Don't Ignore This Chart!

« February 2012 | April 2012 »

Home Construction iShares Hits 2010 Highs

The Home Construction iShares (ITB) has been one of the best performing ETFs over the last six months, but this run may hit resistance from the 2010 highs in the 15.50 area. The six month trend is clearly up and I would mark support at the early March low. A break here would reverse this uptrend. Also watch Price Relative support at .10 in the indicator window.

120330it
Click this image for a live chart.

Commodity Groups Hit Hard with Industrial Metals Leading the Way Lower

The six CandleGlance charts shows the CRB Index ($CRB) and five commodity groups. All are down today with the oil heavy CRB Index falling over 1%. The Industrial Metals Index (GJX) moved below its mid February low and the Agriculture Index ($GKX) fell over 4% the last nine days. 

Screen Shot 2012-03-29 at 16.36.25
Click this image for a live chart

Triple Top Breakdown for the Energy SPDR $XLE

On the Point & Figure chart below, the Energy SPDR (XLE) forged a Triple Bottom Breakdown when the most recent O-Column moved below the equal lows of the prior two O-Columns. This breakdown is bearish with a downside projection around 67.50, which coincides with the Bullish Support Line extending up from the October low (red A).

120327xle
Click this image for a live chart

TechTarget Breaks Resistance on Low Volume

After consolidating since mid February, TechTarget (TTGT) finally made a break with a three-day surge above resistance. The move looks impressive price-wise, but volume is sorely lacking thus far. Even though Monday's trading has yet to close, volume on the three day advance did not validate this breakout.

120326ttgt
Click this image for a live chart.

Finisar Consolidates at Key Retracement $FNSR

Finisar (FNSR) plunged with a move from 23.50 to 18, but found support right at the 61.80% retracement line, which is based on a Fibonacci number. Even though the stock has yet to recover, it is consolidating with clear support and resistance levels to watch going forward.

120323fnsr
Click this image for a live chart.

Energy Sector Turns Red on Market Carpet

The Sector Market Carpet shows the nine S&P sectors with the energy sector displaying the most red. The average stock is down 2.9% and three of the five biggest losers come from this sector. Defensive sectors held up the best on Thursday with consumer staples, healthcare and utilites sporting the smallest losses.

Screen Shot 2012-03-22 at 22.54.35
Click this image for a live chart.

 

Steel ETF Forges Island Reversal with Gap Down $SLX

With a gap up, two candlesticks and a gap down, the Steel ETF (SLX) formed an island reversal over the last five days. Notice that this reversal formed near the late February highs and the ETF broke the March trendline with further weakness on Wednesday.

120321slx
Click this image for a live chart.

Consumer Discretionary SPDR Hits 52-week High

Want to gauge retail spending? Just take a look at the Consumer Discretionary SPDR (XLY), which hit a new 52-week high today. There are 80 stocks in this sector and most are dependant on consumer spending to drive revenues (think Disney, Macy’s, Amazon, Starbucks, DR Horton). New highs in this sector SPDR suggest strong consumer spending ahead.

120320xly
Click this image for a live chart.

Crude Oil Volatility Index Plummets

Volatility is falling everywhere these days. Notice that the CBOE Volatility Index ($VIX) and the Crude Oil Volatility Index ($OVX) both moved sharply lower in March. $OVX plunged the last two weeks as Spot Light Crude bounced off the 105 area for the second time this month.

120319ovx
Click this image for a live chart.

Gold SPDR Firms in Key Retracement Zone

It has been a tough March for gold, but the Gold SPDR (GLD) may be at support marked by the Fibonacci Retracements Tool. Notice that the decline to 159 retraced 50-61.80% of the prior advance and the ETF firmed just above 160 the last two days. Watch for a long white Heikin-Ashi Candlestick and breakout to reverse this downtrend.

120316gld
Click this image for a live chart.

Dow Transports Play Catch Up with Big Move

The Dow Transports has been lagging the Dow Industrials for several weeks now, but is making a catch up bid with a falling flag breakout the last few days. After a breakout on Monday, the Average fell back sharply on Tuesday with a close below 5200. This decline was wiped out with a surge back towards 5300 in early trading on Thursday.

