It did look like the market was in bearish transition, but like I said in the linked article, “Watch for a breakdown from these daily support levels as confirmation of the reversal action on the weekly chart.” Confirmation is crucial in technical trading. The Dow Jones Industrial Average was testing the support line of a… Read More »
At 1:50 on Wednesday, the first of two high wick or long upper shadow candles formed on the ten minute SPDR S&P 500 (SPY) chart. It looked like a tradeable pullback was coming, similar to the one that followed the eveningstar reversal pattern that formed just after 11:00 and took price back to the VWAP,… Read More »
The S&P 500 index was down 0.12% for the month and a second small doji candle formed on the chart. A doji has a narrow opening and closing range and represents an indecisive struggle between buyers and sellers, and they are often seen at transition points in the market. Two consecutive dojis on a monthly… Read More »
The major market indices pulled back sharply in the first hours of trading today, but between 11:00 and 12:00 they began consolidating in a horizontal channel that can be seen on the ten minute chart. They powered back higher in the next hour, consolidated again and finished the session back near their highs. The early… Read More »
Tesla (TSLA) shares can accelerate forward really quickly and then go into reverse equally as fast, just take a look at the ten minute chart. When Elon Musk tweeted out at 11:23 today that there would be a product announcement at 3:00, shares of the stock took off, but when the announcement came at around… Read More »
The market traded in a narrow range all day continuing a pattern that began in the last half of Friday’s session. The thirty minute chart shows the contracting ribbon of Bollinger bands and the Bollinger bandwidth indicator at the bottom of the chart, which is at a level not seen since late April and which… Read More »
The S&P 500 head and shoulders pattern neckline has been broken but only an intraday basis and that is important to remember, because a rally into the close today that creates a hammer candle at this key technical level will completely reverse the appearance and the interpretation of today’s movement in the index. That said,… Read More »
The talk on CNBC is that the proximate cause of today’s intra-day reversal was the result of comments made by Carl Icahn this afternoon on their network. Let’s go to the charts…. Ok, no argument from me. Tomorrow may be a good time for some positive push-back by a Federal Reserve Governor.