May 21, 2014

“It is the change in the major trend that hurts most speculators.“ — Jesse Livermore The Nasdaq Composite is in a modest short-term uptrend that began on Tuesday of last week when the index printed a higher high to go with its higher low.     ... [more]

April 13, 2014

“It’s what you learn after you know it all that counts.” — John Wooden Of note last week was the character of the third rally since the Mar. 6 Nasdaq top. Whereas the first two rallies lasted four days each, last week’s rally lasted just two days before another round of selling kicked in. This is an objective sign that... [more]

April 6, 2014

“Notice that the stiffest tree is most easily cracked, while the bamboo or willow survives by bending with the wind.” — Bruce Lee Friday’s Nasdaq downdraft got everyone’s attention, given its being the second-worst day in 22 months. Moreover, volume was the second-heaviest for a downday in nine months. The Naz has shed... [more]

March 30, 2014

“Nearly all men can stand adversity, but if you want to test a man’s character, let him trade.” — Old Trader Last week’s report noted that “…while the averages have not shown undue wear, the leading stocks tell a different story. Many are breaking down. A generous cash position is advised... [more]

March 23, 2014

“Drawdowns are a fact of trading, and how a trader deals with drawdowns will determine the end game.” —Peter Brandt The averages have seen some distribution, but not enough to cause concern. The Nasdaq Composite has seen two of them as marked on the below chart, Friday being excused due to it being the quarterly... [more]

February 24, 2014

“It’s not what we look at, it’s what we see” –Anonymous Shares pause to form an abbreviated congestion area atop a Nasdaq advance of eight-straight days. Volume was reduced for most of last week, a good thing. ... [more]

February 19, 2014

“A good trader merely takes advantage of recognizable patterns that do occur and stays out of trouble the rest of the time.” –Linda Raschke After eight days in a row of Nasdaq up, it is logical to expect some softness. As noted on the Twitter feed at the time, the fourth day... [more]

January 26, 2014

“Many of life’s failures are people who did not realize how close they were to success when they gave up.” –Thomas A. Edison In the wake of the averages’ 2% drubbing of Friday, we would use care about jumping to any conclusions. The following is what is objectively known: 1)    The averages... [more]

January 13, 2013

 “Just win, baby.” – Al Davis Shares continue higher. Leading growth stocks generally act well. The backdrop is quite positive, as low interest rates and low inflation combine with an expanding economy. ... [more]

December 30, 2013

“Many an opportunity has been lost waiting for one last rally or decline.” – Robert Prechter   Courtesy of buying in the wake of the recent Federal Reserve decision to commence the taper, shares are overdone short-term. While this is never a reason to refrain from initiating new commitments,... [more]