As the markets push higher, investors tend to become more wary by nature. This often leads to the markets climbing the proverbial “wall of worry” and several investors missing out on the opportunity of higher prices. Will March offer more of the same? Or could the markets have something else in store for active investors. One of the many near-term indicators I am watching pertains to Dow theory. And more precisely,
GoPro’s stock (GPRO) has definitely been taking it on the chin of late. Each bounce has been sold as investors have slowly deflated the IPO euphoria from the stock. The pullback off the highs wasn’t a surprise – I called the top in October – but depth of the pullback has been a bit eye-opening. With the stock trading at around $40 per share, and well off its post-IPO highs, it’s once again
Unless you’ve been hiding out in a cave or on a distant planet, you know the stock market has been in a bull market since early 2009. To add perspective, the S&P 500 has tacked on a whopping +217.87% from March 2009 to the February 2015 high! It would be natural for one to think the bull ride may be coming to an end. But is it? Let’s briefly touch on some past
It was a great February for the stock market, as the major market indices literally went straight up. For the month, the broad-based S&P 500 was up 5.5%, it’s best “February” since 1998. But as we enter March, the weekly candlesticks of the S&P 500 (and many leading sectors) are pointing to stock market exhaustion as upside momentum wanes. This pattern of market exhaustion can be seen in the weekly chart of the S&P
After months of falling Gasoline prices, February saw a bounce higher in the Gasoline ETF (UGA). And it has been a big one. I wrote about gasoline’s biggest 3 day rally in early February and how the power of the pattern continued to suggest higher prices… and a rally for the Gasoline ETF. The pattern showed Gasoline was bouncing off a major long-term channel support. Well, it’s now the end of
Gold has been a major topic of discussion thus far in 2015. We saw Gold prices make a violent move up at the beginning of the year only to fall just as quickly in February. It feels like Gold has been in a bear market for years and years, but amazingly, it’s been fairly stable for the last year and a half. To get a better idea of what is
As the major stock market indices march higher, all eyes are on the NASDAQ Composite. This popular tech index is getting a ton of press lately because it’s approaching its former all-time “bubble” highs from 2000. Yep, it took 15 years to get back to these levels. I’m also seeing a lot of “buzz” about how it’s different this time. Well folks, since TIME really doesn’t exist I’m not sure what
Many of our readers know that our big-picture charts for equity and commodity markets fit together to imply a somewhat pessimistic scenario for the global economy in coming years. We’re not gloomy by nature, but we go where the charts tell us. At present, global equity markets show topping patterns. Meanwhile, declining prices for major commodities match expectations of an economic slowdown. Although we see potential reversal signals in most
Back in November I shared a chart of Apple (AAPL) showing its upside potential based on its long-term uptrend channel and October breakout to new highs. At that time, it was trading at $109 and I made the case for a potential AAPL price target of $150 based on a confluence of uptrend resistance and a Fibonacci breakout extension level. I’ve been tracking that Apple chart and providing updates on
The ongoing Greece negotiations have overshadowed the improving technical conditions of several European equity markets. The London Financial Times Index (FTSE) is attempting to breakout above the 1999 highs after successful tests of the 200-week sma in late 2014. The French CAC 40 Index (CAC) has broken out from a multi-year channel after a successful test of the 200-week in 2014. The FTSE Milan Index (MIB), representing the Italian stock