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Gold Miners ETF Forms Big Bearish Engulfing

by Arthur Hill

The Gold Miners ETF (GDX) came under intense selling pressure earlier this week with a bearish engulfing and short-term support break. These two down days occurred on high volume. Also notice that the ETF is hitting resistance from the highs extending back to late April. Read More 

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Airlines, Telecoms and Biotech Lead Essential Industry Groups

by Arthur Hill

Extra! and Pro users have access to the StockCharts Essentials ChartPack, which features 13 core chartlists with over 140 key charts. The image below shows the Essential US Industry Indexes in “summary” format and sorted by percent change. This makes it easy to distinguish between the leaders and the laggards. The Amex Airline Index ($XAL), the Telecom Index ($XTC) and the Biotech Index ($BTK) are leading the market rebound.  Click this image for more information on ChartPacks. Read More 

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Leveraged Gold ETFs Duke it Out on Ticker Cloud

by Arthur Hill

Want to see what’s hot today? Check out the ticker cloud on the home page. The bigger the symbol, the more popular the chart. As you can see, the Direxion Gold Miners Bull 3X ETF (NUGT) and the Direxion Gold Miners Bear 3X ETF (DUST) are quite popular today. There suggest that there is not much middle ground on gold: chartists are either raging bulls or raving bears.   Read More 

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Utilities Buck the Trend with Show of Strength

by Arthur Hill

Looking for pockets of strength on a down day? Turn to the Sector Market Carpet. The first image shows the broad sector view with the utilities sector in light green. The other sectors are either red or a lighter shade of red, which means they are down. The second image focuses on the utilities sector with PPL, NEE and PCG leading.  *LINEBR** Read More 

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Bullish P&F Signals Outnumber Bearish Signals

by Arthur Hill

Chartists can get an idea of the overall market trend by comparing the number of bullish P&F signals with bearish P&F signals. StockCharts provides this data every day on the predefined scans page. Notice that there are 87 Triple Top Breakouts on the NYSE and only 40 Triple Bottom Breakdowns. The same is true for the Nasdaq. Click on the number to see the stocks meeting the particular scan criteria.   *LINEBR** Read More 

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Toll Brothers Battles Support and Outperforms its Peers

by Arthur Hill

While the Home Construction iShares (ITB) battles broken support, Toll Brothers (TOL) is still holding support from the 2013 lows. The chart below shows TOL bouncing off support in mid August, but falling short of a breakout. The indicator window shows TOL relative to ITB using the price relative (TOL:ITB). TOL underperformed from October to June and then started outperforming the last two months. *LINEBR** Read More 

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Industrial Metals and Precious Metals Lead Commodity Groups

by Arthur Hill

The US Commodity Groups PerfChart shows the performance for five commodity groups and the CRB Index ($CRB). Energy prices weighed on the CRB Index as the GSCI Energy Index fell over 1% this past month. In contrast, the GSCI Industrial Metals Index ($GYX) and the GSCI Precious Metals Index ($GPX) advanced over 4%. Read More 

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High Volume Gap Provides Support for E*Trade on CandleVolume Chart

by Arthur Hill

The chart below shows E*Trade (ETFC) with CandleVolume charts to accent volume. Upside volume has been strong in general and the stock gapped above 14 with the biggest volume since the mid March gap down. This gap zone around 14 has turned support as the stock firms just above. A break above last week’s high would signal a resumption of the uptrend.  *LINEBR** Read More 

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S&P 500 ETF Recaptures the 50-day

by Arthur Hill

The S&P 500 ETF (SPY) broke below its 50-day moving average on Monday, but moved right back above on Tuesday. This moving average held from December to early June. SPY broke below in late June, but quickly recovered and recaptured the moving average. It looks like another battle is taking shape as SPY bounces at this key average for the fourth time since December.   Read More 

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Children’s Place Tests Neckline Support

by Arthur Hill

Children’s Place formed a head-and-shoulders reversal pattern from late May to August and is currently testing neckline support. Notice that downside volume is outpacing upside volume and On Balance Volume (OBV) broke its June low this month. *LINEBR** Read More 

