June 2, 2014

“When nothing seems to help, I go look at a stonecutter hammering away at his rock, perhaps a hundred times without as much as a crack showing in it. Yet at the hundred and first blow, it will split in two, and I know it was not that blow that did it, but all that had gone before.”                                                ... Read More

May 26, 2014

“Discipline is the bridge between goals and accomplishments.” — Currency trader The Nasdaq Composite put in a technically significant, if unheralded, pair of outings on Thursday and Friday. Thursday, the index printed a second higher high and Friday price cleared the top of a four-week trading range. ... Read More

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.     ... Read 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... Read 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... Read 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... Read 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... Read 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. ... Read 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... Read 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... Read More