This market clear out has further to run. For the first time since Trump became President it is now wrong to buy the dips ...and the Vix is telling us that quite clearly
Despite the rally yesterday's price action was game changer. The nasdaq has broken it's longer term trend line which has supported the entire Trump rally. Finally it's over. Time to face the music and act.
XIV short has been a good hedge this week. It looks like there's more downside to go, signalling markets have another test of the recent lows in store
The Vix and the XIV have proved useful hedges so far this week. Both have more to go, suggesting current weakness is not over yet, largely due to Facebook. The rinse out has another leg down in it over the next 48 hours. Be careful. Rallies are not trustworthy until FB stabilises.
It will be interesting to see the excuses the press come up with for today's plummet. The bare reality is that this has been caused by Facebook falling below the key level given in last comment. Every market in world inextricably attached to SandP and therefore Nasdaq and therefore Facebook and Google. When they crack, all markets do too. Amazing but true...just...
Another day of annoying, frustrating whipsaw for anyone but the nimblest of day traders with a clear plan (use that 1minute chart, be patient and draw out the trend under the lows as they become apparent over the first couple of hours - sometimes a clear trend emerges, sometimes not, obviously) Still OK to buy dips towards open in NY (with an exit strategy!) at...
Despite another day of whipsaw yesterday the technical outlook is slowly improving for Nasdaq. So long as this index holds up at 5400 today on any weakness around the open it should go on to have a positive day. Look to buy on any weakness in first hour around 5410 with a stop a few points below 5400
Markets still full of whipsaw and likely to remain that way for a while yet. So best trades are short term where you can see a trend emerging, just for the day. Wait until you can get trend lines on the 1 minute chart and wait for breaking of that trend...then act! Trend lines are useless on 15 minute chart but that is minimum allowed to upload (why???) Try...
PEY is sitting on a top pattern at 16.80. Failure to hold up here during the course of this week will force it back down to 16.00, then, after a bounce, to 15.35
If you want another way to protect long positions in the event of a market scare there's always the Vix. It's helpful to be able to see the growing wave and basing pattern but it's not nearly as clear or trustworthy as XIV.
Hope you're not going to need this next week. But I suspect you will judging by the look of too many major charts right now. It may never happen.But this is good way to cover yor back in a panic situation if it arises, and major charts break down as per all other comments this weekend.
Don't want to ruin your weekend, but if you are heavily long right now perhaps you should read this. It's the most sobering chart around right now. Hate to be the one who says it but: I'm ringing a bell here. Are you going to listen?
The Sensex is back testing it's old highs at 30000 from 2015. It's still ripe for a bear attack which may well come next week
From $13 down to $3.70 wheat has been battered for the last 9 years - but the years of pain for farmers and wheat bulls all over the world look like coming to an end soon. Here's a trade set-up for May
Yellen is 6 months to a year behind the curve and interest rates have some catching up to do to get back even close to 'normality'. Prepare for surprises to the downside with bond funds
Alphabet chart is giving cause for concern right now. It must hold 820 through Monday to avert a fall back to 803 at least
Up 30% this year and travelling in a well defined channel which is being tested on the downside right now. Failure to hold 140 will result in further selling pressure back to 133 at least
How long can this thing carry on? Not too much further now judging by the chart.