Daily Market Comments - January 2017
01/31/17 - Stock Market Comments
With the market indexes closing at the T-line yesterday, as mentioned yesterday, a simple trend analysis technique could be applied to today's trading. The uptrend required a positive open. Today's lower open indicated the T-line was not acting as support, more downside would be expected.
01/26/17 - Stock Market Comments
Today's positive trading in the markets is an inference that yesterday's breakout through the resistance level of the past two months was not a fluke.
01/25/17 - Stock Market Comments
Dow 20,000! Is that the top? Obviously that was the psychological target. What will be investor sentiment reaction now that it has breached that level? That answer is much more clearly defined when analyzing what the candlestick chart looks like.
01/23/17 - Stock Market Comments
The slow sideways drift of the markets, not showing any bullish or bearish force over the past three weeks, looks like it wants to move sideways until the 50 day moving average catches up. Friday's positive trading followed by today's selling continues to keep the indexes waffling in the T-line area. Many people ask, what does this indicate? Simple! The market has no direction. The trading strategy remains the same, utilize the strong candlestick bullish and bearish charts to maintain positions. Gold and silver stocks continue a strong uptrend. Have both long and short positions in the portfolio.
01/20/17 - Stock Market Comments
The positive trading so far today is more illustrative of a sideways moving market leading up to the inauguration. More than likely the market activity will come to a standstill after lunch. Nothing new in the trading prognosis, stay long in the strong candlestick pattern charts that remain above the T-line, stay short in the bearish charts remaining below the T-line. Monday will likely be the day to show which direction the markets plan to move from here.
01/19/17 - Stock Market Comments
The markets are still in a wait and see mode. The Dow is trading slightly lower, the NASDAQ is relatively flat, the S&P 500 relatively flat, but the transportation index is up strong today. This lack of direction in the market is continuing to allow candlestick patterns to work effectively, i.e.MBLY and KMT J-hook patterns. Continue to stay predominantly long but there are still good short positions available, PIR.
01/18/17 - Stock Market Comments
The NASDAQ trading positive, the Dow trading negative, neither with any great resiliency, indicating there is no major change of investor sentiment. This still implies that each stocks/sector is still the predominant analysis. Gold stocks continue their uptrends, still in a scoop pattern slingshot uptrend. The fact that there is no major movement in the market in general continues to make the T-line the predominant trend factor.
01/17/17 - Stock Market Comments
Although the markets are trading lower today, they are trading indecisively. The NASDAQ is still above the T-line, the S&P 500 right on the T-line, and the Dow trading just below the T-line. Without any major change of investor sentiment, strong chart patterns are still acting strong. The T-line remains a relevant factor when analyzing the current trend.
01/13/17 - Stock Market Comments
The NASDAQ continues to show good solid uptrending. The Dow and S&P 500 remain consistently at the T-line area. There is no signs of bearishness in this market, expect a stable/uptrending market to continue. This is allowing the strong candlestick patterns such as frypan bottoms to continue to produce profits, i.e. KLIC and PAH. The biotech sector remains strong. Stay predominantly strong with long positions being targeted to the strong sectors.
01/11/17 - Stock Market Comments
It has been pointed out by a few new members that the big rally since election day, which had produced some very big profits because of the strong up move was not necessarily conclusive that there was any benefit to candlestick signals. But the revelation that strong profits are still being made even when the market has gone into a flat stage was more indicative of the information revealed in candlestick signals and patterns. This should be the underlying conclusion when understanding the benefits of candlestick signals.
01/10/17 - Stock Market Comments
The early selling in the Dow and S&P 500 continues to be offset by the slow consistent buying in the NASDAQ. Now with all the indexes trading positive, it clearly demonstrates there is not yet any dramatic change of investor sentiment, the slow bullish uptrend remains in progress. This allows the strong candlestick charts to continue to perform without the influence of any strong bearish sentiment participating in the overall market. Strong candlestick bullish patterns continue to produce good profitable trades.
01/09/17 - Stock Market Comments
Sectors are the main factors during this market trend. That is clearly illustrated by the fact that the Dow is down and the NASDAQ is trading positive. There is no change of investor sentiment in the overall market. But there are specific sectors that are showing strength. The easy candlestick scanning techniques allows investors to pinpoint which sectors are the strongest bullish sectors and which are the strongest bearish sectors.
01/06/17 - Stock Market Comments
The T-line continues to act as a strong support for the market indexes. The NASDAQ is showing the most strength as it is moving into new high territory. Strong candlestick signals are still showing where the high probability trades set ups are occurring. 01/05/17 - Stock Market Comments
01/05/17 - Stock Market Comments
The Dow and S&P 500 are down slightly, the NASDAQ is up slightly. What does this indicate as far as investor sentiment? Nothing! No major change of investor sentiment, no major change of the current trend. Merely money shifting from sector to sector. The gold and oil sector still remain strong.
01/04/17 - Stock Market Comments
Although today's positive trading doesn't show any great resiliency, it is showing good bullish candlestick signals both in the S&P 500 and the NASDAQ. The NASDAQ is illustrating a bullish flutter kicker type signal. If the NASDAQ closes above the T-line today, it will be providing more evidence the slow steady uptrend remains in progress with healthy profit-taking occurring along the way. Trading strategy remains the same, stay predominantly long and remain short in positions that are not showing buy reversal signals.
01/03/17 - Stock Market Comments
After coming out of the chute with good strength today, the market indexes have backed off. Crude oil open strong but then had a major reversal. Although the initial strength of this morning has dissipated, the candlestick charts continue to reflect a major overall bullish sentiment. This was the attitude of the market trend prior to today's new year trading.