Does This chart look bearish

Does this chart look bearish?

I do not know many times I sit back in my chair and tell my students this statement this year in 2013. It seems every time the fed talks they rally up the market 10 - 20 points.

I know people have been calling for a correction and a crash, and hey while that could happen tomorrow or in the next week I had a look at the IWM or RUSSELL 2000 daily chart, and I must say I no matter how I look at it, I am having a hard and difficult time to find something extremely bearish to say!

I can't believe I have to apologize on my own blog for being a broken record. HAHA. But here I go again. LOL. The black line below on the RUSSELL chart below is the line in the sand I feel. Above this black line is bullish, and below bearish.

We can also see the MACD is turning pretty violently too. So the next few weeks will be interesting.

I see everyone talking about TAPERING coming soon still, and OK, I agree tapering will have to start somewhere down the track, but there is not use giving you dates because I do not have a crystal ball. I wish I did, but that is whole other story. For now TAPERING IS NOTHING MORE THAN A MYTHICAL NOVEL THAT IS BEING WRITTEN.... right now nothing has been done, and the fed continue to throw more money into this market. There is no use guessing when tapering will happen until action is taken, and it's much more important to watch and trade charts.

Currently the IMW is sitting at 110.5 and looks like it is firming up for its recent sideways action. The target might be 112 - 114 if there is more positive news to occupy news land in the coming weeks.

IWM Chart

Market update october

Market update October

There is no doubt the GOVT shutdown is having some sort of affect on the market, but it is more directly related to the debt ceiling agreement that is coming up in the next few weeks. We shall see what sort of BS the congress has in store for us then. I always get a good laugh out of their lies, BS and propaganda. Thank goodness that in the VIP MEMBERS AREA HERE  we only  concentrate on all the charts that do matter. It has been a good week for our  VIP MEMBERS  HERE 

Onto the charts.....

With all this downdraft on the markets, you can see that the S&P is in a downwards channel. Things are still favoring the bears, and below 1700 should be bearish, and above this level should be bullish in my eye. We shall see what happens next!

spx daily chart 

We have been watching the VIX very closely, as a few days ago, we did warn it was staring to look particularly strong! Just look at all the events moving the vix at the moment, pointed out in the chart below. Today we broke 18 on the VIX as you can see, but by the close of the market the sellers came right back. Breaking 18 today, is significant, and does mean two very important things.....

1) Traders are looking for a flight to safety and insuring their bets on the market. 

2) There is a good chance we see higher prices on the VIX soon. 

If these things are true, it will only put more pressure on the stock market and indices.

VIX chart

WHAT IF YOU KNEW WHICH WAY THE MARKET WAS ABOUT TO MOVE BEFORE IT HAPPENED?  CLICK HERE To Join Our VIP ELITE GROUP  -- FREE!



Powered by 123ContactForm | Report abuse

Stock Optimism Back At 2009 Levels

Investor bullishness for stocks is improving, but Wall Street’s optimism is still below levels seen in March 2009, when the S&P 500 Index SPX  and the Dow Jones Industrial Average DJIA  had both cratered more than 50% from previous highs to 667 points and 6,470 points, respectively.

Check out the chart below.

Bullish sentiment for stocks in August reached a 16-month high, according to Bank of America Merrill Lynch’s Sell Side Indicator. The contrarian indicator — which tracks the average weighting strategists are recommending for stocks, signalling a buy when Wall Street is bullish and vice-versa — reached a level of 52.9 in August from July’s 52.3, said Savita Subramanian, B. of. A’s equity and quant strategist, in a note Tuesday.

That level’s just shy of the 53 reading in March 2009 and below the current “buy” threshhold of 54.6, and both fall below the long-term benchmark average stock weighting of 60% to 65%. The indicator hit an all-time low of 43.9 in July 2012, when the Dow industrials were in the neighborhood of 13,000 and the S&P 500 finished the month around 1,380.

“With the S&P 500’s indicated dividend yield above 2%, that implies a 12-month
price return of 17% and a 12-month value of 1,906,” Subramanian noted. “Although this is not our S&P 500 target, this model is an input into our target, which incorporates valuation, sentiment and technicals.”


WHAT IF YOU KNEW WHICH WAY THE MARKET WAS ABOUT TO MOVE BEFORE IT HAPPENED?  CLICK HERE To Join Our VIP ELITE GROUP  -- FREE!



