Archives for August 2023

The market indexes are showing some divergence. The Dow may be forming a sideways wedge formation while the NASDAQ and the S&P 500 have formed bobble breakouts, a high probability J-hook pattern setup. This implies is likely to be more upside. This indicates some sectors will act very bullish while others are performing bearish. These market conditions make for having both long and short positions in the portfolio. The strong signals such as the kicker signal and best friend signals are producing powerful price moves. Tonight we will demonstrate how the J-hook patterns have high probability trades and high profit trades.

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

Good Investing,

Stephen Bigalow

The market trend remains in an indecisive mode. Although the indexes traded higher today, the Dow failed when it hit the 50-day moving average. The NASDAQ and the S&P 500 formed Doji days but above the T line. The market’s direction will be much better analyzed based on the Doji rule. Positive trading tomorrow means the uptrend is likely progressing, whereas a lower open in the indexes would illustrate a sideways nondirectional market. This will make the premarket futures a good indicator tomorrow. Until the market trend can be established one way or the other, having both long and short positions in the portfolio remains a good strategy.

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

Good Investing,

Stephen Bigalow

Candlestick charts provide immense information about price movement that no other charting technique offers. It cuts through the rhetoric of the so-called experts as far as what the market trend or an individual stock trend is likely to do. It is not conjecture! It is the actual buying and selling decisions of investors. NVDA would be the big market mover, with solid revenue and strong earnings. But the bearish belt hold signals it produced today told you the true decision process of investors. The Candlestick Frum teaches investors what to identify as robust, bullish, or bearish signals and what price movement expectations occur because of those signals. For example, MRVL beat earnings by a penny. But in market conditions where the bearish sentiment is in control, the charts will react differently than if a stock beats earnings by a penny during an uptrending market. This is why understanding what is occurring in investor sentiment is much more critical than Anticipating what the fundamentals are doing. Join us for a two-week free trial to understand the common sense logic of candlestick charts.

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

Good Investing,

Stephen Bigalow

The NASDAQ and the S&P 500 had a bullish day, but the last criteria still have to confirm a bullish trend, a close above the T-line. The summer doldrums remain in progress until there is a consensus of the indexes all closing above the T -line the same time or of showing continue-to-sell signals below the T-line. These market conditions do not warrant aggressive trading unless the candlestick signals and patterns show a strong indication. This puts the emphasis on analyzing each individual stock chart on its own merits. Simple scanning techniques allow the candlestick investor to pinpoint which stock positions have very strong bullish or bearish chart patterns. The number of trade opportunities may be greatly diminished in these type of market conditions, but the simple scans will identify the few strong trade setups.

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

Good Investing,

Stephen Bigalow