120315tran
Click this image for a live chart.

Fifth Third Bancorp Joins the New High List with Big Volume

Looking for a list of market leaders? Simply go to the pre-defined scans page for a list of stocks hitting new 52-week highs. Over 500 stocks made the list on Tuesday and over 400 made the list today. The chart below shows Fifth Third Bancorp (FITB) breaking consolidation resistance and forging a 52-week high today. 

120314fitb

Click this image for a live chart.

CandleGlance Charts Show Strength in Home Construction Stocks

Chartists can access CandleGlance charts for dozens of industry groups on the FreeCharts page. The screen shot below shows some charts from the Home Construction industry group on the left and the industry group drop-down menu from the Free Charts page. Talk about relative strength. Several stocks in this group broke out over the last four days.

Screen Shot 2012-03-13 at 18.01.32
Click this image for a live chart.

RIMM Tests its Low and Shows Relative Weakness

Research in Motion (RIMM) remains down in the dumps as the Price Relative broke below its December low and remains in a downtrend. This RIMM:QQQ ratio falls when RIMM underperforms QQQ. On the price chart, RIMM is testing its December low, but the new low in the Price Relative argues for a break to new lows.

120312rimm
Click this image for a live chart.

Falling Yen Pushes Nikkei Towards 10K

Lifted by exporters, the Nikkei 225 ($NIKK) is one of the best performing markets over the last eight weeks. The chart below shows the index surging from ±8400 to ±9900 since mid January (+17.8%). With lots of exporters, the sharp drop in the Yen ETF (FXY) no doubt helped this index.

120309nikk
Click this image for a live chart.

Gold Bounces off Ichimoku Cloud

Spot Gold ($GOLD) declined sharply and then found support right at the Ichimoku Cloud with a bounce the last two days. The bulls grabbed the edge with the cloud breakout in January and hold the edge as long as cloud support holds. Watch for a move above the Conversion Line (blue) for a bullish signal.  You can read more on Ichimoku in our ChartSchool.

120308gold'
Click this image for a live chart.

CCI Bounces from Oversold Levels for Home Construction iShares

The Home Construction iShares (ITB) corrected over the last few weeks with a falling flag pattern taking shape. The flag is still falling, but the Commodity Channel Index is rebounding with a move back above -100 (oversold). The next step for CCI is a trendline break.

120307itb
Click this image for a live chart.

Morgan Stanley Leads Lower as Supervalu Bucks the Bears

With stocks down sharply in early trading on Tuesday, it is little surprise that the Sector Market Carpet shows a sea of red and all sectors are lower. There are, however, a few gainers and three come from the consumer discretionary sector, strangely enough. Morgan Stanley, the biggest loser, is dragging down the finance sector.

Screen Shot 2012-03-06 at 16.53.43
Click this image for a live chart.

The Noose Tightens for the Utilities SPDR

With the volatility contracting over the last few weeks, the Bollinger Bands on the Utilities SPDR (XLU) are at their narrowest since March 2011. The Bollinger BandWdith indicator is below .50 and the XLU range has narrowed to 75 cents. Watch support and resistance for the next directional clue.

120305xlu
Click this image for a live chart.

February was a Good Month for Commodities (ex-Gold)

The PerfChart below shows the performance for eight commodity related securities during February. Seven of eight are up with oil leading the charge. Even natural gas was higher. After a big hit on Wednesday, gold is the laggard and the Gold SPDR (GLD) shows a modest loss.

Screen Shot 2012-03-02 at 14.29.19
Click this image for a live chart.

Nasdaq Forms Huge Double Bottom on P&F Chart

The Point & Figure chart below shows the Nasdaq forming two lows in the 1200 area and then breaking above its intermittent high this year. It looks like a massive Double Bottom with an upside price target around 5000. Each box equals 100 points to insure a long-term chart going back to 2000, which was the last time the Naz saw 5000.

120301compqi
Click this image for a live chart.

Other StockCharts Blogs

Subscribe to this blog