Archives for January 2021

January 29th Daily Market Comments

T-line rule – as long as the indexes are trading below the T-line, it is assumed the downtrend is in progress. This does not necessarily mean everything is going down. There are still some sectors that are maintaining their strength but numerous stocks have demonstrated strong sell signals over the past few days. This would imply having additional short positions in the portfolio. Maintaining long positions still require not seeing a close below the T line.

 

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January 28th Market Wrap-Up

The direction of the market has been indecisive for the past three weeks. Yesterday’s trading broke the T line, but as witnessed in the Dow, it supported at the 50-day moving average. Today’s positive trading produced a bullish Harami, indicating the selling has stopped. But this does not mean the buying has started. The stochastics are still in a downward trend and the indexes closed back below the T line. This would imply the markets probably waffling between the T line in the 50-day moving average until the stochastics show oversold. This may take a week or two to complete. However, long positions and short positions can remain intact as long as long positions continue to trade above the T line and short positions continue to close below the T line. The T line is an extremely high probability trend factor.

GME is the spotlight for market commentary this week. The Robin Hood traders have created a short squeeze that has taken the price from $20 a share to where it touched $500 a share after four days of trading. As with other strong price moves that have occurred over the past two weeks, GME uptrend started with a fry pan bottom breakout. This candlestick pattern produces powerful ramifications. The probabilities of a price move heading in the bullish direction are extremely strong coming out of a pattern breakout. Additionally, the magnitude of the price move is usually very strong. When the markets are in an indecisive trading mode, utilizing candlestick pattern breakouts continue to produce good profitability without being affected by the general market direction. This is where the Candlestick Forum RARE program adds more credibility to a price move. It is merely a simple analysis, investigating whatever news item because the breakout of a pattern, to verify the news announcement will warrant more upside potential. As with all candlestick analysis, it is based upon mere common sense. Join us this Saturday, January 30 for a mini spotlight training on how to utilize the RARE program to your advantage. You will get more information than you expect. This 90-minute training session will expose you to a common-sense investment process that will dramatically improve your trading for the rest of your trading career.www.stephenbigalow.com/rare

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

Good investing,

The Candlestick Forum team

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January 28th Daily Market Comments

Although the market conditions are trading positive today, it still has to be considered an indecisive trading market. Be careful, it will be important to see how the markets close today. All the indexes are currently hovering back up to the T line. Obviously the GME situation is creating a lot of changes of investor sentiment. Stick with your trading rules, the T-line rule.

 

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January 28th, 2021 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 01/28/21

At the end of the webinar Steve announced his upcoming “RARE” event, which he’ll present on Saturday, January 30th.

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.

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January 27th Daily Market Comments

The hard selling of today’s markets illustrates how the strong stock/sectors continue to trade positive, or at least not selling off. This is a simple function of investor sentiment that has created the bullish patterns continuing the patterns. This is why sitting through a knee-jerk reaction is more prudent when participating in the strong breakout patterns. But this also provides an opportunity to close out positions that are selling off and do not seem to be recovering before the end of the day. Move to cash if positions appear iffy.

 

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January 26th Daily Market Comments

The Dow is trading flat, but the NASDAQ continues to trade in its uptrend, continuing the prognosis of staying with the strong sectors and shorting the weak sectors. Oil stocks continue their downtrend. Electric vehicle stocks and specific biotech stocks continue good uptrends. The market remains in a sector specific trading mode. Have both long and short positions in the portfolio.

 

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January 25th Market Direction

The nature of the market? Why is this important to you as an investor? Notice that big price moves today are occurring in pattern charts that have already had big moves out of fry pan bottom’s can J-hook patterns. The small-cap stocks are producing strong profits while the Dow and S&P 500 stocks are trading relatively flat. Numerous fry pan bottom patterns are producing big profit breakouts. Strong bullish investor sentiment is still evident in the strong sectors, electric vehicles and biotech’s. This Saturday’s spotlight mini training will demonstrate how the candlestick forum’s RARE program identifies the strongest stock trade potentials in the strongest sectors.

The big price moves experienced today is coming from pattern breakouts, fry pan bottom’s, in the strong sectors. IPWR, a fry pan bottom breakout late last week was up an additional 48% today. Take advantage of the pattern set ups that are produced by reoccurring human nature reactions. Strong bullish sandwich potential is seen in FUBO, CLNE and NCTY on positive opens tomorrow. Bobble breakouts set ups are seen in ALEC and ZM. These are all high probability/high profit trade set ups. The candlestick investor has a huge advantage of knowing what the likelihood of a price move will be based upon signal/pattern set ups. As long as the market indexes continue to trade above the T line, the strong price move breakouts from candlestick patterns have much greater probabilities. A pattern breakout provides to major advantages. The direction of the price move is highly predictable and the price move is usually inordinately strong.
Join us this Saturday, January 30 for an in-depth training on how the RARE program visually identifies the big price move potentials.

 

 

Chat session tonight at 8 PM ET.

Good investing,

The Candlestick Forum team

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January 25th Daily Market Comments

An unusually good day! The strong charts have opened up excessively strong Today. Continuing to make the sector specific prognosis more compelling. The electric vehicle industry is working exceedingly well as well as biotech’s. The trading strategy remains very simple, stay long in the stocks that are confirming candlestick patterns and remaining above the T line. The Dow is down but the NASDAQ is up strong.

 

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January 22nd Daily Market Comments

Be aware of the selling starting to come into the markets. Although the small-cap stocks continue to trade strong, the big trading stocks are not showing any consistent strength. Oil stocks are obviously getting sold due to the new administration’s apparent adversity to fossil fuels and more favorable to green energy. The general market indexes remain indecisive. The transportation index is selling off decisively. Keep safety stops in place.

 

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1/21/2021 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 01/21/21

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