Stock Market Recap 12/10/14 {Video}

12Dec11:54 amEST

Big Blue Dinosaur Close to Extinction

The major topping pattern on IBM, seen below on the monthly chart, continues to assert itself. "Big Blue" is a huge weighting in the Dow Jones Industrial Average, and you can see the highlighted head and shoulders top already confirmed. I have a target of $130 and maintain it, as value investors from higher levels are trapped. Below $160, and...

12Dec12:28 amEST

Late Night Strategy for Friday

In addition to casual dining plays like RRGB TXRH, in the software space keep an eye on RUBI as another long idea on strength. If the IPO from last April can clear $15, seen on the first daily chart below, combined with a broad market which cooperates, I would look for a breakout higher. But if we see broad market downside follow-through to...

11Dec4:49 pmEST

Stock Market Recap 12/11/14 {Video}

The following video contains coverage of relevant broad market issues (for equities) in addition to plenty of actionable trading ideas across other asset classes. Feel free to pick and choose which ideas and parts of the analysis fit your style. Always properly manage your downside portfolio risk for any trades taken. Enjoy tonight's...

11Dec3:48 pmEST

Dramatic Reenactment of Oil Men Being Humbled

"After all these years, I finally whipped J.R. Ewing." More in my video market recap after the bell. See you there.

11Dec2:30 pmEST

The Endgame for Oil Wars

While equities are still largely bouncing this afternoon, even if quite a few parts of the market are off their highs, crude oil remains in search of a bottom. On the monthly chart for crude futures, below, note the significance of the $60 level, going back many years. Of course, we have to then go to the next level of thinking, considering...

11Dec1:10 pmEST

Separating Illusion from Reality

The zoomed-out 30-minute chart for the Russell 2000 Index ETF, below, pretty much illustrates the wild swings (or "violent indecision" on the part of market players) we have seed in the tape for a good while now. Eventually, the marker will distinguish the illusion from reality, in terms of whether we are topping or instead gearing up for an...

11Dec11:16 amEST

Bringing Home the Bacon with These Two Ideas

I am skeptical of the market bounce so far, as it has the hallmarks of a temporary relief rally. The Russell 2000 Index closing over 1,190 would change that thesis to be more bullish, though. In the meantime, if the market rally continues I still have my eye on RRGB, one of the better casual dining long setups. On the first daily chart, below,...

11Dec10:25 amEST

Cutting Two Early Losers; Chess Moves

As you might imagine, I do not like the action in both natural gas and the biotechnology sector this morning, relative to the long and short positions I hold in each, respectively. Because my style is to religiously keep losses contained, I cut both positions here. I sold UGAZ in front of the natural gas inventory report at $8.68 from the $9.04...

11Dec12:46 amEST

Late Night Strategy for Thursday

On the long side, BKW is back in contention after Wednesday's stunning outperformance to the bloody market sell-off. On the first daily chart, below, a move back over $35 can trigger a long starter position, especially if the broad market is in bounce-back mode. And on the short side, extended airlines like UAL printed exhaustion candles, seen...

10Dec5:24 pmEST

Stock Market Recap 12/10/14 {Video}

The following video contains coverage of relevant broad market issues (for equities) in addition to plenty of actionable trading ideas across other asset classes. Feel free to pick and choose which ideas and parts of the analysis fit your style. Always properly manage your downside portfolio risk for any trades taken. Enjoy tonight's...