Category Archives: Technical Analysis

Any Signs The Correction Is Over?

For the past several weeks I have been highlighting reviewing the signs that the stock market rally was weakening after the sharp rally from the July lows. By the end of July ('The Market Appears Bulletproof?') the top in the Dow Transports had been confirmed which warned of weakness in the other market averages. The…
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Don’t Buy Too Early

The recent narrowing of the stock market rally was typical of a tired market. Last week I pointed out that there were a number of technical indicators that made me nervous about the Dow Industrials market leadership. This included the lagging action of the % of S&P 500 stocks above their 50 day EMA and…
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A Worthless Timing Tool?

Before the release of Apple’s earnings I was nervous that the expectations were too high especially with the increased market volatility. The Dow Industrials ability to overcome the 22,000 level was due primarily to the strength of four stocks; Boeing (BA), Apple (AAPL), McDonald’s (MCD) and Caterpillar CAT). It is a concern that the Dow…
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The Week Ahead: “The Market Appears Bulletproof”?

It was another crazy week in Wall Street and in Washington DC but the markets again survived. In a heavy week for earnings the focus was on three of the FANG stocks, Facebook (FB), Amazon (AMZN) and Alphabet (GOOGL). Netflix (NFLX) had reported on July 17th as it beat on earnings and revenues, opening almost…
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Should You Buy The Airline Stocks On An Earnings Dip?

The new high in the Dow Transports last Friday generated some new bullish market calls. The rapid reversal over the past few days has caught many by surprise as it dropped over 2% in three days. The market’s reaction to Tuesday’s earnings from United Continental (UAL) has not helped. They beat on earnings and revenues…
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Follow The Charts Not The Earnings

The week started off with many on Wall Street still convinced that the Federal Reserve would act irrationally and raise rates quickly. After their careful steps to recover from the great recession I thought this was unlikely. The mid-week testimony by Fed Chair Janet Yellen reassured the markets but I am sure some are still…
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