July 14th Daily Market Comments

Bullish sentiment continues to be demonstrated. The positive trading Today, although not very excessive, shows the Dow in a Frypan Bottom/J-hook Pattern. This implies the uptrend will continue with the potential of the same price move the markets demonstrated from mid-May to mid-June. This makes the market analysis relatively easy. As long as the indexes remain above the T-line, the uptrend remains in progress.

July 13th Daily Market Comments

Today’s indecisive trading in the markets is not unexpected after a big move from Yesterday. The strength of Yesterday’s trading provided evidence that the bullish trend was still in progress, with the NASDAQ and the S&P 500 breaking up through a Downtrending resistance level. Stay predominantly long, any short positions in the portfolio should have compelling weakness.

Trending Stocks: ENTA, GWPH, RDUS

Enanta Pharmaceuticals, Inc. (ENTA)

Chart for ENTA

Over the next 13 weeks, Enanta Pharmaceuticals, Inc. has on average historically risen by 7.2% based on the past 4 years of stock performance.

Enanta Pharmaceuticals, Inc. has risen higher by an average 7.2% in 2 of those 4 years over the subsequent 13 week period,corresponding to a historical probability of 50%

The holding period that leads to the greatest annualized return for Enanta Pharmaceuticals, Inc., based on historical prices, is 1 week. Should Enanta Pharmaceuticals, Inc. stock move in the future similarly to its average historical movement over this duration, an annualized return of 78% could result.

GW Pharmaceuticals Plc (GWPH)

Chart for GWPH

Over the next 13 weeks, GW Pharmaceuticals Plc has on average historically risen by 44.3% based on the past 4 years of stock performance.

GW Pharmaceuticals Plc has risen higher by an average 44.3% in 2 of those 4 years over the subsequent 13 week period,corresponding to a historical probability of 50%

The holding period that leads to the greatest annualized return for GW Pharmaceuticals Plc, based on historical prices, is 37 weeks. Should GW Pharmaceuticals Plc stock move in the future similarly to its average historical movement over this duration, an annualized return of 257% could result.

Radius Health, Inc. (RDUS)

Chart for RDUS

Over the next 13 weeks, Radius Health, Inc. has on average historically risen by 27.7% based on the past 3 years of stock performance.

Radius Health, Inc. has risen higher by an average 27.7% in 3 of those 3 years over the subsequent 13 week period,corresponding to a historical probability of 100%

The holding period that leads to the greatest annualized return for Radius Health, Inc., based on historical prices, is 12 weeks. Should Radius Health, Inc. stock move in the future similarly to its average historical movement over this duration, an annualized return of 135% could result.

July 12th Daily Market Comments

After Yesterday’s Hammer/Doji type days in the indexes, bringing the indexes backup above the T-line, it was very important to see the markets open positive to confirm that the Bulls were still in control. The gap up in the indexes Today is showing very strong Bullish confirmation. The Dow is in the process of forming a slow curve/J-hook Pattern set up. The S&P 500’s Gapped Up through the downtrending resistance level. The NASDAQ is also Gapping up pushing through the Downtrending resistance level. The indexes obviously need to maintain their strength going into the end of the trading day to confirm these strong pattern implications. That would imply the consolidation of the past month is likely over.

July 11th Daily Market Comments

Once again the markets are trading in the opposite direction of the previous trading day, making the overall direction a flat/sideways trajectory at best. The Dow is selling off the hardest. If it closes at these levels, a slow sideways slightly downward trend would continue until the 50 day moving average catches up. To continue a reasonable uptrend requires the indexes to close above the T-line Today. These market conditions still warrant analyzing each individual position based upon the price not showing a reversal signal and a close below the T-line. When the market is not providing any consistent trend, any open positions should reveal a good trend. Otherwise, sitting in cash for a few days does not hurt.

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July 10th Daily Market Comments

Although there is not any dramatic buying in the market today, the indexes reveal the confirmation of the bullish support demonstrated on Friday. The kicker type signal in the NASDAQ brought that index back up to the T-line. Today’s positive trading is currently forming a Doji above the T-line but resisting at the 50 Day Moving Average. The Dow continues to form a slow Frypan Bottom pattern using the T-line as a support level. The lack of selling pressure is illustrated by the biggies such as AMZN , NVDA, NFLX confirming the reversal signals that formed on Friday. This is another visual evidence that investor sentiment has not turn bearish. The lack of dramatic overall market direction still makes the analysis of each individual stock/sector the main priority.

Trending Stocks: HSNI

HSN, Inc. (HSNI)

Chart for HSNI

Over the next 13 weeks, HSN, Inc. has on average historically risen by 9.4% based on the past 8 years of stock performance.

HSN, Inc. has risen higher by an average 9.4% in 6 of those 8 years over the subsequent 13 week period,corresponding to a historical probability of 75%

The holding period that leads to the greatest annualized return for HSN, Inc., based on historical prices, is 1 week. Should HSN, Inc. stock move in the future similarly to its average historical movement over this duration, an annualized return of 93% could result.

July 7th Daily Market Comments

Today’s positive trading currently indicates the lack of aggressive selling, continuing to make the sideways drift of the market the top prognosis. These market conditions still indicate having both long and short positions in the portfolio. Although the market does not want to go higher, it does not appear to want to go lower either. The T-line remains a crucial factor for analyzing which direction a trend is moving.

July 6th Daily Market Comments

The magnitude of Today’s selling is negating any candlestick bullish signals or patterns in the indexes. Yesterday’s trading in the Dow formed a hanging man/Doji at the breakout area. Today’s Gap Down in the Dow is trading below Yesterday’s low of the Doji and currently trading below the T-line. A close in this area would put the markets back into a slow sideways drift at best. The NASDAQ formed a Bullish Harami Yesterday. It needed to open positive demonstrating the support level was continuing to act as support. Today’s gap down below Yesterday’s open reveals severe weakness in the NASDAQ. Unless the market indexes close near the high end of their trading ranges, especially backup above the T-line, the direction of the market will be dismally sideways at best.

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