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Market Carpet Shows Retailers Lagging and Homebuilders Leading

by Arthur Hill

The image below shows the Market Carpet for just the consumer discretionary sector (cyclicals). Notice that Pulte (PHM) and Lennar (LEN) are leading on Friday, while Nordstrom (JWN) and Kohl's (KSS) are lagging. Chartists can double click on any symbol in the market carpet to expand that section and focus on the sector. Hint: hover over the Market Carpet and right click to see more options.    Read More 

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SPY Breaks Support with Gap Down

by Arthur Hill

After weeks of indecision, the S&P 500 ETF (SPY) made a decisive move with break below the late July low. The gap and support break are short-term bearish as long as they hold. Using the Fibonacci Retracements Tools, chartists can estimate next support in the 50-62% retracement zone, which equates to the 162-164 area. Read More 

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Home Construction iShares Breaks Neckline Support

by Arthur Hill

Rising rates are taking their toll on the Home Construction iShares (ITB) as the ETF broke neckline support on Wednesday. The head-and-shoulders pattern extends almost the entire year and today's breakdown confirms the bearish reversal. The indicator window shows the price relative (ITB:SPY ratio) moving to a new low as ITB underperforms the broader market. *LINEBR** Read More 

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S&P 1500 AD Line Holds Short-term Support

by Arthur Hill

The S&P 1500 AD Line ($SUPADP), which is a key breadth indicator, has yet to break support and remains in bull mode. Notice how the AD Line established lows from mid July to early August. These lows mark a support zone that chartists should watch for clues on market direction. A break below support would signal an increase in selling pressure and argue for a correction. You can read more about StockCharts breadth data in our ChartSchool. *LINEBR** Read More 

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US Oil Fund Forms Bull Flag in Uptrend

by Arthur Hill

After surging and breaking resistance in July, the US Oil Fund (USO) pulled back with a falling flag the last few weeks. USO made its first move with a surge over the last two days. A follow through breakout above flag resistance would signal a continuation higher. Chartists can also watch MACD for an upturn in momentum. Read More 

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Finance Sector Starts Underperforming

by Arthur Hill

The Finance SPDR (XLF) was one of the best performing sectors from April to late July, but was the weakest sector over the last two weeks. The PerfChart below shows XLF with a loss over the last ten trading days. In contrast, notice that the S&P 500, Consumer Discretionary SPDR (XLY), Technology SPDR (XLK) and Industrials SPDR (XLI) are up. In fact, the other three offensive sectors are up rather sharply the last ten days.  *LINEBR** Read More 

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Steel ETF Breaks Flag Resistance with Big Surge

by Arthur Hill

Even though the long-term trend remains down, the Steel ETF (SLX) is making some bullish waves with a flag breakout on Thursday. After an advance from late June to mid July, SLX consolidated with a falling flag, which is a bullish continuation pattern. Today's breakout signals a continuation of the prior surge with a target in the 44 area. Read More 

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Chuy's Holdings Forms Bearish Engulfing at Key Retracement

by Arthur Hill

Chuy's Holdings came across the intraday bearish engulfing scan on Wednesday. Even though the trading day has just begun, notice that the stock broke down in July and retraced 62% with a bounce back to 40 in August. The gap and 62% retracement mark resistance as the stock reversed course in Wednesday. Read More 

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Only One Bullish Percent Index is Below 50%

by Arthur Hill

StockCharts calculates the Bullish Percent Index for over a dozen groups, including several major indices, the main sectors and a few industry groups. A list can be found on the end-of-day market summary page. Notice that all BPIs are at or above 50%, which favors the bulls. The Gold Miners BPI ($BPGDM) is the only one below 50%.   Read More 

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Elder Bars Turns Green as ARIA Breaks Flag Resistance

by Arthur Hill

Chartists looking for stocks on the move can turn to our pre-defined scans page and the Elder bar scans. Stocks with an Elder bar turning green are turning up. Those with an Elder bar turning red are turning down. The chart below shows Ariad Pharma with a big green Elder bar as the stock breaks flag resistance. *LINEBR** Read More 

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S&P MidCap 400 SPDR Takes the Lead with a New High

by Arthur Hill

Stocks surged after Fed day with the S&P MidCap 400 SPDR (MDY) hitting a new high early Thursday. The indicator window shows the price relative (MDY:SPY ratio) hitting a new high as well. Notice that the ETF’s Technical Rank (SCTR) has been above 70 the entire year as mid-caps show consistent relative strength. Read More