SPY, QQQ and XLK Another week with big range in most equity markets world wide. The S&P 500 index ETF (SPY) tested lower lows than the prior week but closed higher (slight positive). The low end of the range tagged short term support (yellow) on Monday then climbed higher all week. The high end of the week's range was below the prior week's high. I still think price is seeking rising mean reversion (blue). See SPY weekly chart. SPDR's S&P 500Trust Series ETF (SPY) weekly The N … [Read more...]

Let me just get this out of the way. I began warning of lower stock prices three weeks ago...here (October 8) when bonds broke down. This was two days before stocks began selling off. I also explained why this was likely to happen. I also recommended trimming your exposure. Two weeks ago...here (October 15) I recommended more trimming and selling into strength (there hasn't been much of that other than a few days). I also explained why. Last week...here (October 22) I recommended … [Read more...]

Price action in the S&P 500 Index this past week tried to grind higher but after regaining about half of the prior week's losses proceeded to fade back to ending the week just slightly up. Considering price was all over the lot it didn't feel too panicky though. More like an "orderly run for your life" situation. (insert laugh track). Price is hovering just above the price area that preceded the second and largest leg down during the February/March dump. The good news is that the lows of the … [Read more...]

Look at all of the buy signals! Visa Inc (V) weekly Only one violation of support in nine years (2015). I just want to show you the symmetry of this chart and how using rising trend line support for entries is so valuable and emotionless. The trend steepened beginning in early 2017 and the higher lows created the new (green) rising trend line. To look closer at the buy signals from 2017 see the daily chart. Visa Inc (V) daily Which part about this is random? (use sarcasm … [Read more...]