Trading Places with Tom Bowley

Tom Bowley
About the author: co-founded Invested Central and served as the site's Chief Market Strategist for more than 10 years. His unique trading style combines both his fundamental and technical strategies to systematically manage risk while trading. A regular contributor to StockCharts.com's bi-weekly ChartWatchers newsletter since 2006, Tom's role at StockCharts has expanded significantly since he joined the company as a full-time Senior Technical Analyst in March of 2015.

Latest Posts

Trading Places with Tom Bowley

Dow Transports Gain 1000 Points During Last 8 Days' Melt Up

by Tom Bowley

Market Recap for Monday, December 4, 2017 Recent bullish themes continued on Monday.  Outperformance by the Dow Jones (+0.24%) and S&P 500 (-0.11%) overshadowed ugly relative performance from technology (XLK, -1.61%) and the NASDAQ (-1.05%).  Even the riskier Russell 2000 index ($RUT, -0.30%) easily outperformed the NASDAQ.  The good news is that this quick correction in technology stocks is relieving prior overbought conditions and helping to remedy the momentum issues that were in place.  Check out the XLK: This selling Read More 

Trading Places with Tom Bowley

We're Quickly Approaching A Seasonal Bearish Period; Consider Taking Some Profits

by Tom Bowley

Market Recap for Friday, December 1, 2017 An early selloff on Friday quickly became a buying opportunity as the bulls jumped back on board for what they hope will be another big upturn.  All of our major indices ended the Friday session in negative territory, but the losses early in the day were much, much larger.  The Dow Jones, for instance, was down 350 points a couple hours into the day, but recovered more than 300 of those points to finish down just 40.76 points.  The tech-heavy NASDAQ was down an astonishing 137 points, or roughly 2%, before reversing and finishing 26 Read More 

Trading Places with Tom Bowley

The Dow Jones Has Its Biggest Gain of 2017, Closes Above 24000

by Tom Bowley

Market Recap for Thursday, November 30, 2017 It was another broad-based rally on Wall Street with traders ditching bonds and rushing into equities.  The Dow Jones rallied 331.67 points to easily close above 24,000 for the first time in its history.  The records just keep piling up.  It was only 10 months ago that the Dow Jones managed to clear the psychological 20,000 level.  Since that time, we've seen the Dow rumble higher by more than 20%, taking out four 1,000 point milestones along the way.  Nothing seems to slow down this equity train with the Dow's weekly Read More 

Trading Places with Tom Bowley

Three Things To Take Away From Wednesday's Bizarre Market Action

by Tom Bowley

Market Recap for Wednesday, November 29, 2017 One quick glance at the S&P 500's meager 1 point loss on Wednesday and you might assume that Wall Street meandered through another one of its boring days.  But a deeper look will tell you that yesterday was anything but boring!  Technology (XLK, -2.21%) was hammered and suffered its worst one day loss since June 9th and its second worst day of 2017.  What happened?  Well, first and foremost, a negative divergence had printed on XLK's recent breakout.  That tells us that risk is heightened so you shouldn't be Read More 

Trading Places with Tom Bowley

Equities Explode Higher, Led By Financials, Industrials And Small Caps

by Tom Bowley

Market Recap for Tuesday, November 28, 2017 It was party day on Wall Street.  The bullish environment accelerated into a much faster gear as all nine sectors advanced and the small cap Russell 2000 soared 23 points, or 1.53%, to a fresh new record with its most bullish historical month - December - still awaiting.  It wasn't just small caps though.  The Dow Jones, S&P 500 and NASDAQ gained 1.09%, 0.98% and 0.49%, respectively, as each added yet another record to its ledger. Technology (XLK, +0.33%) was the laggard and we may need to get used to it being an Read More 

Trading Places with Tom Bowley

Defense Industry Stocks Look Poised To Benefit From Market Rotation

by Tom Bowley

Market Recap for Monday, November 27, 2017 We saw bifurcated action in the major indices on Monday as the Dow Jones tacked on another 23 points after nearly closing above 23600 for the first time ever.  Instead, the bulls had to settle for an all-time intraday high of 23638.92.  The other indices also saw afternoon weakness, but in their case, it resulted in losses by the close.  There was no panic, however, as the S&P 500 lost just one point and did manage to close above 2600 for a second consecutive session. Utilities (XLU, +0.43%) led the advance after Read More 

Trading Places with Tom Bowley

Abbreviated Holiday Session Results In More Records

by Tom Bowley

Market Recap for Friday, November 24, 2017 Wall Street was only open for half a day on Friday, but that didn't stop the bulls' momentum as all the major indices closed at fresh all-time highs.  Amazon.com (AMZN) and a host of semiconductor stocks led the advance as the NASDAQ slightly outperformed the other indices.  Technology (XLK, +0.56%) and materials (XLB, +0.51%) were the best performing sectors, while consumer staples (-0.07%) and financials (XLF, -0.04%) lagged. The 10 year treasury yield ($TNX) bounced back after it fell to challenge the lower uptrend line Read More 

Trading Places with Tom Bowley

The Superfecta: All Four Major Indices Print All-Time Record Highs

by Tom Bowley

Market Recap for Tuesday, November 21, 2017 I am traveling for the Thanksgiving Day holiday, so today's article will be brief.  I hope everyone has a very Happy Thanksgiving!  Enjoy your family and friends and please be safe.  :-) It was a very bullish day on Wall Street yesterday.  Not only did we see all four of our major indices climb to touch all-time highs on an intraday basis, but they also closed there.  In addition, all nine sectors advanced on the session.  That is typically a sign of new money driving prices higher, a bullish development Read More 

Trading Places with Tom Bowley

Financials And Industrials Lead As Slowing Momentum Issues Subside

by Tom Bowley

Market Recap for Monday, November 20, 2017 It had been awhile since financials (XLF, +0.46%) and industrials (XLI, +0.45%) were the top two performing sectors during a market session, but that's exactly what we saw on Monday.  Welcome back!  Both the XLF and XLI had serious momentum issues to deal with on their daily charts as they made their recent price highs.  But profit taking and market rotation took care of that and both of these groups now appear poised to rejoin the bull market party. XLF: We do need to respect a potential short-term Read More 

Trading Places with Tom Bowley

Friday: The Tale Of Two Markets

by Tom Bowley

Market Recap for Friday, November 17, 2017 It was an interesting day on Friday.  While most of our major indices struggled and finished in negative territory with the Dow Jones, S&P 500 and NASDAQ falling 0.43%, 0.26% and 0.15%, respectively, the Russell 2000 continued its torrid advance of late, rising another 0.40%.  The Russell 2000 had lagged the other major indices quite significantly from early October through last Tuesday, but it reversed just as it approached key price, moving average and Fibonacci support at 1450 on Wednesday.  It then embarked on a three day Read More 

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