Don't let the bears scare you just yet. The market failed to confirm a long-term bull trend, but as you can see we're not far off of the long term upward trend line. We are still in a bullish pennant which, incidentally, ends at the long term uptrend. I'm not saying this is a sure thing, but I will certainly be watching this interesting pattern to determine a...
ERIE appeared on our breakout list today. It is not a stock I would normally consider as it is not an S&P500 company. Volume is low, which makes liquidity low, and difficult to trade in the UK. However, I like the look of the chart so thought it worth analysing. ERIE trended well until consolidating from 2011-2014. There were a couple of fake breakouts in 2013...
Until earlier this year RCL had been in consolidation since 1999. After price finally broke above $58.88 a good trend began to develop but was seriously hindered by the October pullback. This breached the 1999 pivot high and the 200dma but it was not all bad news - a cup and handle chart formation developed on the daily chart suggesting a move to the upside...
WMT has been in a trading range for almost a year. Then yesterday, on earnings, price gapped up - breaking previous resistance. How good a buy opportunity is this? On the weekly chart the 50ma is flat - this gives an indication that the trend is flat. After a year of no trend it would be far too early to get into a long-term long position. While price is bullish,...
LEG has been trying to breakout of a multiyear consolidation since May 2014. On the weekly chart I have drawn on the 1998 and 2004 highs (to highlight this point) and the more recent consolidation zone which lasted just over 5 months. Finally in October 2014 price made a big bullish move (on earnings and higher volume) but this was far too early to consider a buy...
MNST was in consolidation for over a year before a large gap up in August 2014. Prior to this it had been in a good, linear bull trend for some time. So now the consolidation period is over we would like to see a continuation of previous behaviour. While the uptrend began again on the August gap up price took a little while to get going. Then, on 31st October,...
WFM has been in consolidation for several months, beginning with the large gap down on earnings back in May. On earnings this time price gapped up out of the consolidation zone, on higher volume. On the daily chart there is no resistance until 47.70, the bar was very bullish and closed above the 200ma. Initially this may look like a good near term...
COST had been a great trending stock for quite some time - particularly through 2011-2013. But the last year has been a poor one for the trend trader. On the weekly chart this is shown by the rounded bottom and on the daily chart by a period of consolidation. The breakout from this zone was messy. Finally on 29th and 30th October we had a couple of bullish bars...
NZDUSD is trending downwards on the daily, making a retracement in an upwards channel. At the top of the upwards channel a triangle consolidation pattern is forming, expecting a breakout to the downside to continue channel.
As of late, there's been some kind of consolidation pattern on the bitcoin chart. It looks like a lot of things (descending diagonal, triangle, descending triangle, measured move) but simultaneously doesn't quite "feel" like its any of them. The only thing that's for sure is that it's a consolidation formation (note the descending volume pattern). I offer one...
(NOTE: I've elaborated and clarified in this post: ) As of late, there's been some kind of consolidation pattern on the bitcoin chart. It looks like a lot of things (descending diagonal, triangle, descending triangle, measured move) but simultaneously doesn't quite "feel" like its any of them. The only thing that's for sure is that it's a consolidation formation...
Nice, bull candle closed near highs,that resolved wedge with bunch of inside, choppy and noisy candles. Lets see to what it leads, need to hold breakout point at $76.90. As markets recent momentum remains neutral to negative and long-term macro picture in Wal-Mart is neutral it makes probability of this trade lower. I manage probability of trades with tier...
As a pattern trader the EURUSD has been one of my best performers over the past few weeks. After our last big drop from 3150's the market has finally shown some relief in the form of consolidation before the next big move. Fortunately, for pattern traders consolidation is great, because inside that choppy, nasty looking price action are advanced patterns, which...
After the sudden steep decline of the EUR yesterday during the ECB interest rate conference, the EUR seems to have gone into consolidation vs the Yen, Dollar and Pound. Both the Stochastic and the fast EMA are indicating reversal intent but we're going to have to wait and see. Check those breakouts and don't let yourself get caught with a fakeout. For more ideas...
GBPCHF is in consolidation, waiting for a breakout. May fall towards a 1.27 extension after the .382 retracement or go to the .5 retracement and come up against the falling trend line. Either way I'm waiting for some signs of a trend continuation, waiting for the .5 retracement for a better ratio.
Telecoms caught some weakness after earnings release. $51.50 was important resistance above which buyers failed to hold eventhough company released numbers higher than expectations. Now, we have tight consolidation near lows with resistance at $49.15. Break below consolidation support $48.50 will trigger Short entry and will open doors to $46 major support. If...
During this recent move up in S&P (100 handles from the last bottom) Oil&Gas ($XOP) stayed one of the weakest sectors and specifically shares of Slumberger. After exhausted move up on the end of June, it entered into correction and broke down its 50 EMA that was in control since the beginning of 2014. Now, sellers keep preassure and hold resistance at $110...
Keep the Euro on your radar screen. It's consolidating and will most likely move soon. She's come a long way so another move down could result in a snap back rally. If she breaks to the upside first look for a re-test of the break down lows.