OptionsRising

OptionsRising

I have been wondering if IWM is still a leading indicator (linked chart). Today while everyone is celebrating new highs in SPY - media talking about the coming economic boom - IWM is quietly resisting the 20sma and looks like it wants to move lower. The orange circle shows that RSI dipped below 50, bounced above on 8 Apr (retest), and is below again today. 10ema...

OptionsRising

Please read chart notes. Yellow and orange arrows show how VIX moved lower as S&P 500 resumed its uptrend. However VIX is below 20 after a long time, and these two inside candles contradict the index price action. IWM is retreating from 226 resistance; though I wonder if it still serves as a leading index. On the S&P, RSI is high and should turn lower. More...

OptionsRising

Please review chart details to see how the 30m and daily charts are setting up nicely together for a swing call trade. Dashed lines mark upside targets. The price drop was unpredictable, and so is the amount of buying that may ensue. The stops indicated are based on time of posting. If price closes over 44.75 today then there is a bullish engulfing on the...

OptionsRising

For a long time the Dow Jones Transportation Index (DJT) and Russell 2000 ETF (IWM) were used as leading U.S. market indicators. Now with all the federal market manipulation (via the bond market) I am not sure how much this still holds true. Assuming the IWM still gives useful insight, I see reason to pause the buy-everything exuberance and tread with great...

OptionsRising

The chart is simple to read with RSI and stochastic both turning up. You can trade up to the blue line, even a day trade. Hold for break higher or reenter after line is broken, since there could be a pullback first or line may hold. For a longer hold I want to see moving averages cross up. Risk is low because stops can be a certain price and/or a percentage of...

OptionsRising

Shown on the 65m chart, RSI crossed over 50, came back to test it twice, and gradually moved higher. Normally this "double dip" test plus a trade above the signal candle results in a strong move higher. In this case GME could move to 218-220 (white bar) to complete an inverse head & shoulder pattern, but first price has to get over 205 (dashed line). On the...

OptionsRising

EV stocks compared to Volkswagen - Nio, Tesla, Li Auto, Workhorse Group, Kandi Technologies, Arcimoto, BYD Volkswagen recently drew attention with its plans to compete in the EV market, and investors bought into the news. Look at a 2021 daily chart, and it is striking that seven popular EV stocks are all negative for the year. These stocks made sky-high gains...

OptionsRising

Please see notes on chart. I am seriously minding the 10yr yield - if it moves to 1.9-2.0 there could be spook selling. I use RSI-price divergence often and I highlighted bullish divergence on charts (black lines) to show that since the larger trends are down, a bullish divergence does not necessarily mean a complete trend reversal. It could, but it also...

OptionsRising

For context, see that price is still high over the weekly 20sma. Here you see orange lines that show 218-218.20 support and bearish divergence. RSI dipped below 33.33 on hourly (bear sign) and is below 50 on daily. Hourly downtrend is strong, with price staying below 10ema.

OptionsRising

I am using these 3 indicators on a 30m chart: * RSI (14-day) - test and fail at 50 * Tenken and Kijun lines with 20sma * Resistance and support lines Trade Idea: * After RSI dipped below 33.33, I look for a bounce up to fail. In this case there is a white resistance line * 20sma is in the cloud so price could chop, but it is in a downtrend. I pair this with a...

OptionsRising

Look closely at the chart, and you can see an inverse H&S that has an extended and incomplete right shoulder. You can also see the rising channel (bear flag) consolidation pattern from a significant price drop. As the white lines show, this strange tug-of-war market action may go on a bit longer. Based on my earlier post (linked) I was leaning towards put...

OptionsRising

There are signs of price meeting resistances on daily and intraday time frames in market indexes. The circles on daily VIX are marked by red lines on hourly chart, showing bullish divergence. There was a significant move lower in mid-March and markets have been consolidating since. IWM looks like it is leading lower with a big move today. I am wondering if VIX...

OptionsRising

This is an important time for Nasdaq stocks. RSI and price action on both daily and weekly charts show the possibility of move in either direction. Here is what we see on the weekly: * the highest price peak was matched with bearish RSI divergence, which led to a sharp pullback * price has touched 20sma twice and RSI has touched 50 twice - possible setup for a...

OptionsRising

As markets digest the Fed's news conference and the US 10yr yield finds direction, I am looking for TSLA to react accordingly. If you look at US 10yr yield and TSLA intraday on 17March, you will see between 2-3 yields were rising and price dipped, and then the reverse happened towards close. On the charts I have marked possible RSI movement. Of note is that...

OptionsRising

Please read this explainer to understand the chart. @TradingView suggested we could compare performance of TOTAL with global stock indices. I started looking into this but realized that Bitcoin/crypto is influenced by currencies and rates more than by stock markets, and there is much written about China as "controller" in the cryptosphere. I skipped gold since...

OptionsRising

See green marks on chart. The FOMC meeting release on Wednesday afternoon should help this move up in the next 48 hrs, and after that who knows. There is so much focus on what will happen in the bond market. Stock markets are like puppets on strings - the strings move first but most of us only see how the puppet reacts.

OptionsRising

There is news about partnerships with tech companies. There are plenty of other companies that will use 5G for their service or product, and they may offer better returns with more risk and volatility. So NOK is a good stock to own for a lower risk, more stable 5G-based investment. RSI is over 50. Stochastic %D should start rounding up. The weekly downtrend...

OptionsRising

With all the talk about how "hot" the US economy will be in 2021, I was curious to see what has been happening elsewhere. I selected market indices that are comparable to the Dow Jones and charted performance since 2020. The UK has struggled the most, with Brexit issues adding to pandemic recovery. Europe has just recently crossed over the white line and if it...