ChartWatchers

July 2011

ChartWatchers

WILL RISING COMMODITIES BOOST STOCKS?

by John Murphy

The positive link between stocks and commodities doesn't always exist as shown in Chart 1. There have been periods in the past when they've trended in opposite directions like the second half of 2006 (see box). Stocks also have a history of peaking before commodities... Read More 

ChartWatchers

MAJOR INDICATORS FLASHING "CAUTION" FOR RUSSELL 2000

by Richard Rhodes

At times, it is best to step back and take a longer-term viewpoint of the markets; and today we'll examine the Russell 2000 Small Caps (RUT)... Read More 

ChartWatchers

BULL MARKET HAS WEAK LEADERSHIP

by Carl Swenlin

While this bull market has rallied +105% from the 2009 low (basis the S&P 500), I have had a sense that there was something "squishy" about it. One thing was the absence of convincing volume, something analysts have been complaining about since the bull market began... Read More 

ChartWatchers

FUTURES SO BRIGHT, YOU GOTTA WEAR SHADES!

by Chip Anderson

Hello Fellow ChartWatchers! Today I'm pleased to announce another major upgrade to StockCharts.com. We've just added end-of-day data for US futures contracts as well as end-of-day spot prices to our system. The data is available for free to everyone... Read More 

ChartWatchers

MACD DIVERGENCES

by Tom Bowley

Gerald Appel created the MACD in the late 1970s. It's a momentum oscillator that serves to gauge the strength and direction of a trend, but what I find most useful is its ability to predict a reversal. If you like to short weak stocks, I can't blame you... Read More 

ChartWatchers

TA 101 RETURNS (FINALLY!) - PART 17

by Chip Anderson

Many months ago, we began a series of articles that we called "TA 101." The articles covered the basics of stock charting. The most recent article in the series was published in January of 2010... Read More 

ChartWatchers

QUESTION ABOUT DISTRIBUTIONS AND THE TREND MODEL

by Carl Swenlin

QUESTION: Carl, is it okay to use the Trend Model on bond fund NAV's to manage risk, or is it inappropriate because you can't factor in monthly payouts? I own PTSAX, Bill Gross' total return investor class bond fund, and it looks like the 20-EMA is ready to cross down through the... Read More 

ChartWatchers

FALLING DOLLAR BOOSTS COMMODITIES

by John Murphy

It was a good week for commodities and an even better week for stocks. But it all started with the dollar. We explained earlier in the week that the Dollar Index (UUP) appeared to be in a bearish consolidation pattern within a major downtrend... Read More 

ChartWatchers

DON'T GOT TO WAR WITH WALL STREET WITH A WATER PISTOL

by Tom Bowley

I was certainly looking for a bounce last week, but if I'm being honest, I wasn't looking for THAT kind of bounce. Our major indices all gained over 5% in just one week. That's not a bad return for a YEAR!!! There were definitely signs of a bounce on the horizon... Read More