Shifting Sands in the Top Five At the end of last week, there were some interesting shifts in sector positioning, though the composition of the top five remained unchanged. Let’s dive into the details and see what the Relative Rotation Graphs (RRGs) tell us about the current market dynamics. At the close of trading on Valentine’s Day (February 14th), we saw a bit of a love-hate relationship playing out among the sectors. Here’s how they...
For us at EarningsBeats.com, earnings season is the time to do our research to uncover the best stocks to trade over the next 90 days, or earnings cycle. We do this in various ways. Our flagship ChartList is our Strong Earnings ChartList (SECL), which honestly is nothing more than a sophisticated WatchList that organizes annotated charts with key price/gap support levels, simply as a reminder throughout the next quarter as to where might be great...
It was another mildly bullish week as our major indices climbed very close to new, fresh all-time highs. We also saw a return to growth stocks as we approached breakout levels, which is a good signal as far as rally sustainability goes. Despite this, there remain reasons to be cautious and I’ll point out a couple of those reasons below. Negative Divergences The S&P 500 ($SPX) and NASDAQ 100 ($NDX) both seem to be losing...
The Indian equity markets remained under pressure over the past five sessions, witnessing sustained weakness throughout the week. The Nifty50 faced resistance at key levels and struggled to find strong footing as it tested crucial support zones on two separate occasions. Market volatility surged significantly, with India VIX rising by 9.72% to 15.02, signaling heightened uncertainty. The index moved within a wider-than-usual trading range of 793.75 points, reflecting increased turbulence. By the end of the...
The stock market is like a river — constantly changing without knowing what lies ahead. Sometimes it’s calm. Other times it’s choppy. And when the stock market is choppy, it can leave investors in a dilemma, leading them to make irrational investment decisions. The broader stock market indexes have been choppy lately, going up one day and down the next. Frequent news headlines such as tariffs, inflation data, and earnings influence market price action. This...
How can we define the market trend on multiple time frames, so we can better identify trend changes and ensure we are following the drive of market forces? Today I’ll describe my proprietary Market Trend Model to define the short-term, medium-term, and long-term trends, and share what it’s telling us about market conditions in February 2025. Using Moving Averages to Define the Trend Using a simple daily chart with the 50-day and 200-day moving averages,...
As part of the DP Alert, we cover Bitcoin and the Dollar every market day. We have been watching some bearish indications on both Bitcoin and the Dollar with the double top chart patterns. On Bitcoin, price has been moving mostly sideways above support at 90,000. This happens to be the confirmation line of the double top formation. The chart pattern calls for a decline the height of the pattern. This would give us a...
The news cycle is in high gear lately, leading to some extra volatility. Traders reacting to the news are getting whipsawed, while chartists remain focused on what really matters. Price. Price isn’t everything, it is the only thing. News, rumors, fundamentals, the Fed, government policy and everything else are reflected in price. And, perhaps more importantly, it is easier to follow price than to distill the news. As chartists, it is not our job to...
Intel’s stock price has struggled for most of 2024, even as most of its semiconductor cousins were thriving. Why pay attention to Intel Corp. (INTC) now? The stock showed up on my StockCharts Technical Rank (SCTR) scan, which is a good enough reason to analyze the stock. The scan is provided at the end of the article. Vice President JD Vance emphasized the increase in US AI systems manufacturing in the AI summit in Paris....
Not everyone likes to take a contrarian stance. Most people prefer to move with the market, not against it. But for those who thrive on going against the grain, extreme market movements — whether a rally or selloff — present opportunities. Wednesday morning was one of those sessions. The Consumer Price Index (CPI) report came in hotter than expected, sending markets into an early plunge before trading mixed later in the day. This presented an...
