Category: Stock Index Trading
The analysis published under this category are as follows.Friday, May 07, 2010
This Is For All You Stocks Bull Market Geniuses / Stock-Markets / Stock Index Trading
Figure 1 is the "Dumb Money" indicator. This is the same indicator I show every weekend in our report on sentiment; the indicator will updated this weekend. The "Dumb Money" indicator looks for extremes in the data from 4 different groups of investors who historically have been wrong on the market: 1) Investor Intelligence; 2) Market Vane; 3) American Association of Individual Investors; and 4) the put call ratio.
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Friday, May 07, 2010
Stock Market Micro Intraday Crash Shows Us Where The Safe Havens Are / Stock-Markets / Stock Index Trading
WOW…. Now that was an exciting day in the market!!
This day will be talked about for years to come and the individual who hit the wrong button (“B” for billion instead of “M” for million) to sell billions instead of millions will have a tough time finding another job… Maybe this person can do commercials for Microsoft Windows showing how one simple key stroke can crash a system… lol
Friday, May 07, 2010
S&P 500 Loses 1150 in Crash, Panic, Confusion...Error? / Stock-Markets / Stock Index Trading
Today was a day I'll never forget. The most interesting day in my market life. What can one say when a market falls 1000 points on the Dow. Let's go over the set-up and how things worked out. What we can take from today ultimately.
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Thursday, May 06, 2010
Is the Stock Market Wave 4 Correction Over? / Stock-Markets / Stock Index Trading
MortiES’ EOCinco de Mayo Analysis ~ Is Wave 4 over? That is the question. Take a look at the chart below and you decide. I’m 80/20 on it being over based on the four points made on the chart. But there is still a potential for more downside, so trade carefully. Nothing that happened today was unexpected. Our scenario from days ago is still intact, so I’ll continue to follow an analysis that has been pretty spot on for this W4.
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Wednesday, May 05, 2010
The S&P 500 went south and we cashed in our chips / Stock-Markets / Stock Index Trading
For some time now we have been concerned about the lack of upside momentum and the divergences that have been building in many key oscillators. We were also concerned that we'd reached a very important Fibonacci level which we pointed out in a recent video.
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Tuesday, May 04, 2010
Even Rangebound Stock Index Trading Provides Great Trades / Stock-Markets / Stock Index Trading
Range-bound trade is still the order of the day.
We’ll want to see how the market and leading stocks respond should they hit support at the blue lines.
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Wednesday, April 28, 2010
Stock Market Breaks Lower, Most 20-Day EMA's Gone...50's On Deck... / Stock-Markets / Stock Index Trading
Only the Nasdaq out of all of the major index charts is now still above its 20-day exponential moving average. It's above by just a few points thus its hanging by a thread. Not likely to hold. The S&P 500, Dow and total market, the WLSH, all lost their 20-day exponential moving averages today and did so on solid volume and a very poor advance decline line. The selling was real. The confluence of overbought daily and weekly charts across the board along with negative divergences on the daily charts and finally some poor sentiment conditions took over today. It was about time. The market was more than due for a beating but simply refused to sell off day after day.
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Thursday, April 22, 2010
MortiES’ EOD Analysis 21April2010 ~ Timid Bulls Pocketing Some Profits / Stock-Markets / Stock Index Trading
A little about myself. My name is John Trapp and I write for the "Value of Perfect Information" exclusively. Trading didn't look too difficult to me 22 years ago, so I began trading October 1987. After that experience and a break from trading, I tried again. This time I was going to be a Bear. Perfect for the 90's. So I didn't have a great start as a trader. I paid a lot for my trading education. I was thrilled when I could finally break even on a regular basis. Trading is an avocation for me - one that I take seriously, and one that I consider the most difficult endeavor I have ever undertaken.
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Wednesday, April 21, 2010
Short the S&P500, The Pain Trade / Stock-Markets / Stock Index Trading
A trading buddy and I frequently talk about the markets, and as always, the conversation turns to the "hardest trade". The "hardest trade" is that trade that has the potential to inflict a lot of pain, but ultimately in the end, it is the right trade. The pain trade is the hardest trade and the trade that yields the best results.
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Sunday, March 28, 2010
Gold and Dow Stocks Index Congestion Zone Trading / Stock-Markets / Stock Index Trading
Last week the general market continued to grind its way higher for yet another week. Overall I feel the market is very much over bought. We all know the market can stay in extreme overbought levels for extended periods of time making it very difficult to pick tops.
