liberatedstocktrader

The attached chart of Netflix is showing all love and joy. An amazing 50% rally, which of course shows a huge spike in the oscillating indicators. Breakouts in RSI and CMF confirm the rally, but they would wouldn't they. Yet OBV is not confirming the rally. The rally, has been so good, that it has lead to 4 gap breakouts. In technical analysis they are...

Yes it was a great few days, and the easy money is saying to themselves yes, here is the turnaround, I need to get back in. Rushing to get back in without real confirmation is what makes you lose money. To be fair an inexperienced trader, might look at this weekly chart and say to themselves, "3 weeks of positive uptrend means the bull are back". But if you...

Of all the streaming services we have, Netflix is deemed uncancellable by my wife and daughter. As well as watching the shows it is also worth watching the stock. On this weekly chart, we can see Netflix has been pummeled and successfully completed the head and shoulders top as indicated in the chart. ( I flagged this in October) Also in the chart, you can see...

Breaking news, a world-famous Italian mathematician by the name of Fibonacci is suggesting there is more downside to the U.S. stock markets. Using Mr. Fibonacci's magic numbers, from the 2016 low on the SPY we see that the retracement fits very well mapping out the support levels if the market continues to tank. The 23% retracement of the last major trend is...

Out of the major indices, the Nasdaq 100 is the first to kick of the Bear Market Signal I use in my system. As you can see the signal is not 100% perfect, there were 3 false alarms since 2007, although they were at points where the market could have gone south. Looking at the Ichimoku Cloud, which I personally like as an indicator, the index has not passed...

Activision, especially subsidiary Blizzard make great games, so my son tells me. But their financials certainly are not to be played with. Short-term Trend - Down Medium-term Trend - Down Long-Term Trend - Up Price way below the Ichimoku Cloud Stock Market Crash Detector Indicator - RED If you are still holding onto ATVI it may be a year or two before you...

As the Federal Reserve continues to tighten monetary policy by hiking interest rates, we are seeing tremors in the stock market.  Sometimes tremors are the prelude to a full earthquake, but often not.  We are in our 11th year without an earthquake, but we sure have had a few tremors since then.  July 2011, July 2015, January 2016, Feb 2018 and of course now...

I am starting to be convinced that we may be back in the business of going long. On the back of the political developments in the U.S. there has been a large number of positive gaps, $PYPL, $AMZN, $GOOGL, $MSFT and both the Nasdaq 100 and the SP500 gapped higher today. This is a show of strength, bull are getting in on what they see as bargain prices. Combine...

According to Dow Theory, the Indexes must confirm. That is not happening. Have you noticed that the best performing US index the Nasdaq 100 is correcting its explosive growth. The positive divergence (outperformance) of the NDX versus all other US indices is being corrected. The NDX is losing ground faster than the SP500 0.14% and DJ30 and the Nasdaq giants the...

Have you noticed that the best performing US index the Nasdaq 100 is correcting its explosive growth. The positive divergence (outperformance) of the NDX versus all other US indices is being corrected. The NDX is losing ground faster than the SP500 and DJ30 and the Nasdaq giants the FANGS (FB, AMZN, APPL, NFLX, GOOGL) are being punished also including Tesla,...

Over the past few days, I was actually starting to consider a move from cash to stocks, but my analysis told me that this mini-crash will not be solved in a few days. So I waited and took some short positions. Then this happens. At time of writing Apple's capitalization is down circa $60 billion. There is extreme fear in this market and nerves are all around....

The current panic in the stock market is fueling the rise of the conspiracy theorists, who fundamentally believe that moving to gold will safeguard their future when the bomb drops and they need to pay for fuel in gold coins. Unfortunately for them, this is never going to happen (or if it does I will be long gone). However, there is a sudden perk up in the...

The only question today is how much of a crash will we have to endure, or should I say profit from as traders? The problem is as a short seller, it is the toughest way to make money. The market goes up by default as there are millions of people working every day in these companies to add value and make profits and earn the money that feeds their families and...

Everyone is starting to panic about the next coming recession, even the Economist Magazine jumped on the bandwagon with an issue front cover showing "The Next Recession - How bad will it be". They claim it will be bad, and difficult to resolve because many of the tools of QE etc are already in use. It is fair comment and well written, but they did not mention the...

Everyone is starting to panic about the next coming recession, even the Economist Magazine jumped on the bandwagon with an issue front cover showing "The Next Recession - How bad will it be". They claim it will be bad, and difficult to resolve because many of the tools of QE etc are already in use. It is fair comment and well written, but they did not mention...

Here are some great text book gaps to observe in the netflix stock price. We can see the breakaway gap, the continuation gaps, exhaustion and island reversal gaps. But what does it all mean? Ultimately the gaps indicate strong sentiment and there is plenty of that with Netflix. I have Netflix at home, it is great, I love the service, the content and business...

Here you can see that drawing trendlines on a daily low plotted into the future can make a 5 to 10% difference in only a matter of months on your predictions. Always use the daily/weekly close price, because where the market closes is important. We have a nice rebound today but unfortunately, it is dying out into the close. Don't be fooled by the algo's,...

When the best companies falter it is a sign for the broader market. With negative divergences on the supporting indicators, price is proving the new short-term downturn. Supreme court shenanigans, Brexit or trade deal politics do not necessarily explain it. Interest rate hikes go some way towards it, but ultimately it is a traders market. Traders, Hedgefunds...