Daily Market Comments - April 2013
04/30 - Stock Market Comments
The Dow is selling off but the NASDAQ is holding up. This is an indication that today's trading is merely some profit-taking, not a change of investor sentiment of this market trend. Continue to use the T-line as an important factor for taking profits or closing out positions. Keep in mind, an uptrend usually experiences selling in the morning and buying in the afternoon.
04/29 - Stock Market Comments
The markets have started the week of a positive note. But they have not done so with any great exuberance, making the slow steady uptrend still in progress. Continue to hold long positions until there is a definite change of investor sentiment. At this point, a dramatic sell signal will probably be required to alter the last two months of steady uptrend. The NASDAQ and the S&P 500 are approaching recent highs.
04/26 - Stock Market Comments
Today is Friday! Usually a day where the markets are going to do anything significant. As we can see, although the market is slightly lower, it is not demonstrating any massive selling today. Plus numerous stocks are still trading positive. This merely indicates profit-taking occurring today. Fortunately numerous stocks are still trading positive based upon strong candlestick charts. Friday is a perfect example of why you want to learn how to scan for picks each day.
04/25 - Stock Market Comments
There is nothing new to report in Thursday's trading. The uptrend remains in progress based upon no sell signals showing up in any of the indexes and the stochastics indicating the uptrend still has a few more days. This would make the recent highs a logical target for each of the indexes. At that time, it will become necessary to see what type of signals are occurring at those levels.
04/24 - Stock Market Comments
Wednesday's trading is illustrating profit-taking. At times, the Dow has been trading positive while the NASDAQ is been trading negative. At other times the Dow has been trading negative while the NASDAQ is been trading positive. Currently, it can be seen that the selling in any of the indexes is not occurring with any great strength.
04/23 - Stock Market Comments
Tuesday's strength in the markets have brought all the indexes back up through the T-line. The Dow has created a MorningStar type signal at the lower end of the trend channel. If it closes above the T-line Tuesday, the probabilities are extremely good that the uptrend will be in progress. Obviously, the long-term bullish sentiment has not been altered. A healthy market is one where the profit-taking is occurring along the way.
04/22 - Stock Market Comments
Both the NASDAQ and the S&P 500 have nudged the T-line Monday but have not gone through. The halfway point of Friday's bullish Harami will be an important level to watch. The uptrend will indicate it is in progress provided the indexes remain relatively positive today.
04/18 - Stock Market Comments
The Dow and the NASDAQ are trading below the T-line, the S&P 500 is sitting right on the T-line. Stochastics indicate more potential downside. Long positions should be watched closely and a few more short positions can be added to the portfolio. Currently there is no bullish investor sentiment in this market. Long positions should have compelling charts to stay long.
04/17 - Stock Market Comments
The lack of follow through on Tuesday's bullish trading implies the Bulls have no more control of the trend than the bears do right now. As observed, the market has had periods of flat trading over the past few months. A big down day after a big up day after a big down day what's the markets direction back in the mode of sideways. This would once again produce a trading strategy of having both long and short positions in the portfolio.
04/16 - Stock Market Comments
Be careful, although the market is showing good strength this morning, none of the indexes are able to get back up above the T-line yet. The Dow nudged the T-line at its high but could not go through. Investor sentiment needs to show that yesterday was a knee-jerk reaction and that the Bulls are still in the market. This will become more evident at the end of the day.
04/15 - Stock Market Comments
The hanging man signal in the Dow on Friday provided a directional format based upon how the market opened this morning. Obviously, the weaker open confirm the hanging man signal, making a pullback to the T-line a likely prospect. It will be important to see how the market closes Monday.
04/12 - Stock Market Comments
The expected profit-taking is setting in the day. But the lack of aggressive selling indicates Firday is merely profit-taking, not necessarily any major reversal of the uptrend. Be willing to take some profits in chart patterns that have gotten extended to the upside.
04/11 - Stock Market Comments
After a strong breakout in the markets Wednesday, it could be expected that there be some profit-taking Thursday. However, the Bulls apparently are still in control of this trend, not letting a lot of selling pull the market back. Stay long, but be nimble. If exuberance starts coming into the markets, be prepared to take profits.
04/10 - Stock Market Comments
Wednesday's positive trading in the markets is the expected follow-through of Tuesday's positive trading that formed a cup and handle type set up in the Dow. All the indexes are trading higher, indicating buying across-the-board versus merely specific sectors.
04/09 - Stock Market Comments
Tuesday's wildly exciting market continues to demonstrate there is no aggressive pressure on the bullish side or the bearish side. This merely means the market trend is not going to be an influence on positions whether long or short. Continue to own long positions that show good chart patterns. Continue to own short positions that are showing good bearish patterns.
04/08 - Stock Market Comments
Monday's trading indicates a lack of a change of investor sentiment. The Dow is down, the NASDAQ is trading positive. This indicates nothing has altered the current market trend. Continue to remain long and short in the portfolio.
04/05 - Stock Market CommentsThere will be conditions in a market trend that make it difficult to analyze which direction the market is going. That is what we have been experiencing for the last few weeks. Over the past few days, although the Dow continue to trade above the T-line, the NASDAQ and the S&P 500 showed sell signals and closes below the T-line.
04/04 - Stock Market Comments
Although the Dow is showing good strength of the open, the S&P 500 in the NASDAQ are not showing any signs of bounce. If you look at the index charts in general, it becomes obvious that the trend of this market continues to be sideways at best.
04/03 - Stock Market CommentsAlthough there has not been any great movement in the market so far this morning, many stocks that lollygagged Tuesday are picking up good strength Wednesday. This is the reason you want to continue to stay with patterns and not get excited about day-to-day price movement.
04/02 - Stock Market Comments
Although there has not been any great movement in the market so far this morning, many stocks that lollygagged Tuesday are picking up good strength Wednesday. This is the reason you want to continue to stay with patterns and not get excited about day-to-day price movement.
04/01 - Stock Market Comments
Monday's trading is demonstrating weakness on the open. However, there does not seem to be any urgency to get out of the market. A positive open today would have indicated a breakout of a rounding bottom pattern in the Dow, NASDAQ, and S&P 500. Currently, Monday's selling has not shown any reversal signal, nor has it breached the rounding bottom pattern trajectory.