Entries by Alex - Chart Freak

Friday Oct 19th

October 19, 2018 in /by

I love Rocky Road Ice cream,  but Rocky Road Trading?  Not so much.  My last few reports have mentioned that even though we do have a 'low risk entry' for Buying at a swing low in the General Markets and some other areas, stops are a must. It is not a confirmed swing low, and we have volatility and choppiness, so buying the swing doesn't necessarily mean that it will be an easy ride.

In fact, yesterdays report was entitled :  'It Is Still A Rough Ride.'  Going into the last day of trading  for the week, lets review Thursday and see if this proved true.

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Yes, it proved true - The Dow was down over 399 points and the NASDAQ was down 184  when I captured this in the afternoon...

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SPX - I also mentioned that similar to February and March, things can be choppy around this 50sma, even with a swing low in place.

 

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Top Notch Tops – Strategy Tips

October 18, 2018 in /by

(The images below are a sample of Alex work and are to provide a little education on understanding tops in a market or asset)

Like most things in technical analysis, spotting a top is as much art as it is science. When you see a top, it doesn't mean it is time to run for the hills, take all your positions off the table, hyper leverage shorting the market or throwing computers out of windows.  NOPE!  It just means you need to be extra cautious with your trades, you probably should take some profits, de-risk most of your positions, tighten stops and don't take on long positions on a large time frame.

Here are some clues that the market was likely to experience the sharp sell-off we experienced last week.

(From 10/13/18)

SPX WEEKLY - I've been looking for a drop into an ICL , similar to January.  There it is, read the chart, and there is more..

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October 18th – It’s Still A Rough Ride

October 18, 2018 in /by

The release of the FOMC Minutes really didn't seem to have any meaningful or lasting reaction in the markets.  It may have added a little knee jerk reaction or volatility, but overall there was no big directional change.   Let's take a look at our markets, and again, there really are no major changes from yesterdays report to discuss, but we'll still review what we have...

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SPX - I have been looking for a steep drop and an ICL.  We have that steep drop and a reversal after the 200sma was taken out, so this could be a shake out.  It is a swing low, and yesterday I said that this could be bought ( TQQQ or UPRO, etc) however...

 

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September 17 – Slidiing

October 17, 2018 in /by

Note:  FED MINUTES are released at 2 p.m.  Wednesday.

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The General Markets stopped sliding, yet 1 day before medical & recreational marijuana is to be legalized in Canada -  Pot stocks decide to slide.  Is it going to be the typical  "Buy the rumor, Sell the news? " in that sector?  Is the rally over?   We'll take a look at that too.  Lets take a look at the market action...

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NASDAQ - This ICL drop was steep and broke the RSI below 30, unlike  the Feb & March drop.  This reversal could be bought at a low risk low,  but ...

 

 

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Weekend Rejoice! Oh, I Guess I Mean Weekend Review

October 13, 2018 in /by

We are all well aware of what happened in the markets this week, and really it is what we have been waiting for and discussing in the Big Picture Views for a while.  That said, we now have a lot to look at in this Big Picture Review.  Read each chart carefully....  To the charts!

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SPX WEEKLY - I've been looking for a drop into an ICL , similar to January.  There it is, read the chart, and there is more..

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Thar She Blows Matey!!!

October 12, 2018 in /by
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Thar she blows is right!

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GOLD - We have been expecting this kind of 'recognition day ' for a while,  so Let's discuss this BURST higher in Gold and Miners...

GOLD climbed  $28 on Thursday, and it was pretty much steady and straight up.

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The Warning Signs Were There

October 11, 2018 in /by

(Below is a snippet of Alex’s work from the last week and the major US Indexes) We all saw the major decline in the US Indexes and equities on October 10th. Were you prepared or caught off guard? From Thursday October 4th: NASDAQ –  Each morning I wake up and Futures are a lot higher, […]

Thursday – Hanging On

October 11, 2018 in /by

I have been mentioning that the markets were due for a drop into an ICL, and I used this chart to show the potential downside -

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NASDAQ AUGUST -  I thought that we might run to the top and then drop into an ICL just like the drops we saw in the beginning of 2018, and ...

 

This chart looks to be a lot of what I was expecting, but I wouldn't just jump in here.  The NASDAQ broke & closed below the 200sma. Even though this could be a shake out, there is no need to try to catch this falling knife. We'll monitor it along the way.

 

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