Follow the Sky Down

08Oct2:54 pmEST

See the Wilshire for the Trees

Considering how easy it would be to cherry-pick some of the many divergences and crosscurrents equity markets are currently featuring, let's stay objective and zoom out with the Wilshire 5000 Total Market Index, a market-capitalization-weighted index of the market value of all stocks actively traded in the United States. On the daily...

08Oct12:27 pmEST

Read Up on Prior Commodity Bottoms

Amid the flurry of oversold rallies in the industrial/materials/energy complex, it is worth noting that commodities can often base out, net-net, for several months to several quarters before beginning a new bull charge higher, notwithstanding the many V-shaped rallies we saw off the March 2009 lows. That basing scenario would also fit neatly...

08Oct10:28 amEST

Feel the Colorful Burn

There is almost a certain art to the way in which momentum darling stocks in the market behave when they have truly changed course. After conditioning action-seeking traders to pounce on every slight pause or pullback to go long, for a good while, these stocks suddenly cannot do a better job of setting traps to stuff in traders who form the...

07Oct5:11 pmEST

Stock Market Recap 10/07/15 {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...

07Oct2:40 pmEST

Three-Card Monte Market

As the S&P 500 Index continues to deal with its first 50-day simple moving average test since August, we are seeing a three-card monte rotation game below the surface. Capital has been shifting back-and forth-between the perennially weak industrial/materials/energy complex and the suddenly beaten-down biotechnology and healthcare space. Come...

07Oct12:41 pmEST

Lining Up for the Same Shot

It may seem a bit too obvious, but the S&P 500 Index is reversing roughly where it did back on the FOMC reversal day on September 17th. On the daily chart of the S&P ETF, below, note the arrows pointing toward the prior an current examples. With several hours left to go in today's session, and biotechnology stocks staging a sharp reversal off...

07Oct10:32 amEST

They're Getting Beat Making a Run for the Border

In the wake of Yum! Brands taking it on the chin after earnings, with China concerns a major drag, it is worth noting that the Taco Bell owner hd already bee sporting a very steep up-trending must-year chart. The monthly chart for YUM, below, illustrates that point, as the stock has been in a strong uptrend since the turn of the century. ...

06Oct4:46 pmEST

Stock Market Recap 10/06/15 {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...

06Oct2:38 pmEST

Careful with That Silver Spoon

The close in the silver ETF today, pictured below on the daily timeframe, should be a big one as the precious metal gaps up to both its declining 200-day moving average as well as above its upper Bollinger Band to overbought conditions. As you can see, silver has confirmed an inverse head and shoulders temporary bottom. But the key is now...

06Oct12:34 pmEST

Follow the Sky Down

Lost in the shuffle of the biotech carnage, again, today, is momentum darling semiconductor SWKS getting whacked again. With this in mind, an earlier idea from this morning inside Market Chess Subscription Services was to short another darling in the sector, NXPI. On the daily chart, below, note the NXPI setup as price remains below all major...