Market CommentaryMore Market Commentary
Since mid-July shares of Progressive made several attempts at breaking out above the $31.00-$31.50 resistance level. At the same time the $18B auto insurer put in a series of higher lows, which led to October 7th's close above the $31.50 level. PGR may be up over 20% year to date, but there is likely another 5-10% of upside left in the tank in the coming months.
For one thing the daily chart above shows a text book resolution of an ascending triangle that was in the works over the summe...Read More
Nearly a week removed from some less than stellar job numbers, the equity markets seem to be back to where the left off in the summer. Before the big sell off in August the SP 500 looked like it was on track to get back to 2150. Then some concerns coming out of China put that move to an end. A pretty big wash out had us trending towards 1800 as we headed into September.
A few days seems to have given traders time to look again at what the jobs data means. It seems like déjà vu all over again ...Read More
Open every new article and it seems everyone is predicting ‘doom and gloom’. Do I think so as well?
This is a question I am constantly asked by my blog readers which is why I wrote a piece several months ago post the Greek Debt crisis titled, Is Another Global Financial Crisis Starting Now?.
Sure the technical charts seem ugly, but the reality is, fundamentals are what drive value and prices in the long term, and not charts. Using technical charts before fundamentals is like having the tail w...Read More
As a trader with a longer time frame, the U.S. Dollar Index can be one of your most useful tools even if you never plan to trade the futures contract directly. Monitoring the index with an eye toward continuation and reversal patterns lends a real edge in the timing and targeting of forex trades. More generally, an understanding of where the U.S. Dollar is headed provides context for planning trades in precious metals as well as other commodities.
This year, the Dollar Index has an important ...Read More
Option Sellers have Many Choices when it comes to taking Premium. Here is how to select your strikes like a Pro.
Embarking on an option selling campaign can be an exciting new way to invest for investors used to trying to “buy low and sell high.” But the choices available to new option sellers can be daunting.
Ideally, you want to pick options that not only expire worthless, but quietly decay to zero – preferably well before expiration. Your objective is to find these and avoid the ones that ...Read More
Featured StoriesMore Featured Stories
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
Holter, “Prepare for a reset… The Fed is now helpless to stop the coming global financial calamity.”
In a September 20, 2015 interview, gold expert Bill Holter argued that the economic system is on the verge of a “financial calamity.”
Discussing the recent Fed decision not to raise interest rates, Holter said, “If we had an increase in interest rates. . .the markets would close within two weeks. . ..I don’t think there’s any way the Fed can tighten.” He sees more qu...Read More
As we are at the end of the month and quarter, we take a look at the dismal performance of the indices over the last three months and have to make an assessment. The quarter is down well over 6% as of this writing, and certainly one of the worst performance in years. Our assessment is of the trend, which is always your friend! If the trend is lower, what is the reason to fight it?
While the markets are not technically in a bear market , there are more than 50% of stocks that are down more...Read More