October 7th Daily Market Comments

The required bullish confirmation is confirming! Yesterday’s reversal in the Dow, closing above the T-line, needed to see positive trading today to indicate the reversal has occurred. Obviously, the premarket futures indicated the markets are going to open positive. This allows for quickly analyzing short positions that needed to be closed and buying some long positions. The gap up today through the T line after a bullish and golfing signal in the NASDAQ reveals investor sentiment has lost its bearish bias.

 

October 6th Daily Market Comments

Politics! Once again the federal budget has snuck up on our government politicians. This continues to put the market condition in a very indecisive state. The T line once again is playing an important role as far as identifying any change of investor sentiment.

 

October 5th Daily Market Comments

The whipsaw actions of the markets, up one day down the next day, reveals the same indecision as a Doji day. The Dow and the transportation index appear to b trying to close above the T line whereas the NASDAQ and the S&P 500 have not yet closed above the T line. It will be important to see where the indexes close today.

October 4th Market Direction

How to learn quickly the effectiveness of the T line rule? Look at any chart that shows a sell signal and a close below the T line, then analyze what the trend did after the close below the T line. This is words of experience. It does not take many times to be sitting in a losing position, hoping for a reversal, wondering why we are sitting in a losing trade again. Simple observation indicates the first close below the T line, especially in the overbought area, was where the long trade should have been closed and start looking for short positions.

The indexes have failed at the T line for the past few weeks, making the 200-day moving average a likely target. The graphics of candlesticks allows investors to see much more clearly what a trend is doing. Obviously, closing out long positions and adding short positions when the market indexes started showing sell signals will dramatically improve your profitability and take the anxiety out of sitting in long positions when the market is going the other way. Join us on October 9 for a Mini spotlight training session on applying the appropriate option strategies to specific candlestick patterns. You will gain great insights into which simple option strategies perform the best based upon the information built into candlestick charts. Click here for more info

Chat session tonight at 8 PM ET.

Good investing,

The Candlestick Forum team

October 1st Daily Market Comments

Stay short, a downtrend will usually see buying in the morning and then the continued selling later in the day. As long as the indexes continue to trade below the T-line, assume the downtrend remains in progress.

 

September 30th Stock Chat with Stephen Bigalow

To Download recorded sessions;

In order to download click on the link below, once on the video page you will click on the three-dotted vertical line located at the bottom right-hand side of the video player and click on “download” to save to your files.

Stock Chat – Thursday 09/22/21

Accurate Market Analysis

Candlestick signals and the T line produce high probability analysis when analyzing the overall market trend. The strong bearish candlestick signals and the indexes closing below the T-line allows the candlestick investor to be in the appropriate positions. Go with the flow! Knowing the markets are in a strong downtrend allows for scanning for the strongest bearish trades. This is a combination of candlestick signals and gaps. Witnessing gaps after a candlestick signal demonstrates the strength of the new trend. This works both on the short side as well as the long side as illustrated in NET and STNG.

 

Candlestick’s logic is very simple. The signals and patterns illustrate high probability price moves. Applying the appropriate option strategy with that price move dramatically improves profitability. When you put all the stars in alignment, being able to analyze the direction of the markets, identifying the strongest signals and patterns that will benefit from the market direction, and then applying the most profitable option strategies, you gain a huge advantage for being in the right trades at the right time. Join us Saturday, October 2 for a free candlestick forum mini spotlight training utilizing the appropriate option trades for the appropriate price moves. Click here to register

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

Good investing,

The Candlestick Forum team

September 30th Daily Market Comments

Note that the Dow opened at the T-line but then started trading lower from that level. The NASDAQ and S&P 500 opened higher but are currently trading below where they opened. The downtrend remains in progress. Any buying of long positions today should have very strong compelling buy signals. Stay predominately short.

September 29th Stock Chat with Stephen Bigalow

To Download recorded sessions;

In order to download click on the link below, once on the video page you will click on the three-dotted vertical line located at the bottom right-hand side of the video player and click on “download” to save to your files.

Stock Chat – Wednesday 09/29/21

September 29th Daily Market Comments

Yesterday’s strong sell signals would suggest Today’s positive trading is merely a bounce. The indexes are trading below the T-line. That should be the indication that bullish sentiment is not in this market. Continue to stay predominately short. Any long positions require trading above the T-line to stay long.