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RYDEX Bears Stay In Hibernation

by Greg Schnell

Technical Analysis includes a wide range of indicators. Finding the final peak or valley on a chart is always difficult. When something seems extreme, it can always be more extreme. A good example of unanimous extremes is a mid year look is the Rydex sentiment. In March it was ringing the bell as being extreme. Some have gotten more extreme. My comments are unchanged since March.  The Top ratio is near the euphoria of Spring 2000 and making new 13 year highs. The bear index is slightly above the 2014 lows on the chart. We can see the Moneymarket has Read More 

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Michael Kors Weighs on Retailers with Break Down

by Arthur Hill

Michael Kors (KORS) led the market in February with a massive gap and new high, but the stock has fallen on hard time in June with a trend line break and relative breakdown. On the price chart, KORS broke the internal trend line and support zone with a sharp decline below 90. Broken support turned resistance and held the last two weeks. The indicator window shows the StockCharts Technical Rank (SCTR)  breaking decisively below 50 and remaining weak. With a SCTR score of 23.6, KORS is underperforming over 70% of large-caps.  Read More 

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Traders are Developing a Sweet Tooth for this ETF

by Arthur Hill

Spot Sugar ($SUGAR) has been in a downtrend for years, but this commodity may be turning the corner with a higher low and falling wedge. The chart below shows the Sugar ETN (SGG) surging in February and then correcting with a falling wedge the last 3-4 months. The ETF reversed near the 62% retracement and is trying to break above the wedge trend line now. The indicator window shows Spot Sugar for reference.   Read More 

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CBS and FB Lead Most Actives, while XRX and PWB Show Big Relative Moves

by Arthur Hill

Chartists can find stocks and ETFs on the move using the six tables in the middle of the home page. The image below shows four of these tables: most active Nasdaq and NYSE stocks, large-cap SCTR movers and SCTR movers for ETFs. Notice that Facebook and CBS are up strong on the most active lists. XRX and PWB are up strong on the SCTR tables. Chartists can click the CandleGlance links below to see individual charts for all ten symbols on each page.  Click this image for a live page.  Read More 

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Sector MarketCarpet Turns Mostly Red, but Two Sectors Stay Green

by Arthur Hill

The MarketCarpet for the nine S&P sectors turned mostly red on Tuesday with seven sectors down and just two up. Utilities and healthCare were the only two holding on to their gains in the late afternoon. Notice that energy is the darkest red. This means stocks in this sector are down the most. Double click within any sector to see the individual stocks.   Read More 

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Tibco Establishes Support with Rare Red Hollow Candle

by Arthur Hill

Tibco Software (TIBX) has been all over the place the last five weeks. The stock gapped up in late May, gapped down in early June, bounced to 21 and then gapped down again last Friday. Despite all this volatility, the stock may be at support now. Notice that a rare red hollow candlestick formed in early June. These form when the close is below the prior close, but the close is above the open. Essentially, TIBX opened near the low (18.21) and then bounced to close above 19.5. The high volume day also reinforces the idea of support in the green zone. Most recently, the stock gapped down Read More 

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IBM Drifts Back To The 40 WMA

by Greg Schnell

IBM Corporation (IBM) has been struggling over the last 2 years, but IBM surged off the February 5th, 2014 lows and kept climbing till April 1. 2014. The technicals are really poor. IBM is starting to look like a better short than long. The RSI is trapped between 30 - 60 which is a bear trend. The purple area plot is the relative strength. It continues to under perform. The SCTR has returned to 10 which means it is one of the poorest performing stocks in the market. The price action is a huge rounding top. The black line broke in the 4th quarter and held close to the area of support Read More 

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A Dark Cloud Forms Over Paychex

by Arthur Hill

Paychex (PAYX) is having all kinds of problems breaking through resistance in the 41.7 area. A bearish engulfing is taking shape today and this is the third bearish candlestick reversal pattern in six weeks. The late May and early June lows mark support in the 40.2-40.4 area and a break below this level would argue for lower prices. Note that chartists can enter a symbol on the predefined scans page to find out if it made any of the scans.   Read More 

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Utility Stocks Show Big Relative Gains on SCTR Table

by Arthur Hill

The utilities sector is on fire Wednesday with several stocks sporting big gains in their StockCharts Technical Rank (SCTR). Northeast Utilities (NU), DTE Energy (DTE) and AES Corp (AES) have double digit gains in their SCTR. Notice that this table can be sorted by clicking the column heading. This makes it possible to isolate one sector.  Read More 

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Finance Sector Lights up the MarketCarpet

by Arthur Hill

The Sector MarketCarpet shows the Finance SPDR (XLF) catching the strongest bid because it is the darkest green. The Utilities SPDR (XLU) is the weakest with an average loss of .36%. Hover over the carpet and right click to see formatting options. Click the arrow in the upper right to move up or down a level.   Read More 