Powered by 123ContactForm | Report abuse

SPX DAILY CHART - Downward Channel

SPX DAILY CHART - Downward Channel


We are now in a clearly defined downwards channel on the S&P 500. This market has been in serious trouble since the 1st Of August! Something tells me we are not done on the downside yet, but with the SYRIA crisis overhead and also the TAPERING news, things sure are getting interesting!!

SPX DAILY CHART - Downward Channel

WHAT IF YOU KNEW WHICH WAY THE MARKET WAS ABOUT TO MOVE BEFORE IT HAPPENED?  CLICK HERE To Join Our VIP ELITE GROUP  -- FREE!



Powered by 123ContactForm | Report abuse

Bearish flag showing

I was awake at 3am this morning and witness some pretty heavy sell stops going off one after the other today, and it seems that they were not finished today, and we are most likely to see more of the same either today or possibly later in the week.

Also we have broken out of a bearish flag on the DAILY SPX CHART so the bears are still winning here, and giving alot of weight to the market right now! OUCH!

bearish flag on SPX chart

WHAT IF YOU KNEW WHICH WAY THE MARKET WAS ABOUT TO MOVE BEFORE IT HAPPENED?  CLICK HERE To Join Our VIP ELITE GROUP  -- FREE!



Powered by 123ContactForm | Report abuse

sp 500 historical chart - spx monthly chart

sp 500 historical chart - spx monthly chart

Lets take a quick trip down memory lane! The sp 500 historical chart or spx monthly chart we can zoom back and take a look at the market on a more longer term view. It is not a waist of an exercise as you will see.

The spx monthly chart tells a very interesting story.

sp 500 historical chart - spx monthly chart

You can see after the DOT COM crash we bottomed out in 2003 and this signaled the start of a nice bull run that lasted several years.

Next you will remember the start of the financial crisis in 2008 and the market crashed back down below the lows of the DOT COM crash.

Since 2009 the market bottomed and has not looked back since, we have been in a very healthy bull market since then.

Alot of analysts are looking at this spx monthly chart and warning of another market crash, because they are comparing the recent highs to the last two highs seen in the last decade or so, and are adamant that we are about to crash or see the same pattern we have seen in every time we get up to these heavy resistance levels.

Now that is a good analogy, but the market does not work like that. It is an eating, breathing, sleeping dragon and in all my years trading and watching the market I have learnt to always expect the unexpected.

Right now is far to early to start contemplating what COULD happen because we are still in a BULL market. There are no signs telling me this will stop tomorrow, next week or by next month. I am not saying a sell off is impossible, infact a nice sell off is overdue, I will be the first one to admit that, however we are in a bull market that started in 2009 and on a average they do not just stop one day and decide to turn around.

Right now is not the time to speculate and simply use support and resistance lines to pre-empt a crash or major sell off.

It is clear the market is still very healthy, and even if we see a large sell of this year in 2013, that will not change the overall picture that the market seems to very BULLISH right now. Its a two steps forward and one step back. Yes! Nothing goes up in a straight line! so even if we do see a nice correction occur in the months ahead, that will only add fuel to the fire that the bulls have been providing.



WHAT IF YOU KNEW WHICH WAY THE MARKET WAS ABOUT TO MOVE BEFORE IT HAPPENED?  CLICK HERE To Join Our VIP ELITE GROUP  -- FREE 10 Day Trial Offer Today!



Powered by 123ContactForm | Report abuse

For all other enquiries ==>  CLICK HERE TO CONTACT US

appl chart - appl chart bearish

appl chart - appl chart bearish ?

looking at the appl chart there is no doubt the appl chart seems to be in trouble.

In 2012 the appl chart did nothing more than create a massive head and shoulders pattern.

At the start of this year 2013, the appl chart broke down from the head and shoulders pattern and has been in trouble ever since.

Right now, the appl chart has broken down below its major rising support line and does not look healthy at all.

The indicators on the appl chart do not look that convincing either for a big bounce coming, and with the problems with apple sales at the moment, I think this is just going to add to their mix of bad problems in 2013.  

I think that one of the most alarming things for the appl chart, is that while the market has been rising in 2013 the appl chart looks like death warmed up. Oh dear!

appl chart

WHAT IF YOU KNEW WHICH WAY THE MARKET WAS ABOUT TO MOVE BEFORE IT HAPPENED?  CLICK HERE To Join Our VIP ELITE GROUP  -- FREE 10 Day Trial Offer Today! 

silver price chart 1 year - silver price chart 1 year analysis

silver price chart 1 year

If we take a look at the silver price chart 1 year we can see something interesting.

What we should note is that the red highlighted section was a nice downward run.

