Chart of the Day: A Difficult Environment
[dc]O[/dc]ne of the advantages of using properly calibrated bands is that they can show when markets reach emotional price extremes. It should be rather unusual for a market to go…
[dc]O[/dc]ne of the advantages of using properly calibrated bands is that they can show when markets reach emotional price extremes. It should be rather unusual for a market to go…
[dc]I[/dc] receive a lot of notes and messages from people who are struggling to learn to trade. One of the common threads is that many of them are discretionary traders,…
Traditionally, the spread of Consumer Discretionary stocks over Consumer Staples stocks has been taken to be a gauge of market sentiment—a clear expression of a cyclical sector compared to a…
[dc]I[/dc] wanted to take a few minutes today to share some thoughts about my book, The Art & Science of Technical Analysis, which is now available for purchase on Amazon.com…
Longer-term patterns in the EURUSD are strongly supportive of a bearish trade, perhaps targeting parity or lower. This is an aggressive entry, but it is often possible to enter after…
Note the weekly bear flag on the S&P 500 index. You may call it by a number of different names (wedge, pullback, anti, flag, etc.), but the concept is the…
[dc]T[/dc]his, my first reader question, comes from John in Seattle: I often see and hear people talking about good risk management being a good part of trading. What does this…
Watch DFS in a breakout above resistance (roughly 34.45 – 34.75.) Resistance levels are usually not clear lines, but rather rough "zones" where selling pressure has previously been able to…
[dc]O[/dc]ne of the challenges facing stock traders is knowing where to focus your attention. In a universe of roughly 7,000 names, with maybe 2,000 of those traded actively, how do…
[dc]J[/dc]ust an open invitation here to my readers: If you have topics for discussion, ideas for posts or series of posts, questions on the book, questions on the market or…
Fourth principle: Price Action Around Support / Resistance continued from this post... and if you are just starting, go here and read the posts in order (from the bottom up.)…
A few lessons here from the daily continuous chart of Corn futures (it's worthwhile looking at the Sept contact along and considering the difference in patterns the roll creates, but…
I thought I'd share a few thoughts today, kind of a "what I've learned in the past 10 years" post. This list was refined and crystallized by the process of…
First, take a look at the weekly chart, which shows a classic Anti pattern. (Essentially a consolidation (think bear flag) following a potential trend change.) Now, look at the daily…
Though I am leaning pretty short on the overall market, any time you have a large one-sided bet on the market, it's always good to have a "go to"…
I’ve been absent from twitter, blogging, and social media in general for a while. This was by choice, as I wanted to turn inward and focus on my trading, building…