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Chemtura Hits Rising Three Methods Scan

by Arthur Hill

The Rising Three Methods candlestick pattern is a bullish continuation pattern with four candlesticks: a long white candlestick, three candlesticks with small bodies and a long white candlestick that signals a continuation higher. The three small candlesticks mark a short correction or pullback. The chart below shows Chemtura with this pattern forming as it breaks the upper trend line of an ascending triangle. Chartists can find stocks with candlesticks patterns on the predefined scans page.  Read More 

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Spot Light Crude Surges Through Resistance

by Arthur Hill

Tensions in Iraq put a big bid into Spot Light Crude ($WTIC) as this key commodity broke above its March-May highs. Overall, crude formed an ascending triangle over the last few months and today's breakout signals a continuation of the January-February surge. The height of the pattern (105 - 98 = 7) is added to the breakout for an upside target (105 + 7 = 112). Broken resistance in the 105 area turns first support to watch on a throwback.  Read More 

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The Noose Tightens on NutriSystem

by Arthur Hill

Nutrisystem (NTRI) broke out with a big gap-surge in early May and then consolidated with a triangle. The gap and breakout are largely holding as volatility contracts. Notice how the Bollinger Bands narrowed and volume dried up over the last few weeks. Chartists should watch the June range for the next directional signal. A break above 17.1 on good volume would be bullish, while a move below 15.5 would negate the breakout.  Read More 

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Facebook Forgets To Follow Friends

by Greg Schnell

Recently Facebook (FB) has gone sideways. Unfortunately, the rest of the market has gone higher. This gap between Facebook and its peers is becoming more and more noticeable.  The SCTR ranking is still very high. The S&P 500 ($SPX) relative strength is dipping in June. As Facebook has a huge market cap, it is valid to expect the stock to rise with the $SPX. This underperformance is very surprising as the markets in general have accelerated lately, but Facebook has not followed the $SPX or the $NDX higher. Looking at the price plot, I have posted the Nasdaq 100 ($NDX) behind Read More 

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Galena Biopharma Turns Higher

by Greg Schnell

Galena Pharmaceuticals (GALE) is an interesting chart right here. The Relative strength in purple compared to the $SPX has not broken out yet, but everything else is looking very interesting. RSI is breaking out to new highs, the price is breaking out from a small basing pattern and the volume today was the biggest in a month. You can see the CMF (Money Flow) has been in accumulation mode, and now the MACD has turned up. Finally, all of the cycles on the Rate of Change indicators are in sync so they are all turning up together. That can be a very bullish clue Read More 

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Western Digital Breaks Out Of Consolidation Range On High Volume

by Greg Schnell

Western Digital  (WDC) has been a stellar performer for years. During the recent pullback on high momentum stocks, Western Digital was painted with the same brush and suffered a big pullback to the bottom of a consolidation area built over the last 5 months. Yesterday, the volume spiked up to 4 Million shares and accelerated out of the consolidation range. With everything in gear to go higher, it looks like Western will retest the highs of $95 shortly. A good breakout here, looks very powerful based on the resumption of the long term trend Read More 

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IWM Breaks Bearish Resistance Line on P&F Chart

by Arthur Hill

The P&F chart below shows the Russell 2000 ETF (IWM) with 30-cent boxes to capture the medium-term trend. Notice that this chart extends back to January, which is marked by the red numeral 1 in the first column. The ETF broke the bullish support line in April and then firmed in May. The surge above 113.4 broke the red bearish resistance line and this indicates that the trend is changing.  Read More 

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Dow Hits New High without Big Blue

by Arthur Hill

The Dow Industrials hit another new high this week, but IBM did not help the cause and remains well below its mid April high. This means IBM shows relative weakness, which is confirmed by the StockCharts Technical Rank (SCTR). The SCTR (red line) is below 20 and has spent most of the year below 50.  Read More 

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Dollar Tree Holds the Breakaway Gap

by Arthur Hill

The Dollar Tree chart shows two breakaway gaps in opposite directions. The first breakaway gap occurred in November and started a downtrend. The second breakaway gap occurred in late May and held for over a week. Like the November gap, this gap occurred on high volume and could signal the start of a sustained advance. Last week's low marks first support at 52.  Read More 

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Gannet Leads Large-caps SCTR Gainers with a Big Gap

by Arthur Hill

Looking for relative performance leaders? Look no further than the StockCharts home page and the top SCTR movers. The StockCharts Technical Rank (SCTR) tables can be found on the home page near the bottom. Click the "top up" tab to see the biggest gainers and "top down" to see the biggest relative losers. Gannet (GCI) is the biggest relative gainer among large-caps and the stock sports a big gap on the price chart.  Click this image for a live page Read More