September 15, 2019

The market finds itself in a familiar position. The Big Three major market indexes are all sitting right up near their prior highs, but the situation under the hood is less sanguine. Financials and semiconductors have led the market’s latest bid for new highs while other formerly leading areas of the market have been beaten senseless. The NASDAQ Composite Index looks constructive... Read More

September 11, 2019

The daily chart of the NASDAQ Composite Index looks constructive as it successfully tested its 50-dma on an intraday shakeout yesterday and then moved higher today. But underneath the surface of this market, there has been a great deal of carnage in formerly leading groups. Meanwhile, financials and semiconductors, for the most part, keep the indexes buoyant as the market displays... Read More

September 8, 2019

News again kept the rally going on Thursday when it was reported that the U.S. and China would make yet another attempt at trade talks in the month of October. No mention was made of rescinding the current tariffs that are in effect, nor was there any mention of any major agreement or concessions ahead of these talks. But it was enough to send the NASDAQ Composite, S&P... Read More

September 4, 2019

News out of Hong Kong overnight and a 4% rally in the Hang Seng Index had the U.S. futures champing at the bit this morning. While the morning rally embellished the open with a nice shade of green on my quote screen, it was difficult to go with the idea that the situation in Hong Kong was the be-all-end-all influence on the current market environment. But when news algos are afoot, and they... Read More

September 1, 2019

A Dow bounce off the 200-dma on Wednesday set the stage for a market rally, and all the major market indexes careened back up toward their 50-day moving averages and the highs of their current price ranges. The NASDAQ Composite Index gapped up Friday morning and fell just shy of its 50-dma before reversing to close near the lows of the day on lighter volume.   ... Read More

August 28, 2019

Extreme, news-driven volatility continues to dominate the action. Tweets from the President claiming the Chinese called and “want a deal,” counter-claims by the Chinese that no such calls took place, and ever-lower Treasury yields keep things swirling in what is essentially a very volatile price range that is now slightly more than three-weeks in duration. The concrete technical catalyst... Read More

August 25, 2019

The market ended the week with a big sell-off that sent the NASDAQ Composite peeling away from resistance along its 50-dma and back down toward the prior week’s lows. Volume was heavy across the board. The NASDAQ, which had been leading the other indexes by being the first and only index to reach its 50-dma, took the brunt of the selling with an even 3% decline.   ... Read More

August 21, 2019

The major market indexes remain below their 50-dmas and within very choppy “bi-polar” price ranges where overnight futures gaps and slashing moves in either direction are the order of the day. Of the Big-Three market indexes, the NASDAQ Composite has come the closest to its 50-dma. The action on this approach, however, has been met with stalling and churning action just... Read More

August 17, 2019

The market finally found its logical rally point on Thursday when the Dow Jones Industrials Index undercut the prior week’s low and the 200-dma and rallied. That was a typical U&R through a prior low and a key moving average, setting up a two-day rally off Thursday’s intraday lows. The U&R is often a much more reliable bottoming indicator than a follow-through... Read More

August 14, 2019

Untradeable macro-risk. The phrase makes more sense the longer this market trades. This is a market that can’t be trusted, and the action over the past two days poignantly highlights that fact. News yesterday that China was agreeing to possible phone talks with the U.S. over trade in a couple of weeks and the delay of $80 billion worth of Chinese tariffs to December 1st lit up the news... Read More