iBankCoin
Home / chessNwine (page 57)

chessNwine

Full-time stock trader. Follow me here and on 12631

Party Winding Down for Visa

funny-visa_00270765

After some weak bounce attempts in recent weeks, major credit card players like Visa are still under pressure.

On the daily chart, below, note the potential to (finally) breakdown from the well-defined, multi-month grinding rally higher.

I am stalking this one as a short this week.

_____________________________________________________

V

Comments »

Go BID or Go Home

sothebysauction05-2006

Although the S&P 500 Index/Sotheby’s correlation appears to be broken this year, history says to give it one more shot to see the BID weakness will finally drag the S&P lower.

On the Sotheby’s weekly chart, note the weakness the high end auction house/assorted luxury goodies holder has seen for quarters on end now.

The chart shows the potential for yet another base breakdown. Price seems oversold, punching through the lower weekly Bollinger Band. So, we should either get that washout here, with the S&P likely following suit according to history, or finally a rally which holds and solidifies the bull case for the S&P staying at the highs.

Sooner or later, though, the last few decades of evidence indicates that Sotheby’s tends to be a good market litmus test.

Drop me your top afternoon ideas.

___________________________________________________________

BID

Comments »

Five Stocks Flying First Class Today

awesome_pictures_5

Courtesy of The PPT algorithm, here are the most current top five readings from my “12631 RELATIVE STRENGTH” custom-made screen, identifying which stocks are exuding some of the best performances to the market at-large at any given moment.

I look for stocks whose Daily PPT Hybrid Score surges, while the Weekly Hybrid has been negative over the past week. This can often yield stocks which are emerging from consolidations.

Members can click here to view and save the screen.

Sorted for at least 500,000 shares of daily average volume to ensure liquidity.

Please click on image to enlarge.

________________________________________________________________

2014-09-23_1231

Comments »

Retail Street Cred Under Scrutiny

pictures_of_the_day_1

The breakout to new highs in the XRT, ETF for the retail stocks, gained tons of attention several weeks ago as being a wildly bullish development not just for the market but also the U.S. economy at-large.

That talk, though, has since fallen by the wayside as the ETF not only faded off those highs, but continues to weaken below the prior highs. Hence, the issue is whether they have effectively sprung a “bull trap,” or false breakout before a correction ensued. I would key off the reaction to the 50-day moving average (dark blue line) this week. Bulls had better defend it or I believe we see another uptick in selling.

Elsewhere, NQ is a bastion for momentum traders today, with good action. And BBRY is coming in some after a decent move in recent weeks.

What are you trading this morning?

_______________________________________________

XRT

Comments »

Strategy for the Dump in Gold

Carl-Barks-uncle-scrooge-mcduck-35708416-2462-2234

I would have preferred a gap down this morning in the precious metals and miners to play for a reversion long trade after their recent swoons. Instead, they are staging mild bounces this morning.

Overall, I have been hands-off on these things for a while now, as the potential bottoming patterns suffered too much selling pressure, likely alongside the Dollar strength and other concerns.

Still, if the GDXJ, ETF for junior gold miners, can clear $35.50 soon I would consider a long trade as the chart would be breaking the steep falling channel highlighted on the 30-minute chart, below.

_______________________________________________________________

GDXJ

Comments »

King Dollar Attempting to Regain the Throne

The following is just a small excerpt from my latest Weekly Strategy Session (please click on that hyperlink for details about trying it out) which I published for members and 12631 subscribers this past Sunday.

Generally speaking, when the U.S. Dollar is strong, commodities are typically weak.

Given the explosive rally in the Dollar in recent weeks, it is worth keeping an eye on several potential developments this week and beyond.

First, the broad U.S. Dollar Index multi-year chart, below, shows an upside breakout from the well-defined triangle pattern (light blue lines). Should this move continue to hold over $83, it will be interesting to see which commodities and commodity-related stocks can defy a strong Dollar and rally, for those are likely to be the ones worth trading.

Some major, global materials firms are threatening multi-year breakdowns as the Dollar has rallied. These include: BHP FCX RIO VALE. 

On their respective monthly charts, note the strikingly similar technical setups for all of them. Further weakness down below those well-defined horizontal support trendlines will almost assuredly points to serious breakdowns in this space…

Please click here to continue reading

Comments »