The Yellow highlighted section is sideways movement. When you have a look at the green longer term support we have not gone down below that. Infact every time silver goes down to the green support line we bounce off it. We are close to that line, but its key to note above it is bullish, and below it would be very bearish, if it does break in 2013 this year.

silver price chart 1 year

WHAT IF YOU KNEW WHICH WAY THE MARKET WAS ABOUT TO MOVE BEFORE IT HAPPENED?  CLICK HERE To Join Our VIP ELITE GROUP  -- FREE 10 Day Trial Offer Today! 

slowly slowly catch a monkey

slowly slowly catch a monkey

The s&P chart below is telling us a lot right now. While I keep seeing people scream down the markets are not saying that yet.

We are overdone on the upside and met our 1500 targets, however the market does what it does best, listens to no one or nothing. Right now the market is still in a skinny upwards channel. So far that channel has been holding, and for now that is NOT BEARISH.

spx daily chart

WHAT IF YOU KNEW WHICH WAY THE MARKET WAS ABOUT TO MOVE BEFORE IT HAPPENED?  CLICK HERE To Join Our VIP ELITE GROUP  -- FREE 10 Day Trial Offer Today! 

Nasdaq Weekly Chart - The Nasdaq weekly chart

Nasdaq Weekly Chart

If we have a look at the Nasdaq Weekly Chart we can see just how amazing it is.

Now for those out there that do not know the different between bullish or bearish.

Bullish = When you see a chart go from bottom left to the top right that is bullish. 

Bearish = When you see a chart go from top left to bottom right that is bearish. 

The Nasdaq Weekly Chart is still showing us the bulls are in control.

Since 2009 we have not broken the fantastic rising support line seen below.

nasdaq weekly chart

No matter what the pundits out there are saying, this chart is bullish. Now I am not saying we will not see some dips, and maybe even some gigantic dips, but do not be surprised if we finish alot higher by the end of 2013. :-)


WHAT IF YOU KNEW WHICH WAY THE MARKET WAS ABOUT TO MOVE BEFORE IT HAPPENED?  CLICK HERE To Join Our VIP ELITE GROUP  -- FREE 10 Day Trial Offer Today! 

us bonds daily chart - us bonds daily chart look horrible

us bonds daily chart look horrible

If we take a look at the us bonds daily chart it looks horrible at the moment.

Right now it looks to me that this chart has a bearish flag that has now been broken, which as  you know the us bonds daily chart is the inverse to the S&P 500 so that means this is bearish for bonds, and bullish for stocks and equities at the moment.

WHAT IF YOU KNEW WHICH WAY THE MARKET WAS ABOUT TO MOVE BEFORE IT HAPPENED?  CLICK HERE To Join Our VIP ELITE GROUP  -- FREE 10 Day Trial Offer Today! 

ascending triangle pattern

ascending triangle pattern

There is nothing much to report here in OPEX, as all seems to be quiet going into the end of the week.

Tomorrow we have the JOBLESS CLAIMS, the philly fed, and a few earnings report to kick off the day.

It seems right now, every time the S&P comes off 5-7 points we rally higher into the end of the day.

What I thought was worth mentioning is the NASDAQ chart which seems to be bumping and grinding a little higher. But on the daily chart below, we seemed to have formed an ASCENDING TRIANGLE on a pole.

normally these sorts of patterns precede higher prices, especially with the indices.

ascending triangle pattern

WHAT IF YOU KNEW WHICH WAY THE MARKET WAS ABOUT TO MOVE BEFORE IT HAPPENED?  CLICK HERE To Join Our VIP ELITE GROUP  -- FREE 10 Day Trial Offer Today! 

Bull market or bear market - are we in a bear market

Bull market or bear market - are we in a bear market?

I see alot of analysts saying we are in the start of a bear market, or the market is looking bearish here. 

Forget the noise, it is best to follow the charts. And here is a good one as you will see below.

This is the bull / bear market indicator, and you can see just how good it has been for the last 10 or so years.

There is no guessing with this chart, you can clearly see we are currently in a bull market at the moment. See how the red and blue lines are moving up in tandem. That is a clear case that we are still in a bull market. 

bull market

WHAT IF YOU KNEW WHICH WAY THE MARKET WAS ABOUT TO MOVE BEFORE IT HAPPENED?  CLICK HERE To Join Our VIP ELITE GROUP  -- FREE 10 Day Trial Offer Today! 

Transports busting out - Look out above

There is no need to post lengthy charts today, as the market is doing exactly what we have been predicting.

