The time cycle on the chart is 4 hours. In part 2 I said there were other indicators I used to determine the STRENGTH in MO (Altria Group). Here they are, and for fun lets call them "Don's Top Ten Technicals": 1. The Ichimoku Cloud is rising. 2. Prices are trading above the cloud. 3. Prices are trading above the thick red Ichimoku Cloud Conversion line. 4. The thick red conversion line is also rising. 5. The thick black line is the Ki jun-Sen baseline of the Ichimoku Cloud, which is rising and now above the cloud. 6. The indicator on the top of the page is RSI / Stochastic, and this is strong. 7. The top middle indicator is vortex and it is extremely strong (green over red). 8. The Top (bar-type) indicator measures the "phase energy" of the stock, and this is extremely strong. 9. The green fractal arrows are up. 10. Look to the far right on the chart, around $63.00. You will note a yellowish line on top (lips), with black dots below (teeth), and a blue line (jaw) below the black dots. Now, all three are rising, correct? This is where I ask you to use your imagination and envision these three items as the "widely separated jaws of a feeding alligator". This is a very positive indication of the uptrend. MO is making all-time highs, and I believe it will continue to do so until the confluence of technicals tells me differently. Part 4 of this series will be of SPY, and I will show you the same analysis that is on the above chart, only on the weak side. It is my intent that after you view MO and then view SPY you will be able to tell the difference between strength and weakness. I hope this has been helpful, entertaining, and informative. Yours for better trading, Don.
