Update is to quickly review the day's action, internal condition, and Trend Model status of the broad market (S&P 500), the nine SPDR Sectors, the U.S.  Read More

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