ChartWatchers

July 2021

ChartWatchers

This is Why You MUST Follow Relative Strength Heading into Earnings

by John Hopkins

If you have been paying attention to earnings, you would have seen that SNAP reported their numbers on Thursday and crushed all expectations. As a result, the stock was higher by over 25% at its peak the day after the numbers were released... Read More 

ChartWatchers

These Names are Alluring

by Greg Schnell

One of the interesting phenomena about investing is how stocks run up, consolidate for a period of time, then mark their next leg of the journey as they break out above the consolidation... Read More 

ChartWatchers

Watch This Sector and Industry Group Next Week!

by Erin Swenlin

On Fridays, as part of my subscriber-only DecisionPoint Diamonds Report, I give readers insight on how the Sectors did for the week, what our Sector Scoreboard and daily RRG look like and, most importantly, what sector and industry group to watch going into next week... Read More 

ChartWatchers

XLE Bids to End Correction and Resume Uptrend

by Arthur Hill

The Energy SPDR (XLE) is setting up to end its correction and resume its bigger uptrend. First and foremost, the long-term trend is up because the Trend Composite signaled an uptrend (gray circle) in late November when the majority of indicators turned bullish... Read More 

ChartWatchers

Broader Markets are Looking Weary. Here's How to Build Your Watch List

by Mary Ellen McGonagle

If you want to uncover the next big winning stock, now is the ideal time to be screening the markets. Why? Because proven studies have shown that the #1 driver of a stock that goes on to far outpace the markets is big, accelerating earning-per-share (EPS) growth... Read More 

ChartWatchers

What the Impending Correction May Look Like

by David Keller

As the S&P 500 and Nasdaq 100 indexes have pounded away at new all-time highs basically every month in 2021, investors are left to wonder when a correction may actually be coming... Read More 

ChartWatchers

The IYW Shines -- See Why

by John Hopkins

The IYW is a US Technology ETF. Its three largest holdings are AAPL, MSFT and GOOGL. At its peak this past Wednesday, it was higher by 9.4% from the date it was added to our ETF Model portfolio on April 19, compared to the S&P of 5.5% during the same period of time... Read More 

ChartWatchers

Thinking Outside the US Box

by Julius de Kempenaer

The Relative Rotation Graph above shows the rotation for major stock market indexes against the Dow Jones Global Index. First of all, this is a so-called "open universe" which means that not all constituents of the benchmark are plotted on the graph... Read More 

ChartWatchers

Three Intermarket Relationships That are at a Critical Point

by Martin Pring

When reviewing my charts last weekend, several jumped out as being at a pretty critical juncture, and therefore worthy of monitoring going forward. A couple of them involved the stock market, so I'll start there... Read More 

ChartWatchers

Focus on the US Dollar

by Greg Schnell

This is a pivotal point for the US Dollar. The US Dollar can have meaningful changes on commodities, bond flows and foreign investment, to name a few... Read More 

ChartWatchers

DecisionPoint Climax Analysis - Upside Initiation Today

by Erin Swenlin

DecisionPoint employs "Climax Analysis" -- and only DecisionPoint.com has it. Determination of "climax days" is invaluable for the short-term trader... Read More 

ChartWatchers

Steel ETF Makes a Bid to End Correction

by Arthur Hill

The Steel ETF (SLX) led the market from late October to early May by more than doubling in price. The ETF then fell back with a break of the 50-day SMA in June, but this decline is viewed as a correction within a bigger uptrend... Read More 

ChartWatchers

Are Strong AD Lines Suggesting Big Earnings Ahead for These 3 Companies?

by Tom Bowley

Earnings season kicks off next week, with the big banks getting things started. After a rough stretch with falling treasury yields, the banks index ($DJUSBK) rallied on Friday as yields rebounded. Recently, I provided a relative strength look at key banks reporting next week... Read More 

ChartWatchers

The Holiday Weekend Comes With Risks - Here's What You Need To Know

by Mary Ellen McGonagle

The S&P 500 and the Nasdaq Composite both closed the week in new high ground as inflation fears continue to recede... Read More 

ChartWatchers

How to Determine Which Companies Will Report Blowout Results

by Tom Bowley

I view relative strength as one of the most important aspects of technical analysis. It helps me visualize where the money is going. When you review a price chart, it's very easy to see if a stock is going up or going down. As an example, let's look at internet stocks ($DJUSNS)... Read More 

ChartWatchers

A Market with Bad Breadth is Still Going Up

by David Keller

The S&P 500 is going higher. If you knew nothing else about the current market environment, you would consider that to be a bullish indication. As Paul Montgomery once said, "The most bullish thing the market can do is go up... Read More 

ChartWatchers

Energy vs. Utilities: 2 Sectors, 8 Groups, 28 Stocks

by Julius de Kempenaer

On the Sector RRG, the tails for Energy and Utilities stand out. The Utilities sector is positioned inside the improving quadrant, but started rolling over a few weeks ago and is now heading towards the lagging quadrant again... Read More 

ChartWatchers

Big Triangle Breakouts in Key Tech ETFs - How to Trade a Pullback

by Arthur Hill

After leading the market into February 2020, tech-related ETFs were hit with strong selling pressure into March and extended their corrections into May... Read More