ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
Something happened along the way to infinity for Apple Inc. (AAPL): a big bearish engulfing pattern. A bearish engulfing pattern occurs when a stock opens above the close of the previous trading day and closes below the close of the previous trading day, especially in the midst of an uptrend. The larger the range of … Read more
AAPL spent a large part of the first half of 2011 under-performing the market with a relatively low valuation (for example, see “A Rare and Important Test for Apple’s Recently Underperforming Stock“). AAPL’s relative under-performance has returned, and its stubborn inability to regain lost momentum is getting more than a bit disconcerting. Apple (AAPL) is … Read more
(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. To learn more about it, see my T2108 Resource Page. You can follow real-time T2108 commentary on twitter using the #T2108 hashtag.) T2108 Status: 18.5% VIX Status: 41 General (Short-term) Trading Call: Aggressive traders start buying. Conservative traders buy once VIX … Read more
On July 26, Apple (AAPL) finally closed above $400. I interpreted this as a very bullish signal. I waited for the next dip to make a move, and the very next day, the market seemed to offer up a gift in the form of a 2.7% pullback. I wrote the following in my technical review … Read more
(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. To learn more about it, see my T2108 Resource Page.) T2108 Status: 36%. VIX Status: 23.0 General (Short-term) Trading Call: Hold. Start identifying potential longs. Commentary Blink and you may have missed it. T2108 just went from invalidating my forecast of … Read more
(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. To learn more about it, see my T2108 Resource Page.) T2108 Status: 58%. VIX Status: 20.2 General (Short-term) Trading Call: Hold. Commentary T2108 dropped slightly to 58%. The S&P 500 also dropped slightly with a 0.4% loss. Most interesting is the … Read more
(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. To learn more about it, see my T2108 Resource Page.) T2108 Status: 55%. VIX Status: 19.5. General (Short-term) Trading Call: Hold. Commentary T2108 nudged upward to 54% from 51%. As I guessed yesterday, the oversold stochastics on the S&P 500 were … Read more
(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. To learn more about it, see my T2108 Resource Page.) T2108 Status: 74%, 5th overbought day. VIX Status: 16. General (Short-term) Trading Call: Continue closing bullish trades (longs), add to bearish trades on a close below 1333 on the S&P 500 … Read more
(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. To learn more about it, see my T2108 Resource Page.) T2108 Status: 78% and overbought. VIX Status: 16. General (Short-term) Trading Call: Close “almost all” bullish trades (longs), accelerate bearish trades (shorts). Caveats noted below… Commentary T2108 hit 78% today for … Read more
Apple (AAPL) initially failed a critical technical test at the 200-day moving average (DMA) and even made a new low for 2011, but the stock’s under-performance has finally ended. AAPL has gained over 10% since its 2011 low June 20th. The majority of the gains have come on just 4 days with strong bursts of … Read more