Don't Ignore This Chart

Tenet Healthcare and Boston Scientific Lead SCTR Table

by Arthur Hill

Want to find the leaders in the S&P 500? The StockCharts Technical Rank (SCTR) ranks the 500 S&P stocks from 0 to 100. The top 50 stocks in the index have scores from 90 to 100. These are deemed the stocks with the strongest technicals and many are trading near 52-week high. In today’s list, we can see Tenet Healthcare, Morgan Stanley (MS), Life Technologies (LIFE) and Boston Scientific (BSX).    Click this image for a live table Read More 

Don't Ignore This Chart

Bearish Candlesticks Take Shape for the Retail SPDR

by Arthur Hill

The bigger trends are clearly up for the Retail SPDR (XRT) as the ETF broke resistance with a big surge in January. However, XRT is short-term overbought after a big move and bearish candlesticks are taking shape. A harami-cross formed on Friday-Monday and a hanging man formed on Tuesday. A break below 66 would confirm this pattern and argue for a correction. *LINEBR** Read More 

Don't Ignore This Chart

RIMM Gap Turns into Exhaustion Gap with Fill

by Arthur Hill

Research in Motion (RIMM) has been one of the best performing stocks since late September. There is, however, evidence that the advance has exhausted itself as RIMM filled last week’s gap above 16. This fill makes it an exhaustion gap that could give way to a retracement of the prior advance. A 50-61.80% decline would extend to the 11-12 area. *LINEBR** Read More 

Don't Ignore This Chart

Defense Index Breaks Support on Sequestration Fears

by Arthur Hill

The DJ US Defense Index ($DJUSDN) was hit hard the last three days and broke below the January lows. This index is now down for the year, which means it is underperforming the broader market. The indicator window shows the Percent Price Oscillator (PPO) turning lower, but remaining in positive territory for now. A move into negative territory would turn momentum bearish. Click here to see the stocks in this index. *LINEBR** Read More 

Don't Ignore This Chart

Point & Figure Triple Top Breakouts Outpace Triple Bottom Breakdowns

by Arthur Hill

The P&F pattern table on the predefined scans page is a good place to gauge the long-term trend for the stock market. As with a Bullish Percent Index, chartists simply need to pick a pattern and then compare the number of stocks on bullish P&F signals with the number on bearish P&F signals. There are currently 87 Nasdaq stocks with bullish Triple Top Breakouts and only 22 with bearish Triple Bottom Breakdowns. User can click on these numbers to see a list of the stocks.   Click this image for a live table Read More 

Don't Ignore This Chart

Adobe Leaves Apple in the Dust

by Arthur Hill

Apple may not support flash on its iPhone and iPad, but that does not seem to bother Adobe (ADBE) shareholders. Adobe lagged Apple throughout 2012, but may be having the last laugh as it starts to outperform. Apple is up less than 5% over the last 12 months, while Adobe is up over 22%. *LINEBR** Read More 

Don't Ignore This Chart

Silver Miners ETF Breaks Channel Support

by Arthur Hill

The Silver Miners ETF (SIL) is having a tough time this year with a failed gap and now a move below the early January low. After breaking down in November, the ETF formed a rising channel the last two months. SIL broke channel support today and continues to show relative weakness. *LINEBR** Read More 

Don't Ignore This Chart

Utilities Perk up and Lead for a Day

by Arthur Hill

The Utilities SPDR (XLU) is showing some upside leadership on Tuesday with a .95% gain. This makes XLU the top performing sector so far. Energy (XLE), Financials (XLF) and Materials (XLB) are also performing well. You can find more leaders and laggards on the market summary page. Click this image for a live summary. Read More 

Don't Ignore This Chart

Google Fills Gap and Shows Relative Weakness

by Arthur Hill

Stocks moved higher this week, but Google (GOOG)  did not partake and fell rather sharply. Notice that the stock broke the November trend line and filled the 2-Jan gap. Yes, GOOG is below its 2-Jan open . The price relative (GOOG:SPY ratio) turned down and broke support this week. GOOG shows relative weakness as we head into earnings next week. *LINEBR** Read More 

Don't Ignore This Chart

Big Banks Lead Lower on Most Active Lists

by Arthur Hill

The Dow is up triple digits and close to its Sep-Oct highs, but the NYSE most active list shows more decliners than gainers (7 to 3). Big banks (BAC,C,JPM) are leading the way lower on profit taking. The Nasdaq most active list, in contrast, shows nine up and only one down (CSCO). You can find the most active list on the Free Charts page. Read More 

Don't Ignore This Chart

Risk is the Word as Stocks and Oil Lead Higher

by Arthur Hill

The markets have been in risk-on mode since mid November and continue to embrace risk. The chart below shows the S&P 500 ETF (SPY) and US Oil Fund (USO) performing the best. The 20+ Year T-Bond ETF (TLT) is performing the worst. Also note that the Euro Currency Trust (FXE) remains in an uptrend, and the Dollar in a downtrend. *LINEBR** Read More 

