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February 2014

ChartWatchers

An Introduction to SharpCharts for DecisionPoint.com Users

by Carl Swenlin

The StockCharts charting tools are very powerful but can be a little confusing at first, especially if you are used to the simpler charting tool on DecisionPoint.com.  So I wanted to take time today and talk a little bit about the differences between those two tools. First off, I've just posted a longer blog article about this topic in the new DecisionPoint Blog on the StockCharts.com website.  You can click here to read it.  It talks about how StockCharts lets you store your customized charts in your account as well as add more indicators and generally do more with your Read More 

ChartWatchers

DecisionPoint Market Analysis Chart Gallery Now on StockCharts.com

by Chip Anderson

Hello Fellow ChartWatchers! Just in time for the ongoing February rally, I'm thrilled to announce the launch of the DecisionPoint Market Analysis Chart Gallery! As you probably know, we have recently acquired DecisionPoint.com and are currently in the process of merging their terrific charting tools and datasets into our website.  (If that is news to you, click here for all the details.)  Today, we're taking the next step in that process with the roll out of the DP Market Analysis Chart Gallery. One of DecisionPoint's greatest strengths - its huge diversity of Read More 

ChartWatchers

WEEKLY MACD LINES ARE STILL NEGATIVE

by John Murphy

The daily MACD for QQQ, SPY and DIA have turned positive. Weekly MACD lines, however, are still negative. That's not unusual since weekly lines are slower to turn. Weekly lines, however, measure the stock market's longer trend. A strong stock market rally requires the weekly lines to turn positive as well. Chart 7 overlays weekly MACD lines on the S&P 500 over the last two years. The red bars along the bottom are MACD histogram bars which measure the spread between the red and blue lines. The histogram bars revolve above and below a zero line, and show us whether the two MACD lines Read More 

ChartWatchers

Mixed Signals Abound

by Tom Bowley

Just two weeks ago, the stock market seemed on the verge of its first correction in a long time - all within the confines of a long-term bull market that began in March 2009.  Then came the breakdown I was looking for to confirm it.  Check out the head & shoulders breakdown that occurred earlier this month on the S&P 500: Generally speaking, confirmed head & shoulders patterns that lose neckline support on very heavy volume don't usually move right back through what should become solid price resistance at that neckline.  Yet that's exactly what the S&P 500 Read More 

ChartWatchers

What Is Compelling This Week?

by Greg Schnell

The Chartwatchers newsletter is an interesting one. On all the other blogs, we write whenever we see something interesting on a daily basis, but the ChartWatchers newsletter is unique. With a different audience and a release period two to three weeks apart, it earns a unique perspective. So when I have a story to tell in a few charts in Chartwatchers, it forces me to be very selective. What is the most compelling 'One picture is worth a thousand words' chart? Today, I came across Utilities. Really. Utilities? Let's go deeper. I want to spend a minute and talk about how charts change Read More 

ChartWatchers

The S&P 500 is Flat this Year, but Three Sectors Rise Above

by Arthur Hill

Chartists can find sectors with consistent performance by analyzing PerfCharts across different timeframes. The three PerfCharts show different performance periods for the S&P 500 and the nine sector SPDRs. I am looking at year-to-date performance and then dividing 2014 into two parts. The first part covers the period from January 2nd to February 4th, which is when the S&P 500 fell sharply. The second period covers February 4th to February 14th, which is when the S&P 500 rebounded. By looking at these three distinct periods, chartists can uncover which sectors show consistent Read More 

ChartWatchers

A Mini-ChartWatchers Newsletter (includes a free Murphy eBook)

by Chip Anderson

Hello Fellow ChartWatchers! I've got just a short, mini-version of our newsletter for you this week with some important information on a couple of topics: John Murphy's latest market outlook A new, free(!) online book from John Murphy ChartCon 2014 - our upcoming conference in Seattle in August The status of our merger with DecisionPoint Our upcoming Atlanta SCU seminars   John Muphy's Latest Market Outlook The markets had some very positive gains last week to counter-balance their previous declines but is it just a reaction rally?  As John Murphy Read More 

ChartWatchers

Merging DecisionPoint with StockCharts.com

by Chip Anderson

Hello Fellow ChartWatchers! And that includes a special "Hello!" to all DecisionPoint.com members that have just joined us.  Yes, in case you haven't heard, StockCharts.com has acquired DecisionPoint.com and we are now working hard to incorporate all of great features that DecisionPoint has into our system. My article this week is kind of divided into two halves.  The first half is for everyone, especially existing StockCharts subscribers who are not familiar with DecisionPoint.  The second half is specifically for DecisionPoint.com members who are not familar Read More 

ChartWatchers

Utilities and Reits Show Relative Strength

by John Murphy

An early January message (January 11) talked about the need to do some rotating out of over-extended stock market groups that did especially well during 2013 into more defensive (and dividend-paying) groups that had been market laggards. The two I mentioned were utilities and REITs. I mentioned those two groups for two reasons. One was that they are defensive in nature, and usually hold up better when stocks weaken. The other is because both groups are closely tied to the direction of bond prices. With bond prices rising throughout the month (as stocks fell), those two groups have done Read More 

ChartWatchers

Financials and Treasury Yields Offering Bears Some Motivation

by Tom Bowley

Signs of a sustainable bull market rally include strong relative performance from financial stocks, especially banks, and rising treasury yields that result from rotation away from treasuries.  Both of these areas of the market are flashing warning signs right now, although technical breakdowns to confirm the weakness have not yet been made.First, let's discuss financials and banks.  Below is a chart of the financial sector ETF (XLF) and how it's performed relative to the S&P 500 over the past several months: The bottom part of this chart shows that the financial sector has Read More 

ChartWatchers

High-Low Percent Indicator Dips to a Reversal Zone

by Arthur Hill

High-Low Percent for the S&P 1500 dipped into negative territory in late January. This is potentially significant because prior dips did not extend past the -2% level and marked turning points in the S&P 1500. The chart below shows the S&P 1500 High-Low Line ($SUPHLP) in the main window and High-Low Percent in the bottom window. High-Low Percent equals new highs less new lows divided by total issues. The High-Low Line is a cumulative measure of High-Low Percent. First, notice that the High-Low Line has been above its 10-day EMA (rising) since November 2012. This is an Read More