The SPY ETF looks like it is getting ready to ‘jump the creek’ so to speak as it is sitting right under the all important swing trading resistance line. The MACD histogram is printing a bearish triple M which is as of today unconfirmed. If we close below today’s low tomorrow then it would get … Read more
I am about half way through reading the book Reminiscences of a Stock Operator by Edwin Lefver which details in story form the trading skill and observations of Jesse Livermore. It is a truly fascinating read. What impresses me the most so far in this book is Livermore’s ability to trade with high confidence at … Read more
The market reaction off of the up trend line in force since March 2009 has so far been touched 3 separate times. The more times a trend line is touched the more it tends to validate that trend line. Key also is the observation how the market reacts off of an uptrend line. The way … Read more
Today was very uninspiring for the bull case on many indices and in many different aspects. Volume was lacking today in a big way. Price conviction was lacking also. There were also plenty of reversal hammers created which would be confirmed on a close below today’s price low. The Dow Jones Transports Average is showing … Read more
Today may be the day that the bear market officially dies (in terms of technical analysis) as far as the SPY ETF is concerned. Pre market right now the SPY is already up over 1% which puts it above the top boundary line of the large symmetrical triangle I wrote about yesterday. If the market … Read more
The SPY ETF is still trading in a large trading range and is taking the shape of a symmetrical triangle. Volume was still very light today and no real conviction in either direction. I still suspect that we are going to trade down once again to the apex of the triangle before making any firm … Read more
The sp500 today pulled back on very light volume after the previous three day price surge and sign of strength. It appears that the early part of this week will still be somewhat light on the volume side which would fit in well with a bullish topside breakout scenario. It would fit well because I … Read more
Today we saw big price destruction in the sp500 which gave back a good portion of the hard earned gains of last Friday’s reversal. I was looking for a confirmation of last Friday’s bullish reversal today but clearly we did not get anything close to a confirmation today. Instead we got a deep retracement that … Read more
This may be one of the most important posts I have ever written here at BOT. There is a key technical analysis event taking place RIGHT NOW in the markets that forces me to tip my hat to the bullish side right now and advise extreme caution on any bearish bets going into next week. … Read more
The market today was unable to confirm yesterday’s candlestick reversal pattern on all the popular indices and the IWM Russell 2000 ETF was unable to confirm the potential bullish triple P pattern on the MACD histogram. The sp500 is showing that the histogram continues to show downward momentum and does not have any clear signs … Read more