This week is normally statistically bullish by the end. But you must have a look at the DOW JONES Transports chart (which is the leader of the market)

After weeks of being in a range, today it busted out, and its looking very very nice. :-)

1 week ago we were talking about 1500 coming on the market. CLICK HERE TO SEE. 

Right now, with the action in the last few days, that does not seem too far off or distant now. WOW!

Make no mistake about it, the bulls are so far looking like they are going to have a MERRY XMAS, and the bears, well....looking at some of the charts, they are in serious serious trouble.


WHAT IF YOU KNEW WHICH WAY THE MARKET WAS ABOUT TO MOVE BEFORE IT HAPPENED?  CLICK HERE To Join Our VIP ELITE GROUP  -- FREE 10 Day Trial Offer Today! 

Walking On Water

The S&P is still in limbo while we wait for some sort of direction. But I do have some interesting statistics for you today.

But first the S&P 500 chart.....

It seems that over the last week or so we have created an ascending triangle. These are seen as bullish patterns, but we must first break to the upside and resistance line of the pattern first for more buyers to come back in. I significant break below the bottom ascending line will bring upon more selling. So now we just sit and wait!!!!

My intuition is telling me the US administration is going to do whatever it takes to push the market up going into the elections. And when you control the Treasury and own the Fed you can control the Stock Market Direction, despite a horrendous unemployment situation and a near comatose economy.

As a side note, what I want to say here, is that OCTOBER each year is known for its extremely large sell offs and even crashes that can occur on the market. But let me be the first to tell you it has also been known as the "BEAR KILLER" meaning there has been very significant gains or rallies in OCTOBER too.

Hope that puts things in perspective for you.

Happy Trading :-)

Line In The Sand - The USD and line in the sand

Line In The Sand - The USD and line in the sand

Our VIP ELITE GROUP have been going gangbusters lately. I did want to post something in the FREE section here.

What I did notice today is that the US Dollar is that is is coming up to the line in the sand here. Currently trading at 79.82 the real line in the sand (or falling resistance line points) is about the $80 level. If it can break through this level the S&P is NOT going to like that, and it will create more selling. However, if the USD fails to get back past this $80 level, then the S&P which has been Bullish lately will find even more support and we will shoot higher.

I am also here, to remind you that the QE3 buying starts on friday, so it is my opinion that things will be volatile around then and you will have to be on your toe. But for now, watch that USD chart...its quite telling. 

Happy Trading :-)

WHAT IF YOU KNEW WHICH WAY THE MARKET WAS ABOUT TO MOVE BEFORE IT HAPPENED?  CLICK HERE To Join Our VIP ELITE GROUP  -- 30 Day Trial Offer Today!    

Bears Won Today

Well the bears had a ball today! As was expected the Transports have been leading the charts and warning us that a day like this was in the works for weeks now. So I am not surprised.

Have a look at the hourly chart on the S&P it was pretty much a bearfest day from start to finish!!

With the TRIN over 2, and tick heading to the oversold area, I do think that ( Level For VIP MEMBERS ONLY ) level is coming very soon.  But patience is required.


On the daily chart the S&P is still within the upwards channel, but after today we zoomed back down and stopped right at the bottom of the rising channel. So now we are at a make or break level. The next few days will be interesting!!!!

WHAT IF YOU KNEW WHICH WAY THE MARKET WAS ABOUT TO MOVE BEFORE IT HAPPENED?  CLICK HERE To Join Our VIP ELITE GROUP  -- 30 Day Trial Offer Today!    

Bulls 2 Day March! - Ole

TGIF (Thank God It's Friday), Well it has been a long week, the jobs report came out today a little bit on the weak side, but again as sentiment keeps saying that really has not affected the S&P to the downside. We had a Very typical small range that normally occurs after a big up day. Even though it was a smaller range day today it seems that the bulls still have control of this market for now.

What we do want to note is that the market right now is up against its 1440 highs a level we saw back in MAY 2008, and that is a very important level there. Again, we must be cautious, but sentiment trader is warning there is a bit of a small melt up type situation that seems to be playing out.

The market still remains strong and within the upwards channel we have noted several days ago.

There is not much economic news coming in the next few sessions, however there is the FOMC next week, that alot of traders will be watching.

Happy Trading :-)

WHAT IF YOU KNEW WHICH WAY THE MARKET WAS ABOUT TO MOVE BEFORE IT HAPPENED?  CLICK HERE To Join Our VIP ELITE GROUP  -- 30 Day Trial Offer Today!