When stocks break out, the algo's are using intraday charts to time entries.
One of my favorite strategies is shorting weak stocks, with earnings coming, that are only up because the SPX has pulled it up.
This is one of the better looking drug stocks. There is very little resistance over the trendline.
With too many traders leaning long in this stock, look for TSLA to break to 180.
I have warning for a year, that investors are perceiving that Bitcoin is another "safe haven" to park cash. I'm not saying Bitcoin is safe, but the negative correlation is hard to ignore. I originally posted this on www.simplerstocks.com.
SP500 showed nice trades, when the trendlines were broken.
The best sell signals occur when the actual price is BELOW the 49 EMA.
In a plunging market , look for momo leaders like UA to fill their gaps.
The German DAX has undercut it's July low. Expect the same from the SPX.
KSU forming a rounding bottom. The overall market is rotating to buying this year's loser's.
Broadening top forming in the DAX. Doesn't mean to short it , yet.
GOOGL really needs to hold here, or 600 is possible.
I'm watching the major trendline next week. If broken, look for the spx500 to go to at least 2036.
IYT was a great short every time it was overbought when it was under the 49 M.A.. Now overbought readings can't be trusted for short initiations.
AAPL is notorious for filling gaps. Look for the gap under 115 to be filled.
Note the difference between CSX chart in late 2012, compared to now.
Daytraders deal in probabilities. I would rather short LNKD on the way down, at 250, than on the way up at 260.
Last update only included one chart.