A Clean Observation Path

02Oct11:51 amEST

Walk the Line with Joaquin Barreling Down

Yesterday we discussed how the small cap ETF for the Russell went ahead and filled its Wednesday morning gap at $107.78. The Nasdaq in the QQQ and S&P in the SPY, however, did not. With dip-buyers out attempting a reversal in the broad market today, namely in biotech, I am keying off that IWM gap as a good dividing line insofar as determining...

02Oct10:18 amEST

The Pacific Will Be Our Theater of War

On a nightly basis, Members have been honed in on the price action of the Japanese Yen, as it is usually inversely correlated to equities and, indeed, global risk appetite. Specifically, we have been keying off the Dollar/Yen cross, where the Yen is the denominator and the chart can move directly with equities, for example. But to simplify...

01Oct4:58 pmEST

Stock Market Recap 10/01/15 {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...

01Oct2:50 pmEST

Complacency Before the Storm

In the wake of Hurricane Joaquin, which just strengthened to a Category 4 as it pounds the Bahamas, many of the classic "hurricane plays" are categorically not swirling higher. GNRC, the firm which sells backup generators, was up this morning and is now off nearly 3%. Natural gas continues to weaken, a perennial disappointment for...

01Oct12:23 pmEST

Commodities Came Down with a Classic Case of Pre-Halloween Diabeetus

Lost in the shuffle of the natural gas swoon as well as the metals and crude oil whipsaws has been the resurgent strength in sugar, taking over the reigns in the soft commodity complex while cocoa pulls back after a summer rally. Using the SGG ETN as a rough proxy, below on the daily timeframe, note the sharp rally this week in sugar. The...

01Oct10:21 amEST

There is Beauty in That Decay

Leveraged ETFs such as NUGT (triple-long GDX, senior gold miners) and TZA (triple-short IWM, the Russell's small cap stocks), as well as FAZ (triple short XLF, financial sector) all reversed-split. Inside Market Chess Subscription Services on the private Twitter feed this morning, we are fleshing out strategies about how best to incorporate...

30Sep5:12 pmEST

Stock Market Recap 09/30/15 {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...

30Sep2:09 pmEST

Jack's Back

News just hit of Twitter naming Jack Dorsey as the permanent CEO. Typically, the market despises uncertainty, and celebrates concrete matters, even if bad (at least the known bad issues can be then discounted properly). In the case of Twitter, leadership sure seems to have been lacking for a good while. Whether Dorsey can turn the tide and...

30Sep12:49 pmEST

A First Class Setup

Airline stock AAL is getting whacked into a broad market rally today on the back of a Goldman Sachs downgrade, not to mention American and Rolls-Royce dissolving a partnership yesterday. But beyond that, American is at a critical juncture on a multi-year basis, after airlines have staged a shocking rally in recent years considering how hated...

30Sep10:12 amEST

A Clean Observation Path

With the gap higher this morning, the S&P 500 looks to obeying a well-defined falling channel since the FOMC Announcement two weeks ago. On the hourly chart, zoomed-out, of the SPY (ETF for the S&P), below, note the light blue lines illustrating how price has been respecting those channel lines. A breach and hold to the upside, say over $192...