SviCapital

SviCapital

After a consolidation period (a smaller rectangle) the market broke to the upside. This is a good example of a technical breakout when a smaller consolidation takes place before breaking a well established level. That breakout has higher odds to stick. At this point the market is trying to establish a short term top before entering a new consolidation phase. Buy...

SviCapital

Relentless grind is today's market theme. The market is in a melt up mode. Shorts get run over and only add to the upside move. They are the best buyers after all. One need to understand the current backdrop: massive buyback and QE. All that effort is directed to prevent the last year December fiasco and to make sure that Santa rally is on the way. Until that...

SviCapital

The company was making headlines recently due to its excessive buyback program. This is the backdrop of the relentless upside move. However, at this point the upside channel is broken and the price entered a consolidation phase. On Friday, the price formed a double bottom with a notable positive divergence. This may play out in a short term. Watch for a...

SviCapital

For the last several days the market remains in indecision state. The daily 20 MA was tested several times. The buyers continue to defend it. The larger timeframe bullish bias prevails. The short term bias is neutral. That invites both side to trade while creating momentum trades off inflection points with the help of headlines. Fake outs are quite common when...

SviCapital

The market has reached the projected level making a new ATH. One can admire how the market structure and geometry continue to provide a valuable inside ahead of the price movement. A few things to consider going into the next week: - The market formed a balance at the current top. Its breakout would suggest a continuation to the next projected level 8350. A...

SviCapital

The sellers made an attempt to break the channel bottom today. With a low volume and lack of participations they failed to follow up. Responsive buyers managed to reverse the entire move and push back into the broken channel. Piled shorts got squeezed. The market is closed at the resistance. Tomorrow is option expiration Friday. It may spike much needed...

SviCapital

The buyers were active right off the opening and pushed to a new all time high. One can see how the geometry and the structure shown on the chart represent the price action well. An exhausted move to 8300 found some profit takers who managed to push back below the previous ATH. Watching that action I was thinking that it looks like there were no new buyers who...

SviCapital

The market remains resilient and the bulls are active to defend the recent accomplishment 8200 level. Perhaps reaching and breaching the next 8300 milestone is in their minds. Jokes aside the price moves up not because there is a strong desire to acquire the product. Put it simple: there is no strong supply met yet. This is e-trading. The volume is low and the...

SviCapital

The market continues to exhibit a strong bullish bias. Small pullbacks are bought. Any attempts to start a bigger correction are met by headlines. Nevertheless, one can observe the harmony in those movements and predictability of projected targets. For people who wants to shorts those opportunities are there. The market, through its price action, tells exactly...

SviCapital

A grind to a new all time high is a recent theme of this market. Fueled by China news and NFP the market had yet another risk free Friday. One need a patience of a monk to sit through the grind. One of the solutions is "set and forget" while doing something more productive. This market needs a reason to sell. Technicals are important, but not enough . Whoever...

SviCapital

A strong move up has broken the recent balance, outlined on the chart, and came very close to the all time high. This is a momentum move off 2 weeks point of control (7940) that took many shorts by surprise and caused the squeeze forcing them to buy. There are no better buyers than trapped sellers. At this point we need to watch whether it was one time Friday's...

SviCapital

Despite continued negative sentiment and talks about deep correction this market won't go down until the technology sector remains afloat. The price is channelling up and if the breakout happens it would be a very bullish event. A breakdown of the channel would lead to a liquidation move. That would drag the broader market down. The big tech companies: AAPL,...

SviCapital

Retest of the resistance and failure led to a liquidation move. Breaking the recent wedge added to the downside momentum. Since the move happened off the top of the balance it got exhausted half way to the stronger support. The buyers took advantage of that and pushed back. The market closed at the inflection point. Ideally, we should see a reaction and...

SviCapital

Today, the price continued to retreat off the recent highs within a projected consolidation area. The price follows the market action theory. The wild swings and spikes are the reactions on the headlines. Until the earnings are posted I anticipate to see a consolidation. One can trade the edges of the balance. Since the price is in an uncharted territory it is...

SviCapital

Exhausted upside move found a short term top and started to retreat. Potential targets are half of the projected consolidation area and its bottom. There is no strong rejection to suggest that the sellers are back. Most likely the consolidation would go on until the stock earnings. Depending on one's view on the market short and long positions could be...

SviCapital

An update to my previous post related to this security. A steep run up to reach the top is today's theme. Led my big tech names AMZN, GOOGL, MSFT the rally has ended at the recent top. A new smaller wedge is added to monitor the progress of that move. It remains to be seen whether the sellers show up at the top. However, we could see profit taking and some sort...

SviCapital

The price is channeling up to the important resistance level. If reached that would be a third retest of that level. A successful breakout would be a very bullish event. The technology sector is an important part of the major indices especially Nasdaq. I outlined some potential scenarios. For now, the bulls have the priority. As long as the price stays within...

SviCapital

A wedge breakout and a new all time high is today's story. Headlines, analysts expectations all contributed to fuel the price. The stock is an uncharted territory. At this point buyers need to defend the breakout level to keep the upside intact. My expectation, based on the market theory, is to see a pullback to establish a short term floor and then beginning of...