November 24th Daily Market Comments

The indexes bouncing well up above the T-line with the Dow pushing once again towards an all-time high. Profit-taking in the electric vehicles today but strength coming back into oil stocks and some of the biotech’s. As the uptrend remains in progress, expect sector rotation. Utilize your candlestick scanning to show which sectors are picking up strength and others starting to selloff. This is a good trading market moving from sector to sector.

 

November 23rd Market Direction

The accuracy of the analysis of the overall market trend is greatly enhanced with candlestick analysis. The signals and patterns make it very easy to see whether there is an uptrend, a downtrend, or the market is moving sideways. The market indexes are currently trading above the T-line but in a very indecisive/sideways mode. However, this is not a deterrent for making good profits using candlestick analysis. At any point in time, simple candlestick scanning techniques pinpoint which sectors are acting the strongest or the weakest. Frypan bottom pattern breakouts demonstrated the electric vehicle sector and sectors that supply electric vehicles were showing very strong prospects. The pattern breakouts have now produced excessively strong profits even though the overall market trend has been sideways for the past few weeks. BLNK has moved from the $8.00 area to the current $36 area over the past six days of trading. Numerous stocks in that sector have moved with the same profitability. There is a huge added benefit for identifying pattern breakout potential situations. It not only allows for being in a price move that is in the correct direction with a high degree of probability, but it also puts investors into situations where huge price move potential is greatly enhanced. This creates a very simple trading strategy premise. Putting funds into high probability expected trade setups dramatically improves being in the correct trades at the correct time as well as dramatically improving profitability for the portfolio.

You do not have to be a skilled technical analyst to benefit from the information built into candlestick charts. It is merely the graphic depiction of human nature that have been identified as high-profit trade setups through hundreds of years of visual analysis from the Japanese rice traders. All you need to learn is what usually occurs after specific candlestick signals and patterns. The results are high probability results. This is because human nature works the same way time after time. Currently, electric vehicles, lithium mining stocks, and oil related stocks are all showing good strong buy signals. Having more weight in the sectors improves the probabilities of being in profitable trades.

 

 

 

 

 

Chat session tonight at 8 PM ET, identifying the best sectors.

 

Good investing,

The Candlestick Forum team

November 23rd Daily Market Comments

The T-line continues to act as a support level in this uptrend. The NASDAQ gapped up above Friday’s open and trading positive from there, a very bullish indication. The electric vehicle sector is still very strong. BLNK may now be too strong, gapping up in the overbought position and trading up another 40% today. This is where watching the 10 minute chart becomes important. Safety stops for profit-taking should be put in place. The strong sectors continue to act strong. Electric vehicles and lithium mining stocks are still working well.

 

Weekly Watch List November 23rd – November 28th

Stocks to watch The Dow closed below the T-line on Friday after a bearish left/right combo earlier in the week. This would imply the possibility of a bearish pullback. These market conditions make long positions in the portfolio having very compelling bullish chart patterns. The electric vehicle sector is still showing excessive strength, FB, WKHS, BLNK, TSLA, FUV, HYLN. The lithium mining stocks are still acting well, WWR, TTHM. Numerous biotech stocks are showing strength with the virus problem still present. VCRT, SRNE, NVCR, BNTX, MESO, CRMD. Be ready to add some short positions to the portfolio on weakness, INO, AVRO, ESPR. Software applications stocks have some good prospects as well as home furniture companies are showing strength. These market conditions warrant having both long and short positions in the portfolio.

November 20th Daily Market Comments

The market trend remains indecisive. The Dow and the S&P 500 are trading lower, but still appearing to use the T-line as support. The NASDAQ, after yesterday’s bullish and golfing signal off the T-line, is just now starting to trade positive today confirming yesterday’s bullish engulfing signal. The electric vehicle stocks are still showing great strength but starting to move a good distance away from the T line, look for potential profit-taking soon. Stay long in sectors that continue to show good strength, short positions are not showing great resiliency, be ready to close short positions if the market starts moving up off the T-line.

 

11/19/2020 Stock Chat with Stephen Bigalow

In order to download click on the link below, once on the video page you will right-click on the video then hit “Save video as” to save to your files.

Stock Chat – Thursday 11/19/20


At the end of the webinar, Steve announced his upcoming Candlestick Convergence Analysis  event, which he’ll present on Saturday, November 21st.

This 4-hour training workshop will provide you with visual perspectives that will improve your investing for the rest of your life.

Click here for more information.

November 19th Market Wrap-Up

After the bearish left/right combo formed in the indexes over the past few days, today’s trading initially traded lower as expected. However, the next assessment is very easy for the candlestick investor. What were the indexes doing when it reached the T line? As demonstrated, the indexes traded lower than closed above the T line. This makes the probabilities extremely strong the market trend is still in an uptrend as long as the indexes close above the T line. The NASDAQ produces a much more clear trend indication, opening at the T line and trading positive on the day, forming a bullish engulfing signal right at the downtrending resistance level. A positive open tomorrow in the NASDAQ will create a very bullish confirmation. Although the market indexes are in a slow uptrend, they are still in a very choppy mode. Fortunately, convergence analysis makes the probabilities of consistently producing profitable trades very easy. Convergence analysis is merely the visual process of recognizing multiple confirmation indicators in conjunction with a candlestick reversal signal or pattern breakout. The more indicators that can be visually recognize with an instantaneous glance, the higher the probability a price move is likely to occur.

The electric vehicle sector and the lithium mining sector have produced excessively large profits over the past five trading days, BLNK and KNDI have doubled in price during that time. Participating in these price moves are greatly enhanced when the candlestick investor can visually recognize more than one confirming indicator that is likely to produce an uptrend and a very strong uptrend. The logic built into candlestick analysis provides an extremely high probability result. This allows the candlestick investor to consistently put on trades that have much greater probabilities of producing profits on a consistent basis. Join us this Saturday, November 21 for a full day training on utilizing all the information built into candlestick signals and patterns that are enhanced by multiple confirming indicators. This type of visual analysis is what can dramatically improve your profitability and consistent profitability.

 

 

Chat session tonight at 8 PM ET. Click here to register.

Good investing,

The Candlestick Forum team.

November 19th Daily Market Comments

Yesterday, the market indexes did bearish left/right combos in the overbought area producing Today’s expected profit-taking/selling. Now the T-line becomes an important factor. The indexes need to use the T-line as support or continue to trade above the T-line. Be prepared to close out long positions that are showing weakness if the T line does not confirm as a support level. The electric vehicle and lithium mining stocks continue to show good strength. Maintaining long positions requires very strong/compelling bullish charts, staying above the T line.

 

November 18th Daily Market Comments

Although the market indexes are still in an indecisive mode, they aren’t selling off. The prognosis remains the same, specific sectors are acting well, electric vehicles, the oil sector. There continues to be a good supply of bullish charts as well as bearish charts. Maintain or add positions that have very compelling signals or patterns. Stay predominately long as long as the indexes continue to trade above the T-line.

 

November 17th Daily Market Comments

The market indexes remain above the T-line, implying the uptrend remains in progress. However, the nature of the uptrend remains the same as the nature of the market for the past few weeks, very choppy. The electric vehicle sector remain strong. Lithium mining stocks are still in an uptrend but experiencing profit-taking today. Although the Dow has sold off today, the NASDAQ is holding up well, another indication today is merely some profit-taking. Crude oil remains around the $41 level. Crude oil stocks have backed off but are still in an uptrend. Stay predominately long.