Daily Market Comments - November 2013
11/22 - Stock Market Comments
The markets have an opportunity to take some profits today after the big day of Thursday, however it can be seen that the Bulls are following through again Friday. This is keeping all the indexes up above the T-line. Very simple analysis, the uptrend remains in progress as long as they do not close the indexes back below the T-line.
11/21 - Stock Market Comments
Thursday's trading, in the indexes reveals the T-line is still a very viable trend indicator. Continue to hold long positions but also have some short positions in the portfolio. The market, although in a slow steady uptrend continues to have sectors that are picking up strength as well as other sectors that are starting to roll over. Be selective.
11/20 - Stock Market Comments
The markets remain in indecision mode. Each day one index is up while another is down. But the overall trend direction is still up. There will be a lot of backing and filling and sectors/stocks that have had good runs over the past few months. New sectors are now starting to come to life. Do not hesitate to take some profits and shift funds to new trade sectors.
11/19 - Stock Market Comments
Numerous stocks continue to show some backing and filling but not any major selling pressure. This is evident in the indexes. The Dow continues to trade higher while the S&P 500 trades relatively flat. Tuesday the NASDAQ is trading positive, indicating it is trying to support on the T-line. Overall, this illustrates there is no change of investor sentiment, the slow uptrend remains in progress.
11/18 - Stock Market Comments
While the Dow is trading positive, the NASDAQ and the S&P 500 are trading negative. This does not necessarily imply anything major as far as a change of investor sentiment. This clearly represents profit-taking in some areas of the market without any major change of investor sentiment. Continue to hold long positions as long as there is not any severe sell signals developing in the markets. All three indexes appear to be in midrange of wave three coming out of J-hook patterns.
11/15 - Stock Market Comments
The slow uptrend of the Dow creates a healthy trading environment. The uptrend has been consistent for the past two months, staying consistently above the T-line. When the market indexes are not showing exuberance, just a slow uptrend, it allows individual stock positions to start breaking out into big gains because investor confidence continues to build up. Stay long as long as we do not start seeing big up days in the indexes. That would be an indication that the exuberance has come in at the top.
11/14 - Stock Market Comments
The prognosis remains the same, there is no evidence yet that the Bulls have left this market. The strength of this market continues to be revealed by selling in the morning and buying in the afternoon. Continue to hold long positions that remain above the T-line. The first signs of a reversal will be made clear with evidence of exuberance starting to come into the market. Thursday has shown a few stocks that have gapped up strong, indicating investors becoming very comfortable with the uptrend. Stay nimble.
11/13 - Stock Market Comments
The Dow is down and the NASDAQ is down, is this market selling off? The Dow is currently trading right at the T-line. The NASDAQ, although trading lower, is trading positive from where it opened. This logically implies there are still buying pressures in this market. The current uptrend remains in progress until a candlestick sell signal and a close below the T-line appears in the indexes.
11/12 - Stock Market Comments
The Doji rule, if the market opened higher Tuesday, a Doji sandwich was in progress. This would indicate a breakout into new high territory. A lower open Tuesday would of suggested the resistance levels had acted as resistance again in the markets would be backing off.
11/11 - Stock Market Comments
After a big bullish day as seen on Friday, profit-taking would not be unexpected. However, currently there is no big signs of aggressive selling/profit-taking. The basic trend analysis remains the same, as long as the indexes are trading above the T-line, the uptrend remains in progress.
11/07 - Stock Market Comments
Thursday the NASDAQ is giving us a more clear message. It is trading down heavily and trading below the T-line. The Dow has been maintaining strength but is showing a possible Doji type day close enough to the top of the current trend channel that it needs to be watched. There are still numerous stocks trading positive but the markets are in an area where it is time to act cautiously.
11/06 - Stock Market Comments
The J-hook pattern in the indexes are now in progress. The confirmation needed will be the markets closing at the high end of their trading range Wednesday. If so, that puts the Dow above the current resistance level, making wave three a very likely prospect. Continue to stay long but do not want to see the markets come back down through their open prices Wednesday.
11/05 - Stock Market Comments
It will be crucial for the markets to close back up above the T-line Tuesday. Otherwise, a close below the T-line would be evidence that the recent highs were resisting at the top of the trend channel. If this market closes down near the lower end of its trading range today, be prepared to take some profits on long positions.
11/04 - Stock Market Comments
Note the small J-hook pattern setting up in the Dow. This could imply that the wave three of the J-hook is now going to take these markets up through the resistance levels. Continue to stay long as long as there is no close below the T-line.
11/01 - Stock Market Comments
The profit-taking mode started two days ago when the Dow just touched the top of the trend channel. The NASDAQ is showing more compelling selling currently with two bearish left/right combo's and trading below the T-line. With the indexes trading right on the T-line at this point, it will be very important to see how Friday's trading is going to be going into the close. Be prepared to take profits on further weakness Friday.