Market CommentaryMore Market Commentary
We are often asked, ‘are you bullish or are you bearish?’. I am often labeled a ‘perma bull’ because many of my plays are on the bullish side of the market. More recently I have been called a ‘perma bear’, for the very opposite reason. I really don’t care about labels, it’s all about being on the right side of a market trend. We make trades that are bullish or bearish all the time, but the label I want to stick is this one – trader.
We can have a bias that tends to skew the way our trades to ...Read More
The energy sector has found a bit of life over the last several weeks but we believe this to be short lived. While crude oil futures did push to new highs for the move on Friday, they failed to hold their gains and closed lower on the day. Furthermore, petroleum products like unleaded gasoline and heating oil failed to make new highs Friday, leaving the end of August short covering snap back as the highs for both of these products. Among these three markets, heating oil is currently the most ...Read More
Readers who have received a copy of this month’s Lindsay Report are aware of the Hybrid Lindsay forecast for a high on Oct 19 . The “high” on that date may be the end of a short uptrend or it may be the end of a consolidation that precedes a sharp drop in equities.
With last week’s new Hybrid forecast for a low on Oct 20, I’d say this is a set up for a possible crash. Oct 19, 1987was the day the Dow puked after having already rolled over earlier in August. At the time it was seen as a normal,...Read More
The past two weeks have seen a remarkable recovery in the S&P500 large-cap index . The market has gained about 135 points from the September low, about half of that last week. closed at 2014.89 last Friday, up 63.53 points for a net weekly gain of 3.25%).
The primary cause was Fed action – more accurately, inaction. The Street now believes the Fed will continue to talk, talk, talk – there are three Fed officials speaking today, probably with three different opinions – but will not raise rate...Read More
On Monday I wrote an article for Trader Planet with a target for the Nasdaq Futures of 4355. It took a while for the index to build a base of support, but the index closed just 10 points from that target on Thursday. The good news is that a critical technical indicator is now favoring even higher targets.
The indicator is Volume Profile and the base that the NQ built over the last few days has moved the Volume Profile Point of Control from 4125 to 4268. What this means in simple terms is that...Read More
Featured StoriesMore Featured Stories
In my personal trading I much prefer bull phases. The pullbacks in an uptrend make more sense to me. Thus, I’m looking forward to a continuation of last week’s rally with a generous target of 2082 in the S&P futures.
Why 2082? This is the Volume Profile Point of Control for a look-back of one year. In other words, it’s a critical level that will be watched by ‘big money.’ I say that because it is a high volume node of a very extreme sort. You can see the hyper-extended shelf-like projection...Read More
Here’s why a trading room could be hindering your success as a day trader. I ran a trading room from 2010 to 2015 and had hundreds of traders pass through my online trading room. Each day I would present to the room trade ideas and live trade calls with entries, stops and targets. I honestly felt that I was helping traders so they could be successful. I personally have been trading my own method, the “Gap Edge Method,” since 2003. However, after running the room for five years I saw a lo...Read More
In tennis, one of the most common mistakes that newer players make is to look across the net at the spot they are targeting as they strike the ball You might not think this is a significant error, but it turns out, it is. And if you read a little further, there is a concept here that might help your trading.
The process of striking a tennis ball in your racquet’s sweet spot that’s coming toward you at 50, 70 or even 90 mph requires exquisite timing. The brain can handle it, but it needs th...Read More
By Gil Morales, CEO, Gil Morales & Company, LLC
In my recently published book, “Short-Selling with the O’Neil Disciples: Turn to the Dark Side of Trading,” , I discuss the short-sale set-up chart pattern known as the “Punchbowl of Death,” or “POD” as I like to refer to it in acronym form. Like the more classical and orthodox “Head & Shoulders” formation, the POD is simply another template, albeit a somewhat unorthodox one, that I use to identify potential short-sale targets in-the-making. Wha...Read More
Shares of Tesla are up about 10% in 2015, which is nothing special for a company that seems to have an agenda to out-special every other high-performance car company out there. And it does a pretty good job of it. If you have never been wow’ed by a car, take a test drive in a dual motor version and learn what ludicrous acceleration feels like.
The stock is holding up well for a company that’s so speculative that investors either hate it or love it. One reason is that unlike most Nasdaq lea...Read More