From the Desk of Ian Culley @IanCulley
Black Gold is breaking out!
Crude oil is flipping weeks of indecision into conviction following a hard retest that frustrated traders earlier this month.
Let’s take a look…
Expert technical analysis of financial markets by JC Parets
by Ian Culley
From the Desk of Ian Culley @IanCulley
Black Gold is breaking out!
Crude oil is flipping weeks of indecision into conviction following a hard retest that frustrated traders earlier this month.
Let’s take a look…
From the Desk of Steve Strazza @Sstrazza
Welcome to The Junior International Hall of Famers.
With the goal of finding more bullish setups, we have decided to expand one of our favorite scans and broaden our regular coverage of the largest US-listed international stocks, or ADRs.
This scan is composed of the next 100 largest stocks by market cap, those that come after the top 100 and are thus covered by the International Hall of Famers universe.
Many of these names will someday graduate and join our original International Hall Of Famers list. The idea here is to catch these big trends as early on as possible.
Let’s dive right in and check out what these future big boys are up to.
by Sam Gatlin
From the Desk of Steve Strazza @Sstrazza
Last week, we released a Freshly Squeezed report detailing long setups in some of the market’s most heavily shorted stocks.
This week, we got fresh short sale data from FINRA as well as fresh breakouts from a growing list of stocks in our universe.
We thought it would be irresponsible not to do a follow-up report covering them.
This is just the environment we’re in.
Here’s what we’re doing about it.
From the Desk of Alfonso Depablos @Alfcharts
A major theme we’ve witnessed in recent weeks is a shift in leadership as sector rotation continues to spread across the US equity market.
One could argue it is more a general broadening of the rally than it is rotation.
Regardless, one of the major beneficiaries has been Materials.
With commodity markets getting back in gear, industry groups from copper and steel to agricultural inputs are showing strength again.
With broad participation beneath the surface, this is a group we want to be adding long exposure too in the coming days and weeks.
by JC
In the early stages of my Wall Street career, it was cool being a Gold Bug.
All my heroes were Gold bugs.
I learned in the early 2000s that pricing assets in Gold helped put market trends into context.
The Dow/Gold ratio was the ultimate Gold Bug Chart at the time.
You can see the Dow/Gold ratio here plotted in black, compared to the Dow Jones Industrial Avg itself overlaid in green. [Read more…]
From the Desk of Steve Strazza @Sstrazza
Welcome to The 2 to 100 Club.
As most of you know, we use various bottom-up tools and scans to complement our top-down approach.
It’s really been working for us!
One way we’re doing this is by identifying the strongest growth stocks as they climb the market-cap ladder from small- to mid- to large- and, ultimately, to mega-cap status (over $200B).
Once they graduate from small-cap to mid-cap status (over $2B), they come on our radar. Likewise, when they surpass the roughly $30B mark, they roll off our list.
But the scan doesn’t just end there.
We only want to look at the strongest growth industries in the market, as that is typically where these potential 50-baggers come from.
Some of the best performers in recent decades – stocks like Priceline, Amazon, Netflix, Salesforce, and myriad others – would have been on this list at some point during their journey to becoming the market behemoths they are today.
When you look at the stocks in our table, you’ll notice we’re only focused on Technology and Growth industry groups such as Software, Semiconductors, Online Retail, Solar, etc.
Then, like any good technician, we filter the list down to those closest to new highs.
This allows the cream of these strong groups to rise to the top and helps streamline our mission to identify technical breakouts in the top-performing stocks.
by Ian Culley
From the Desk of Ian Culley @IanCulley
Last week’s tactical setups are heading toward our targets as G10 currencies lose ground against a rising dollar.
If you let the pound or kiwi trade pass, fear not.
The US dollar/Canadian dollar pair is entering our wheelhouse…
We put on a bullish bet in biotechs a couple of weeks ago and it quickly rolled over on us. The market had other ideas.
Now here we are, a couple of weeks later, and the biotech ETF $XBI finds itself mired in a range with rising implied volatility signaling elevated options premiums: [Read more…]