$HUM momentum is very strong, already V recovery next to the all time highs. Same fractal keeps repeating on the way up, set up for a nice breakout.
After adjusting the TSX for currency we find the astounding similarities in every correction/crash. All "V" recoveries follow near the exact same pattern as you can see laid out from the 2009, 2016, 2019, 2003 SPX, and 2019 SPX fractals.
Since Bitcoins parabolic run up to near $20,000 it has fallen into a large consolidation pattern resembling a symmetrical triangle or pennant. While this type of pattern is a continuation pattern around 60% of the time a bearish break can be devastating. You can see the results when this happens in both ADS and ACB and even bitcoin after its 2013 run up. This type...
DXY appears to have formed a multi decade falling wedge that is breaking out and forming something looking like a cup and handle. This could take many years to play or we could see a rapid strengthening of the DXY. The DXY maintains bullish as long as price remains above the dashed trend line . Seems with central bank all printing money this is turning into a...
SPY appears to be forming a nice bull flag. While it did appear there was a rising wedge forming (dotted white lines) this appears to be a non event as there was no impulsive breakdown with no increase in volume. This pull back has only re-traced 38.2% with the hourly RSI hitting the near the oversold level which produced a nice bounce. This could easily continue...
$SPY is currently in a nice rising wedge which looks like it could reach 300 where the 200dma, 20wma, and 50wma reside. This would set up a nice short opportunity down to 275
Based on the sudden drop and V recovery in progress this is looking very similar to Feb 2018. Some sectors are extremely weak while others are near all time highs. It seems reasonable consolidation is needed for sector rotation to occur. As we cut through the 200wma on the first leg down and now have regained it, it seems reasonable the market will want to retest...
It looks like the vix has put in its high at 85, current momentum continues to be down even while the S&P500 also moved down the last few days. This type of divergence between vix and spy leans to be bullish for the S&P500. Historically large vix spikes are met with retracement around .618 to .786 or 50dma and 200dma. Will be watching to see if the 50dma (39 vix)...
Nicely off the 200wma, maintaining in the channel, near historically low PE ratio.
Oddly enough we are in the perfect scenario for this to happen.
Looks like its heading to the lows or a little lower.
FB like the other mega tech companies is looking great. Currently 23.5 PE with forward PE of 16.5. Lot of cash,virtually no debt another great balance sheet and high growth company. Been going through a very long consolidation bringing it to a great valuation.
$GOOGL has gone through a 2.5 accumulation phase maintaining a strong support above $1000. It has left it at a very attractive valuation with 22 PE ratio and 19% yearly growth rate. Google is very financially healthy with $120 billion in cash while their total liabilities are only $75 billion, balance sheets don't get better then this. They also stand to benefit...
CVS is finding support on the 200 monthly ma and some trend lines. It can be looked at that they been making a large bull flag since 2015. Overall fundamentals look good with consistent profit and steady growth. They have a nice dividend of 3.8% currently and have consistently raised their dividend in the past. They showed relative strength in the market today...
During the 2019 rally I noticed the similar structure to 2008 as you can see in my chart below. The correction also seems to be following the 2008 pattern yet at an unexpected fast pace, largely due to the 33% drop in oil after covid19 acted as a catalyst for the initial drop. The market was always set up for this correction before covid19 and with a quicker drop...
Breakout out of a large consolidation on high volume, additional they are working on a corona drug.