April 20th Daily Market Comments

As somewhat anticipated, the markets are continuing to consolidate back to the support levels of the 50 day moving average and the T-line. The uptrend remains in progress as long as the indexes stay above the T-line. These are type of days where the uptrend remains in progress but profit-taking is occurring, making the analysis of each individual stock chart more important. Continue to stay predominantly long.

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April 19th Daily Market Comments

Why is today looking like a consolidation day? Many uptrending stocks are pulling back but they are not doing candlestick reversal signals. That indicates there is no major change of investor sentiment in those trends, merely profit-taking. It would not be unexpected to see the indexes come back and test the 50 day moving average to see if it is going to act as support. These are the type of days were all you can do is sit through the day waiting for the continuation of the overall trend.

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April 18th Daily Market Comments

The market indexes consolidated early today but is now trading above where they opened. This reveals the lack of any selling pressure as of yet in this market. The trend channel that has developed since late January implies the uptrend will remain in progress. Continue to stay predominantly long with any short positions showing compelling reasons to stay short. This is why we recommend Trend Analysis.

 

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April 17th Daily Market Comments

Does a gap up in a stock like NFLX warrant a rally in the whole market? Definitely not, but think of the environment of investor sentiment. Even as an investor that may not be investing in Netflix, seeing that everything is working great in that stock, a stock that is in the investment limelight, and that it is showing good bullish news as well has strong price movement, does that influence confidence or doubt in what all other stocks might be doing?

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April 16th Daily Market Comments

Today’s positive trading does not take the markets out of a indecisive nature, the major indexes continuing to trade below the 50 day moving average but above the T-line. The most compelling chart has formed in the transportation index, a bullish Doji sandwich breakout through the 50 day moving average. This adds confirmation to the analysis of the markets are in a slow upward basing mode but not yet with any dramatic bullish force coming back into the market.

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April 13th Daily Market Comments

The waffling nature of the market still persist but with one consistency, the indexes continue to now to trade above the T-line. The force of the market is not necessarily anything rampant, as seen in the Dow today where it hit the 50 day moving average and has backed off. The other indexes have the same potential resistance levels to contend with. Continue to hold both long and short positions with a bias toward the long side.

 

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April 12th Daily Market Comments

Although the markets have not shown any decisive trading over the past few trading days, one underlying factor can be observed. The markets are currently trading above the T-line. This trend analysis allows investors to at least gain some perspective as to the overall trend of the markets even though the daily trading is oscillating from one day to the next. The bias of the portfolio should be slightly bullish, meaning successful short positions should remain in existence.

 

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April 2nd Daily Market Comments

The resistance of the T-line in Thursdays trading showed the indexes still had some doubt as to a bullish reversal. Today’s lower trading illustrates the lack of bullish confirmation, putting the markets prospects back into a sideways moving wedge formation. The T-line remains an important indicator. The prospects of bullish movement from this area requires enough strength to get back up through that level. Otherwise, a breakdown through the 200 day moving average creates a bearish J-hook pattern, indicating the markets could had much lower. Currently have both long and short positions in the portfolio.

 

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March 29th Daily Market Comments

The Dow up strong Today is currently trading at the T-line. The indexes are giving the indication of bottoming at the same levels they bottomed out in early February. More indicative is the fact that the past week has seen strong oscillations, up and down, showing investor sentiment is very indecisive. The T line will be a very important factor next week, to see if it still remains as a resistance or if investor sentiment can break up through that level.

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March 28th Daily Market Comments

The markets continue to show an indecisive lack of direction. Numerous high tech stocks are getting hit hard. Any maintained positions require very compelling bullish or bearish chart patterns. The volatility of the markets require entering trades with the pre-mental expectation of closing out trades immediately if they are not working. This is why we recommend Trend Analysis.

 

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