Archives for June 2019

June 28th Daily Market Comments

Trading on a Friday in the middle of the summer is usually going to be lackadaisical. But the positive trading in Today’s slow trading continues to reveal there is no bearish sentiment pressure on this market, the slow uptrend should still be in progress.

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June 27th Market Wrap-up

The nature of each candlestick signal/formation provides a much more comprehensive insight into the strength of the Bulls or the Bears. Witnessing a signal at important technical level, such as the Dow forming a Doji day right on the T line provides a visual analysis that will indicate the direction of the trend based upon the Doji rule, the trend will usually move in the direction of how they open after a Doji. A positive open tomorrow would reveal the T line acting as a support for the Dow. The NASDAQ and the S&P 500 are also showing potential reversal signals at the T line. The NASDAQ confirmed a homing pigeon signal, a Harami that has both candles the same color, by trading positive today and backup above the T line. Although today’s trading did not illustrate a major reversal in the markets, at least the candlestick formations indicated there was not currently any significant selling pressure. This was further evidenced by the number of bullish chart patterns versus the number of bearish chart patterns in today’s trading.

The strong patterns allow for not only identifying the direction of the next potential price move in individual stock charts, but it also provides the opportunity to participate in much stronger price moves than merely uptrending stock prices during an uptrending market. The J-hook pattern, more specifically the bobble breakout patterns, are providing high probability/high profit trade set ups. A candlestick investor gains excessive visual analysis information based upon the patterns that produce expected results. Identifying a pattern breakout at the T line level enhances the probabilities of being in a strong profitable trade. The T line, working in conjunction with candlestick signals and patterns, dramatically improve the probabilities of entering and maintaining high profit positions. Candlestick trainings direct investors to trade set ups that produce high profit results based upon the reoccurring nature of investor sentiment.

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

Good Investing,

The Candlestick Forum Team

 

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June 27th Daily Market Comments

The Dow is lower but currently forming a Doji type day using the T-line as a support. The T-line is acting as a relevant support level for numerous stocks Today. The NASDAQ and the S&P 500 are showing support at the T-line level. This indicates the current lack of any aggressive selling sentiment in the markets but does not yet reveal any bullish sentiment take over.

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June 26th Daily Market Comments

Today’s positive trading remains indecisive. Currently the indexes are trading relatively close to where they opened. The positive trading currently indicates the lack of any aggressive selling pressure in the markets but it does indicate this current pullback is likely profit-taking. This puts the market trend in a consolidation stage requiring more candlestick formation evidence of whether the consolidation will continue or whether the slow uptrend remains in progress.

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June 25th Daily Market Comments

The shooting star and Doji that formed in the Dow and S&P 500 over the past couple of trading days was indicating the potential of a reversal, especially showing these indecisive signals at the same levels the market’s topped out six weeks ago. Today’s lower trading was not unexpected. However the same criteria for individual stocks remains the same. There are sectors that are still acting well. Gold is continuing to trade higher with good strength. Although the markets are trading lower today, numerous stocks are still trading higher, especially the ones following strong bullish signals i.e.CROX after the best friend signal. Look at adding a short position or two to the portfolio.

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June 24th Market Direction

The visual graphics of candlestick analysis allow investors to much more accurately assess where markets may be continuing an uptrend or getting ready to top out. This is evident in the Dow with the indecisive candlestick signals, a shooting star signal and a Doji occurring in the overbought area. Additionally, it merely takes visual analysis to recognize this indecisive trading, potentially a reversal in the trend, is occurring at the exact same levels the markets topped out about a month and a half ago. The nature of each candlestick signal allows for the analysis of what type of investor sentiment is occurring at observable potential reversal areas. Is the market ready to top out? The alert becomes much more apparent when recognizing where indecisive trading is occurring.

Having the visual ability to analyze whether the market is still capable of additional uptrend or if it’s about ready to pull back as a reversal or a profit-taking area, allows for the appropriate trade positioning in the portfolio. Any signs of weakness in the markets in this area creates a trading strategy that dramatically improves profit probabilities. If the market appears to be ready to back off, any new positions would be more oriented toward shorting. It would also create the analyzing of existing long positions with much more scrutiny, be in ready to take profits on signs of reversal signals. When these market conditions exist, the candlestick investor has a great advantage of being able to scan for the most profitable trades, whether bullish or bearish. Keep in mind, prices do not move based upon fundamentals, prices move based upon the perception of fundamentals. This is clearly identified using candlestick analysis.

 

We will conduct a “Members Only” chat session tonight at 8:00 pm EST.

Good Investing,

The Candlestick Forum Team

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June 24th Daily Market Comments

Are we in the summer doldrums? The Dow is trading higher, the transportation index is trading lower, the NASDAQ and S&P 500 are trading flat. There may be an advantage to the markets in Trump tweets. It keeps things interesting during the summer doldrums. Currently the indexes are in an uptrend, trading above the T line. Wave three of J-hook patterns are still in progress. The lack of continuity between the indexes indicate specific stocks/sectors need to be evaluated separate from the overall market trend. Gold stocks are still acting well. Biotech stocks are holding up. Stay predominantly long but be more scrutinizing as to which sectors are acting the strongest.

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June 21st Daily Market Comments

After a slow start, continuing to indicate no major change of investor sentiment in the markets, bullish pressure is still in progress. Wave three of the J-hook patterns that have developed in the indexes are still confirming. Stay with the trend, stay long as long as there is not a severe sell signal in the indexes. What is causing the strong bullish trend? We do not need to analyze that. All we need to analyze is what the charts are telling us.

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06/27/2019 Stock Chat with Bennett McDowell

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

Stock Chat – Thursday 06/27/19

At the end of the webinar Bennett offered his “Trade Size Calculator ~ Plus” software which helps you understand & implement risk control on all markets & time frames.

Bennett’s offer includes:

  • New Trade Size Calculator-Plus Software
  • Online Instructions To Implement Risk Control on Every Trade Using The “Trade Size Calculator ~ Plus
  • Lifetime License For One PC
  • Lifetime “Trade Size Calculator-Plus” Software Updates
  • Client Support Weekly Webinars

Click here for more information. 

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June 20th Daily Market Comments

The J-hook patterns that formed in the indexes are confirming today. The Dow up 200 points illustrates wave three is in progress. Expect backing and filling but as long as the indexes stay above the T-line, as well as the 3T-line, anticipate more confidence coming into the markets. Gold stocks and oil stocks are reacting well to the bullish moves in those futures. As long as there is not evidence of severe selling, bullish investor sentiment is still in control of the market trend.

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