Archives for November 2022

November 22nd Daily Market Comments

The Dow is showing the strongest bullish chart. It has clearly revealed the T line is acting as a support level and setting up for a J-hook pattern, provided it closes near the high end of the trading range today. If it sells off hard, creating an ShootingStar signal, failing at the highs of last week, it would be indicating a double top. The S&P 500 and the transportation index are supporting above the T line. The NASDAQ continues to show the most weakness.

 

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November 21st Market Direction

There is always questions about the difference between candlestick analysis and price action trading. The answer is simple! Candlestick analysis is the ultimate price action trading strategy. Candlestick signals and patterns are the identification of price action. The candlestick signals are based upon human nature producing price actions that show a change of investor sentiment. Candlestick analysis enhances the ability to see a change of investor sentiment occurring and utilizing other indicators that would add credence to why and where a trend reversal was likely happening. A candlestick buy signal at technical levels everybody else is watching, such as moving averages, trend lines, Bollinger bands, Fibonacci numbers etc., improves the probabilities that a reversal is occurring. Adding the T line to the chart analysis dramatically improves the probabilities of a trend reversal and a trend continuation based upon the premise that the T line acts like a natural support and resistance level of human nature. The market indexes are currently illustrating indecision, based upon the nature of candlestick signals i.e. hanging man, shooting stars, Doji’s, spinning tops. When this type of price action occurs in the overbought or oversold condition, the Japanese rice traders have observed that this is usually where a change of investor sentiment is occurring. Candlestick analysis is the ultimate price action trading strategy. It defines what is occurring in investor sentiment based upon what prices are doing.

Members Chat session tonight at 7pm central. Free to Members. Not a member? Click here to join

Good Investing,

Stephen Bigalow

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November 21st Daily Market Comments

The lack of decisive direction in the market indexes continue to make having both long and short positions in the portfolio. However, there appears to be more strength in the bearish patterns. Numerous bearish J-hook patterns are being confirmed by the T line. The NASDAQ is showing the greatest bearish indications.

 

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Weekly Watchlist November 21st – November 25th

A Santa Claus rally? That is the anticipation every year going into the holidays. The Santa Claus rally is usually expected because of the high percentage of the time in the past it has occurred. What does that mean for the candlestick investor? Candlestick charts will provide much more clarity as to whether a Santa Claus rally is likely to occur, and then confirm whether the rally is or is not occurring. This is based upon simple visual analysis. Our the market indexes showing bullish confirmation, trading above the T line? There are numerous adages as far as market trends. Such as “sell in May and go away”, or expectations produced by seasonality results, price movements that usually occur at the same times year after year. The candlestick investor has a huge advantage because of the actual visual results built into candlestick charts. Currently, the Dow is demonstrating an uptrending bias based upon the bobble breakout pattern at the 200 day moving average, followed by the T line producing confirmation the uptrend is in progress. However, the NASDAQ is not showing the same bullish resiliency. Although the NASDAQ is trading above the T line, the candlestick formations reveal a different story as far as investor sentiment. The trajectory is flat and the dark candles reveal selling pressure versus bullish sentiment. This creates a much better trade evaluation for specific stock/sectors. There are some sectors moving positive while other sectors are showing bearish bias. These market conditions allow an investor to have both long and short positions on at the same time. Fortunately, simple scanning techniques allow for identifying which sectors have the prospects of trading bullish while also identifying which sectors have strong bearish trends. This then allows for identifying which stocks in those sectors have the prospects of producing the strongest bullish or bearish price moves. Join us Tuesday night for the Candlestick Forum chat session demonstrating how to identify the strongest potential bullish sectors and the strongest bearish sectors going into the holiday season.

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November 18th Daily Market Comments

The market indexes continue to show a sideways mode. This continues to make having both long and short positions viable. Note how a number of stocks in a downtrend opened positive, right at the T-line, and then started trading lower. This provides significant information. Short positions working well seem to be more numerous.

 

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November 17th, 2022 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 11/17/22

at the end of the webinar Steve announced his upcoming “The Triple T-line Training” event, which he’ll present on Saturday, November 19th.

This full-day training workshop will provide you with visual perspectives that can improve your investing.

Click here for more information.

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November 17th Market Wrap-Up

The T-line is an effective trend indicator. It acts like a natural support and resistance level of human nature. It is an effective trend indicator because it’s got Fibonacci characteristics. Candlestick signals are the graphic depiction of investor sentiment. The T line is a natural support and resistance level of human nature. When you combine these two elements, you have an extremely effective trend indicator combination. As illustrated in the Dow over the past few trading days, candlestick sell signals performing in the overbought condition. This implied a strong probability of the Dow returning to the T-line area. The NASDAQ had moved excessively away from the T line. The T line has a truism, the further away you move from the T line, the higher the probability is going to come back and test it. Today the indexes opened lower but use the T line as a support. The close above the T line produces a high probability the uptrend is still in progress until there is a close back below the T line. This consolidation stage of the market allows candlestick investors to identify strong bullish chart patterns as well as strong bearish chart patterns. Simple candlestick scanning techniques allow the candlestick investor to potentially make good profits by having both long and short positions on when the markets are in an indecisive stage. Join us Saturday, November 19 for a full day training on how the T line greatly improves your visual ability to analyze when it is time to buy, when it is time to sell, and when to maintain a trending position.

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

Good investing,

Stephen Bigalow

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November 17th Daily Market Comments

The major indexes are now consolidated back to the obvious support level, the T line. The transportation index is not supporting at the T line. Any long positions now require very compelling reasons to stay long. Short positions are working well.

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November 16th Daily Market Comments

Although the Dow is not trading lower with any great energy, the NASDAQ, the S&P 500, and the transportation index are showing solid selling confirmation. Be ready to take profits in long positions and maybe adding short positions to the portfolio.

 

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November 15th Daily Market Comments

The positive open in the markets today revealed the continuation of J-hook patterns and the continuation of the strong bullish signals created last week. The indexes are not only staying above the T line but also the 3T line. Stay predominately long.

 

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