This is the reason I do not try to pick tops, but rather wait for a top to form before putting my money to work. While a bottom can be made in 1 day, tops tend to take days and some times months to complete.
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Friday, March 26, 2010
SP500 and Dow Short-term Trading, Bearish Head and Shoulders Pattern / Stock-Markets / Stock Index Trading
The market gapped higher this morning after yesterdays heavy selling. At this time the market (metals and indexes) are trading at resistance on light volume. This tells me people are a little spooked from yesterday and just do not want to buy at these lofty prices.
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Wednesday, March 24, 2010
Upmove in UltraLong SPY / Stock-Markets / Stock Index Trading
The remarkable series of higher lows in the ProShares UltraLong SPY (NYSE: SSO) remains intact this morning, despite the volatility in FX and precious metals. Yesterday’s pullback low was 41.73, while today’s low so far is at 41.93.
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Monday, March 15, 2010
Stock Market S&P 500 Uptrend Concerns / Stock-Markets / Stock Index Trading
This week could be shaping up to be an extraordinary week in the markets. I strongly recommend that traders everywhere take precautionary measure measures to protect capital.
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Saturday, March 13, 2010
Stock Market Dow Theory Update / Stock-Markets / Stock Index Trading
As equities moved into their January highs, a very short-term Dow theory non-confirmation developed. The Transports made their January closing high on January11th at 4,262.86 while the Industrials pressed higher marking their January closing high 5 trading days later at 10,725.43. On March 9th the Transports closed above their January high and this time around the Industrials have lagged. As a result, we now have another Dow theory non-confirmation that spans a couple of months in duration. It seems that this latter non-confirmation is getting some attention.
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Friday, March 05, 2010
Stock Market Some Bullish Indications / Stock-Markets / Stock Index Trading
The SPX (in red) is being outperformed by small caps, transports, retailers and technology off the February bottom. It is itself outperforming the Dow. This is a bullish, growth profile. Coupled with continued strength in the US Dollar this suggests significant outperformance of the US economy and US Dollar denominated assets. Further, this profile does not correlate with the prevailing worries over the quality of the economic recovery. Where sentiment and market performance are out of sync there may be opportunity present.
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Wednesday, March 03, 2010
Stock Market Doji's At The Top Of The Wedges..... / Stock-Markets / Stock Index Trading
Today we saw most of the major index charts hit the top of their wedges with doji candle sticks meaning the sellers caught up to the buyers at this major resistance area. The top of the wedge is key resistance the bears want to make sure doesn't get taken out and when you get doji's at critical resistance, this usually means some type of pullback is upon us. It doesn't mean the selling is going to be intense. In fact, my guess is that there won't be too much selling at all but you have to be prepared for some. It also tells you that you need to be patient with new plays. Lots of plays will set up but they need unwinding to do so.
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Tuesday, March 02, 2010
This Stock Market Indicator Had a "Green" Rating Yesterday / Stock-Markets / Stock Index Trading
Yesterday, the rise in the number of New Highs on the New York Stock Exchange reflected an increasing appetite for stocks and buying by investors.
Although we monitor and post nearly 3 dozen charts on our paid site every day, there are 9 specific charts that measure the "underlying fundamental" conditions of the market, and the number of New Daily Highs is one of them.
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Tuesday, March 02, 2010
Stock Market Pushing Higher From 20/50 EMA Support..... / Stock-Markets / Stock Index Trading
No, we still haven't made it cleanly through S&P 500 1115 or the next area of strong resistance but at least we moved higher once the S&P 500 and the rest of the critical index charts tested their 50- and 20-day exponential moving averages from above. You don't want to see those captured levels get taken back by the bears thus it was put up or shut up time for the bulls and today they surely put up. A nice strong bounce off those 20's and 50's. Just what the doctor ordered.
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Sunday, February 28, 2010
Stock Market Ends Week Flat Between Support and Resistance / Stock-Markets / Stock Index Trading
S&P ended the week flat losing 5 points, -0.4%.
This is a weekly chart
Saturday, February 27, 2010
Intraday and Swing Trading Gold and Stocks – How To Use Multiple Time Frames For Setups / Stock-Markets / Stock Index Trading
Acouple months ago I started providing more of my intraday charts in hopes to educate traders on current market conditions so they feel like they are “in the zone” for trading. It’s crucial to understand the intraday moves and volume levels if you want to be consistently profitable trader. It doesn’t matter whether you are day trading or swing trading, you must be following daily and intraday charts.
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