Starbucks Breakdown

By | July 17, 2014

Starbucks (SBUX) was up over 13% from its May low to its July high. The rally formed a clear uptrend line on the daily chart and today that support was broken decisively with the stock price closing near its low. First downside target is the gap in the $76.00 area, just above the merge of… Read More »

American Express Channel Breakdown?

By | July 17, 2014

I highlighted the chart of American Express (AXP) at the beginning of the week. The high wick rejections at the top of the channel were warnings signs and now the stock is breaking below channel support. It has been a volatile day, so waiting for a daily close in lower candle range for confirmation.

McClellan Oscillator Divergence

By | July 17, 2014

The charts are rife with divergences and here are a few more. The McClellan Oscillator, a MacD like measurement of net advancing stocks, has been moving lower as the S&P 500 has been moving higher, also declining is the number of stocks in that index above their 50 day moving average.

Dollar Fund Testing Resistance

By | July 16, 2014

I mentioned a potential bottom in the PowerShares US Dollar Index Bullish Fund (UUP) on the weekly chart two weeks ago when it was testing support, and two weekly candles later it is testing resistance. Average true range and Bollinger bandwidth are very tight and a breakout, if it occurs, could be volatile. Remember this… Read More »

Steel Dynamics Triangle Breakout

By | July 16, 2014

The 2013 high in Steel Dynamics (STLD) was a retracement of half of 2008 range decline, and since then the stock has been consolidating in a large symmetrical triangle pattern. Last week it bounced off the merge of its 50 and 200 day moving averages, and today it penetrated the triangle downtrend line. A close… Read More »