T-line rule – the downtrend remains in progress as long as the indexes cannot close back up above the T line. Note how the early bounce in the Dow moved up and failed right in the T line area. Obviously the bearish J-hook patterns are working very well today, ARCT, SOL, CHWY,FUBO and the blue ice failure patterns are working very well, CLSK, INMB. Stay predominately short until the appearance of any bullish signals in the indexes. … [Read More...]
Candlestick analysis produces extremely high probability trade patterns. The bearish J-hook pattern has produced good profits in this current downtrend. The bearish J-hook pattern produces high probabilities of a downtrend direction as well as enhanced profitability. The magnitude of a pattern movement is dramatically stronger than merely a down-trending stock price during a market downtrend.
The T line rule is still in progress, the markets are in a downtrend. Stay short in bearish positions that continue to as well as below the T line. The inflation comments may have a lingering effect on investor sentiment, with the passing of another stimulus bill adding fuel to the fire. Stay predominately short, numerous bearish J-hook patterns working effectively.
The bearish J-hook patterns provide additional strength to the downside. CLSK is demonstrating a Blue Ice Failure, giving it more bearish credence. Using this additional information greatly improves your probabilities of being in a correct trade as well as a strong profitable bearish trade. Our current short positions have a very simple trading strategy. Stay short until you see a reversal signal and a close back up above the T line. This simple trading strategy allows investors to discipline themselves to not take profits too early, just because they have a profit. Join us Saturday for the Power Tade training, utilizing the instant visual combination of indicators to improve your trade probabilities.
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Good investing,
The Candlestick Forum team … [Read More...]
Today's oscillation in the indexes continue to reveal a lack of cohesiveness in the bulls or the bears. The prevailing trend is still influenced by the T line rule, a downtrend is in progress as long as the indexes continue to trade below the T line. Obviously, the shorts have been working well today. Use the T line as your ultimate criteria to keep from getting whipsawed.
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The lack of any buy signals in the Dow is demonstrating a lack of any direction in the Dow. The NASDAQ and the S&P 500 failed thereby signals of a few days ago and are trading back below the T line. This creates the prospects of a bearish J-hook pattern. A close at the lower end of today's trading, especially in the NASDAQ, would warrant making sure you have short positions in the portfolio. Until the indexes can close above the T line, there is no bullish direction.
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March 6th Daily Market Comments
T-line rule – the downtrend remains in progress as long as the indexes cannot close back up above the T line. Note how the early bounce in the Dow moved up and failed right in the T line area. Obviously the bearish J-hook patterns are working very well today, ARCT, SOL, CHWY,FUBO and the blue ice failure patterns are working very well, CLSK, INMB. Stay predominately short until the appearance of any bullish signals in the indexes. … [Read More...]