Don't Ignore This Chart

Activision Surges Off Support to Form Double Bottom

by Arthur Hill

Activision (ATVI) came to life with a gap and high-volume surge off support in 2013. The stock remains in a long-term downtrend, but could be forming a double bottom over the last three months. A break above the December high would confirm the pattern and reverse the downtrend. Read More 

Don't Ignore This Chart

The Squeeze is on for American Science and Engineering

by Arthur Hill

American Science and Engineering (ASEI) surged in November and then moved into a trading range the last six week. Notice that volatility is contracting as the Bollinger Bands narrow. In particular, ASEI traded between 64.5 and 66.2 during January, which is a very tight range indeed. Watch these levels for the next directional signal. *LINEBR** Read More 

Don't Ignore This Chart

Aussie Dollar Breaks Triangle Resistance

by Arthur Hill

The Australian Dollar Index ($XAD) broke above trend line resistance from a large triangle this week. Medium-term, the index is still trading in a range extending back to July 2012. A break above the July-September highs would argue for a challenge to the 2011 highs. Read More 

Don't Ignore This Chart

IBM Forges Quadruple Bottom Breakdown on P&F Chart

by Arthur Hill

IBM has been underperforming the broader market for several months and continued this trend with a break below support. On the P&F chart, notice how the stock formed three O-Columns with equal lows in January. The current O-Columnm which is red, broke below these lows to forge the quadruple bottom breakdown and target a move to the 190 area. Note: this is a 60-minute P&F chart with 20 cent boxes. *LINEBR** Read More 

Don't Ignore This Chart

DBC Commodity Index Fund Tests Triangle Support as RSI Range Narrows

by Arthur Hill

The Commodity Index Fund ($DBC) declined from mid September to early November and then formed a triangle consolidation. After a fall last week, the ETF is testing triangle support and a break below 27.3 would be bearish. Notice that RSI is also consolidating with support at 40 and resistance at 60. Read More 

Don't Ignore This Chart

Yields May be Low, but the Curve Remains Steep

by Arthur Hill

The 10-year Treasury Yield ($TNX) surged over the last two weeks, but remains at relatively low levels historically. Also note that the yield curve is still quite steep with the 2-Year Treasury Yield ($UST2Y) hovering around .27% and the 10-year Treasury Yield near 1.88%. A steep yield curve is traditionally positive for banks and the economy.  *LINEBR** Read More 

Don't Ignore This Chart

Sector Summary Reveals Strength in Steel

by Arthur Hill

Chartists can find the leaders and the laqgards by sifting through the Sector Summary. This image shows the industry groups within the materials sector. Eight of the nine are down. The DJ US Steel Index ($DJUSST) is the lone gainer as it bucks the market. Chartists can click on the name to see the components with this industry group. Click this image for a live summary Read More 

Don't Ignore This Chart

Microsoft Fails at Resistance as OBV Sinks

by Arthur Hill

Microsoft (MSFT) is having a tough year already as the stock failed to clear resistance and moved sharply lower the last two days. Resistance at 27.75 stems from broken support and the November-December highs. The indicator window shows OBV moving steadily lower, which indicates continued selling pressure. Read More 

Don't Ignore This Chart

Lululemon Forms Bearish Engulfing at Resistance

by Arthur Hill

Not all stocks participated in Wednesday’s big advance. Lululemon (LULU) started strong, but quickly succumbed to selling pressure and closed sharply lower. With a strong open and weak close, a bearish engulfing pattern formed at resistance. Also notice that MACD moved below its signal line last week.   Read More 

Don't Ignore This Chart

Oshkosh Breaks Triangle Trend Line with Big Gap

by Arthur Hill

Lots of stocks are coming across the gap up scan today (297 at last count). The chart below shows one list member, Oshkosh, gapping up and breaking above its mid December high. This move reinforces support in the 28 area. Also notice that MACD moved above its signal line over the last two days. Read More 

Don't Ignore This Chart

Top 5 Technical Developments for 2012 – Number 1 – 20+ Year T-Bond ETF (TLT) Ignores the Fed

by Arthur Hill

The Fed announced another round of quantitative easing on September 13th and Treasuries have yet to cooperate with this maneuver. Instead of a specific program, the Fed announced an open-ended quantitative easing program that would begin in January 2013. QE is supposed to be bearish for treasuries because the Fed is trying to drive money away from safe-haven Treasuries and into riskier assets, like stocks. So far, the stock market fell and ended the year below its September high. The 20+ Year T-Bond ETF (TLT) rose and ended above its September low. QE3+ does is not working - yet. The Read More