Investing Research

Market Masters: Trade The Chart, Not Your Heart

“Man, I wish I’d gotten out of that trade when price dropped under that support level.” Does this sound familiar? Have you ever let a trade get away from you? Of course you have and so has yours truly. If you’ve ever traded the stock market, there is  a 100% chance

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Market Masters: Trade The Chart, Not Your Heart

“Man, I wish I’d gotten out of that trade when price dropped under that support level.” Does this sound familiar? Have you ever let a trade get away from you? Of course you have and so has yours truly. If you’ve ever traded the stock market, there is  a 100% chance you’ve mismanaged a trade and paid dearly for it. Looking back over the last 15 years, I know I’ve made

2 Charts Revisited: The Put Call Ratio And VIX Term Structure

Back on October 7, I wrote this piece that focused on two bearish indicators and I said we could see some near-term weakness in the market. After a quick 4% drop in a week, we bounced and formed a nice looking V-bottom. Check out this chart of the S&P 500 (SPX):   I said at the time that I wanted to see both the CBOE options equity put/call ratio and

U.S. Financial Markets Review: Precursor To October

September was an uneventful month on the economic front, as the dollar continued to strengthen, and many ‘risk assets’ drifted lower with concerns about slowing global growth. In hindsight this action was a precursor to the wild ride in equities we’ve seen thus far in October. Here’s what happened in the financial markets in September, by the numbers: Stocks & Bonds After a rally in August, September saw minor declines

Emerging Markets ETFs At Technical Crossroads

Emerging market stocks came alive during the mid-point of 2014 that led to significant relative strength versus domestic equities. However, since topping in September, the Vanguard Emerging Markets ETF (VWO) has pulled back to its 200-day average as it seeks to define the next path forward. VWO is currently sitting at a technical crossroads that includes shuffling near its long-term trend line along with a significant point of support near

3 Threats To The U.S. Stock Market And Standard Of Living

We in America are facing multiple serious threats simultaneously; each of which has the potential to hinder our ability to maintain our standard of living. The stock market is once again nearing bubble levels and a significant stock market crash may already be underway. But there are several other high-probability threats that can be potentially devastating to our way of life—threats that are economic and geopolitical in nature but will directly impact what

Point And Figure: Caution, But SPX UpTrend Still Intact

Recently I posted a piece for trend followers using Point and Figure charts to highlight the strength of the S&P 500 (SPX) over the past two years. And wouldn’t you know it, less than two weeks later we got a double bottom sell signal when the SPX printed 1889.51 So does this mean that investors should go short? For starters, adhering to point and figure guidelines, it is not advisable to initiate a short

Natural Gas Breaks Lower, Eyes November 2013 Low

Natural gas traders are left wondering what is in store for prices this winter following a bitterly cold and bullish winter for the eastern U.S. in 2013-2014, followed by a very mild and bearish summer of 2014. Will a similarly brutal winter ensue, sending Natural Gas prices sharply higher again in 2014-2015? I won’t pretend to be a meteorologist, but some will point to the Farmer’s Almanac prediction of another

Apple Earnings To Decide Several Key Technical Patterns

Ahead of Q3 earnings after the bell today, Apple (AAPL) is setting up as a technical cliffhanger across multiple timeframes. On a weekly timeframe, AAPL has just broken down from a Symmetrical Triangle back into a harmonic Bearish Bat potential reversal zone (at D, below) it broke above in August. Overthrows above broad-ranging harmonic patterns like this are common. However, the break below Q2/Q3 2014’s rising trend line support coupled with an escalating 6-month

Market Masters: Using COT Data To Identify Turning Points In The Market

While I’ve been writing for See It Market for several months, it’s a great honor to write a “Market Masters” article. With my focus being towards technical analysis I am constantly watching the latest price action and in search of the best risk/reward relationships. These can be derived from momentum or breadth setups, which I’ve written about quite a bit, extremes in market sentiment, as well as within the actual positions

Big Moves Expected in Brazil ETF (EWZ)

The ishares Brazil ETF (EWZ) has a 30 day implied volatility of 70%. This means that the options market is pricing in a move of plus or minus 20% on EWZ within the next month. The precise calculation to find the expected move based on the IV30 percentage is (IV30/sqrt12) ~ (70/3.464) = 20.2%. Recent news surrounding the Brazil elections is obviously casting uncertainty on the Brazil stock market. Looking at the