Daily Market Comments - March 2014
03/31 - Stock Market Comments
Monday's positive trading now forms a slow curve pattern in the Dow. Once again, a strong uptrend is in the making provided the markets close at the top of their trading ranges Monday. The NASDAQ still requires a close above the T-line to show that the Bulls have taken complete control of the trend. Any short positions should be closed if they are producing candlestick buy signals.
03/27 - Stock Market Comments
The markets continue to demonstrate a lack of decisive move. The market nature remains the same, strong sectors up, weak sectors down. Until the market indexes show a consensus of bullish or bearish strength, continue to have both long and short positions in the portfolio.
03/26 - Stock Market Comments
Again, the markets are not showing any consistent movement in one direction or the other. Although the Dow is trading positive, the NASDAQ is trading below where it opened although it is trading positive on the day. Candlestick graphics allows an investor to clearly see whether there is strength or a weakness after the market open. Continue to stay both long and short.
03/25 - Stock Market Comments
The prognosis remains the same, the markets are still indicating a lack of direction. As long as the sideways motion of the market process, continue to have both long and short positions in the portfolio.
03/24 - Stock Market Comments
The market indexes continue to demonstrate a lack of decisiveness. The Dow is trading positive and the NASDAQ is trading negative. This indicates the sideways mode of this market still persists. Continue to have both long and short positions in the portfolio.
03/21 - Stock Market Comments
The markets are exhibiting the slow uptrend mode, the Dow is up while the NASDAQ is down, merely shifting funds in a trending market. Continue to stay both long and short in the portfolio.
03/20 - Stock Market Comments
Currently the markets are producing characteristics of an uptrending market, selling early followed by the buying. The Dow was the only index yesterday that closed below the T-line. These market conditions still warrant having both long and short positions in the portfolio. There are plenty of good opportunities in both directions.
03/19 - Stock Market Comments
With the indexes trading above the T-line, it has to be assumed the uptrend remains in progress. However, Wednesday's trading currently indicates consolidation, resting a little bit after a strong reversal. The portfolio should be biased toward the long side with short positions still in the portfolio.
03/18 - Stock Market Comments
Tuesday's positive trading is bringing the Dow, the S&P 500, and the NASDAQ back up above the T-line. Stochastics are now curling back up. Short positions should be covered if they are coming back up through the T-line. If this uptrend is confirming, Tuesday's trading needs to close near the top end of the trading range.
03/17 - Stock Market Comments
Although the market is trading up strong Monday, still be aware that all the indexes reversed around the T-line area and starting to trade back down. Stochastics are still heading in a downward direction. This market still has to be considered in a downward trend until there is a close above the T-line. Continue to have both long and short positions in the portfolio.
03/14 - Stock Market Comments
Free careful of Friday's bounce to the upside. The Dow has come back up and tested the 50 day moving average but does not seem to want to go any higher than that. Keep in mind, the bigger the reversal signal, the more compelling there has been a change of investor sentiment. Stochastics are still heading in a downward direction and appeared to be able to stay in a downward direction until support levels are reached.
03/13 - Stock Market Comments
The positive trading Thursday confirms the hammer type signals witnessed in the Dow and the S&P 500 right at the T-line. A positive trading Thursday will continue to add evidence that the T-line remains the uptrend support. However, the selling of the past few days indicates a possible topping area. It will be prudent to have a couple of short positions in the portfolio.
03/12 - Stock Market Comments
The lower trading in the Dow yesterday confirmed the hanging man signal. Wednesday's lower trading confirms the fact that the T-line is not holding. Expect a few more days to the downside with the anticipation of the support level being the 50 day moving average. Close out long positions that are trading below the T-line.
03/11 - Stock Market Comments
The market indexes continued to show the same characteristics as previously seen during this uptrend. Early-morning selling, testing the T-line, followed by buying. The prognosis remains the same, as long as the indexes do not close below the T-line, the uptrend remains in progress.
03/07 - Stock Market CommentsThe markets continue to show sector specific trading. The Dow is trading positive Friday the NASDAQ is trading negative. That has been the nature of the market for the past four weeks. The evaluation of each individual stock chart becomes the important factor. Stay predominantly long but close out long positions that are showing profit-taking.
03/06 - Stock Market Comments
The market trend is now remaining consistent enough that more emphasis should be placed upon individual stocks/sectors. The whole uptrend has been accented as a stock/sector specific market. Fortunately, this makes the utilization of candlestick scans very profitable.
03/05 Stock Market Comments
Wednesday's profit-taking is obviously expected after a huge update like Tuesday. However, Wednesday's selling needs to demonstrate merely profit-taking. Another big down day would illustrate huge indecision between the bulls and the bears. Whether huge oscillating days or a Doji day, the implication is the same, indecision.
03/04 Stock Market Comments
Observe the obvious, Monday's selling was merely a reaction versus a change of investor sentiment. The lack of confirmation from the candlestick confirming indicators made Monday's selling still requiring further confirmation.
03/03 Stock Market CommentsWatch for the knee-jerk reaction today, although the market indexes are off hard on the initial opening, there are pockets of buying. Keep in mind, this market was in an uptrend. The intraday charts should indicate when/if buying starts coming back into the market in general. Do not overreact to the initial open, watch to see what the market is going to do going into the latter part of the day.