December 6th Daily Market Comments

The jobs report provided the bullish sentiment returns of the markets illustrated by the indexes gapping up, producing trend kicker signals above the T-line. The basic analysis will be simple, if the markets close above the T-line Today, investor sentiment has turned back positive continuing the uptrend in the market. Obviously, portfolios should now be oriented toward the long side. Any short positions should still have compelling weakness, staying below the T-line.

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December 4th Daily Market Comments

Although the market indexes are trading positive Today, note that the NASDAQ and the S&P 500 have resisted and sold back off when it hit the T-line. Until the market indexes can show a conclusive close above the T-line, the market direction is still in question.

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December 3rd Daily Market Comments

The markets closing below the T-line yesterday produces an extremely high probability of a change of investor sentiment. Trade talk tweet’s provided more bearish stimulus, any negative news be an amplified because investor sentiment had confirmed below the T-line yesterday. Maintaining long positions require the lack of any sell signals and continuation above the T-line. When the market shows a reversal potential, having both long and short positions in the portfolio is the viable strategy.

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December 2nd Daily Market Comments

There are certain days when it is prudent not to try to predict the direction of the markets. The day after a long weekend such as Thanksgiving fits that description. Indexes and stocks are more reactionary going into the holiday trading. Upgrades and downgrades get more attention, as witnessed in the downgrade of ROKU Today affecting related stocks, i.e. ZM, NVDA. However, it remains important to see how the markets close at the end of the day. The T-line remains an important trend indicator. Use Today as a evaluation day, assessing which stocks/sectors may be the strong or weak sectors going into the end of the year. It will be important to see the indexes closing above the T-line Today to indicate investor sentiment has not reversed the current uptrend.

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November 26th Daily Market Comments

Today’s positive trading, although not huge, continues to demonstrate the uptrend staying above the T-line. The indexes are in the process of forming J-hook patterns instigated by the gap up positive trading in the indexes yesterday. Currently there is nothing to show any change of investor sentiment. Continue to stay long using the T-line as your final criteria.

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November 25th Daily Market Comments

The indecisive trading days in the market indexes right on the T-line was good evidence that the Bears had not been able to take control. Obviously, Today’s positive trading is keeping the indexes well above the T-line, producing J-hook patterns. The J-hook pattern is the most prevalent pattern set up in numerous bullish stocks. Utilizing these patterns greatly improves profitability due to the results producing much greater price moves. Continue to stay long as long as the market indexes do not create any strong sell signals. Enjoy the uptrend.

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November 22nd Daily Market Comments

Today’s positive trading validates the T-line support, provided it closes positive Today above the T-line. Be ready to close out long positions that are showing definite sell signals if the markets start trading lower going into the Yesterday’s selling required evidence of bullish trading on the open Today to indicate the T-line was still acting as an upward lose Today.

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November 21st Daily Market Comments

The markets are still in a consolidation stage, evidenced by the fact that although trading lower Today, there is not any severe selling, indecisive formations trading right at the T-line level. Although the markets are trading indecisively/slightly lower, continue to hold the long positions that remain above the T-line without any sell signals.

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November 20th Daily Market Comments

The Dow is currently trading back to the T-line after yesterday’s bearish engulfing signal. Unless the Dow can actually close below the T-line the uptrend in the markets still remain the top prognosis. The NASDAQ is trading slightly positive after opening lower, showing buying is still occurring. The analysis remains the same, stay long in positions above the T-line and have logical safety stop’s in place.

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November 19th Daily Market Comments

The T-line illustrates the relevancy of maintaining a position as long as the uptrend remains above the T-line. This is demonstrated in Today’s trading of our recommendation of three weeks ago in CRSP. The same scenario works well in VSTO two weeks ago. The probabilities are dramatically in your favor when a trend continues above the T-line. Today’s market, although trading lower, has not yet shown any reversal of investor sentiment, merely some profit-taking. Stay long but be a little bit more attentive to make sure there is not a severe selling pressure.

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