All Eyes on Prior Support

03Feb12:39 pmEST

The Bridge to Cross This Afternoon

As quaint as it may seem, the $100 level on the IWM (ETF for the small caps in the Russell 2000 Index) is likely shaping up as the bridge to cross for bulls to make any meaningful progress beyond the bounce off this morning's lows. The $100 level has acted as support in what has been a bit of a rugby scrum in recent weeks as bulls and bears...

03Feb10:42 amEST

Japan Losing the Battle of Midway Versus Its Own Currency

Despite going to the extreme measure of negative interest rates, the Bank of Japan has not been able to keep the Japanese Yen down for very long. As we have discussed previously, the Yen is often seen as an inversely-correlated currency to thriving global risk appetite, which means when the Yen rises it is often seen in conjunction with falling...

02Feb5:08 pmEST

Stock Market Recap 02/02/16 {Video}

The following video is a brief, condensed version of the Stock Market Recap which I present each evening to members of Market Chess Subscription Services . In the longer version, I offer tons of actionable trade ideas, educational content, and in-depth objective analysis across all markets. If you enjoy my videos and blog posts, then please...

02Feb2:42 pmEST

Stop Being a Nosy Fellow!

In the first few weeks of 2016 we looked at the water utility, AWK, in a bullish light in this blog post , due to overall chart structure and, of course, the suddenly chic theme of water. Since then, the stock has enjoyed a nice rally, defying the market weakness along with other defensive types of names. Now, however, it is widely-known...

02Feb11:56 amEST

Big Tree Fall Hard

With financials weak once again, and potential major red flags like DB unable to find a bid below its 2008 crash lows, LendingTree remains a viable short idea. On the updated daily chart, below, big TREE has had several weeks to grind back up and alleviate some short-term oversold conditions. Earnings are not for another few weeks, and if TREE...

02Feb10:35 amEST

Light and Tight Are Right

In this market environment, keeping positions light while also keeping a general tight leash on all trades has served us well in terms of not over-extending ourselves into a myriad of overnight gaps, either way, in recent weeks. As we discussed for Members this morning, it is apropos that on Groundhog Day stocks are faced with the same task of...

01Feb5:05 pmEST

Stock Market Recap 02/01/16 {Video}

The following video is a brief, condensed version of the Stock Market Recap which I present each evening to members of Market Chess Subscription Services . In the longer version, I offer tons of actionable trade ideas, educational content, and in-depth objective analysis across all markets. If you enjoy my videos and blog posts, then please...

01Feb3:36 pmEST

Over-Under on the Half Underwater Market

For at least the last few sessions, crude oil and equites have detached a bit from a previously very sensitive correlation. While I would not assume the correlation is finished, once and for all, it may very well buy bulls a few more days of a relief rally, especially with the S&P 500 Index on track to close back over its 20-day simple moving...

01Feb12:43 pmEST

Someone Talked!

Stocks failed to follow-through on some boucle attempts this morning, as bulls and the potential to really trap in bears shorting the weak open. True, FB GOOGL NFLX PCLN TSLA are firmly in the green here, but below the surface not much else is moving with upside energy. Speaking of energy, another issue this afternoon will be whether the crude...

01Feb10:50 amEST

All Eyes on Prior Support

Some major market leaders like NFLX and TSLA are back down to prior important price levels, in terms of buyers showing up previously to defend the growth leaders against further significant breakdowns. Given the opening move lower this morning in the broad market, it is likely all the more important now for buyers to defend this names in order...