SPX gapped down with the rest of the US indices today as overnight futures markets were sold heavily by traders on Covid19 fears. Price closed Friday at $3,337 and closed today at $3,225 for a -3.41% loss making this one of the largest 1-day declines in recent memory. Not much of a rebound today as price didn't come close to retracing the overnight gap, but...
Gold gapped up to $1,656 yesterday evening from a closing price of $1,648 on Friday, and reached a high of $1,691 overnight. Current resistance is at $1,700 as global traders push the yellow metal higher on Covid-19 fears. Judging by the swift reversal in global equity prices last night it would appear as though traders have finally lost confidence in China's...
CGC created a gap in price last week when it made the jump back above $20 and has so far failed to move back above a previous support line(orange) which is now acting as resistance. Gaps tend to be filled in charts so the longer price fails to move back above the orange line, the greater the likelihood that the gap will be filled which means price will likely...
Bitcoin held support at the lower line of the uptrend channel(orange) which was also where horizontal support rested(dashed blue) which added extra support on the recent dip back below $10k. With support now tested and holding, as well as price back above $10k, we can assume that the trend is going to remain bullish. Immediate short-term resistance is at the...
Gold performed a triangle breakout today(solid orange) and is now testing overhead resistance(red dashed) which stems from a local high at $1613 made on January 8th. Short-term resistance that needs to be beat to keep the immediate trend on the up and up is the red dashed line, a move above there will likely see a continued move higher for the foreseeable future....
I apparently forgot the #1 rule in investing that has remained true since the financial crisis: don't bet against global central banks and their ability to maintain economic(stock) expansion. The PBOC has injected enough liquidity during this coronavirus outbreak to ease all trader fears of a market decline which has led to price filling the gap that was created...
Bitcoin took a little dip after my previous post yesterday where I was expecting a push higher and is now testing lower channel support(orange) as well as horizontal support(dashed blue). For now the trend remains bullish as long as price remains above channel and horizontal support near $9,500, but should that level be taken out it will lead to a neutral view on...
With Bitcoin holding above $10,000 we can start to look at new support and resistance levels as well as a new price target. For now $10,500 is the current resistance level(red dashed) and that price point stems from the massive two-day price spike back in late October 2019 which saw price jump $3k from $7,500 to $10,500, with $10,500 acting as current...
Over the course of the past week crude has broken below 2019 support(horizontal green line) and failed to move back above it as price heads lower in a steep downtrend(red line). The local low from last week is at $49.31(blue line) which is where stop-loss orders should be placed if currently long here. Short-term trend is bearish as long as price is trading...
A hanging man is a type of bearish reversal pattern, made up of just one candle, found in an uptrend of price charts of financial assets. It has a long lower wick and a short body at the top of the candlestick with little or no upper wick. In order for a candle to be a valid hanging man most traders say the lower wick must be two times greater than the size of the...
CGC has fallen out of its uptrend channel(orange lines) and has returned to a previous consolidation range(blue lines). The trend for now has shifted back to neutral as long as price is within the blue lines; a break back above the blue channel would be bullish, a break below bearish. The PPO is indicating a negative short-term trend with the green PPO line...
Bitcoin is back above $10k for the first time since October 2019 and has reached the expected target area shown in previous charts(yellow box). As a trend trader, I watch for new local highs in price and once they are made I move my stop-loss up to the last "base" that price made prior to making new highs. The most recent base for Bitcoin was made in early...
Gold is testing the $1600 level which stems from price action all the way back in 2013 after gold's historic rise to $1900 during the height of quantitative easing by the Federal Reserve in response to the financial crisis. Taking in to account the fact that the Federal Reserve has now returned to a period of loose monetary policy(lower rates, REPO...
After a parabolic advance that would make crypto traders envious, Tesla has created an Evening Star Reversal pattern which tend to mark the top of a price advance, or in this case, a potential blow-off top. Moves like this are rarely sustainable long-term so a pullback in the short-term is expected. Lower levels to watch for potential support stem from previous...
CGC saw an open and close yesterday below the lower support line of a rising channel(orange lines). Using a measured move on a trendline break, price could potentially see a -25% decline which would roughly equal a -$5.50 loss taking price back down near $16. Keeping an eye on this one today as CGC tends to dictate prices for the entire cannabis sector.
Bitcoin has made a daily close and open above $9,600 resistance(lower red line) as price continues to gain within a rising channel(orange lines). Traders look ready for a push up to $10,300 resistance(upper red). Target area is shown in yellow. Any pullback needs to hold above the lower channel line to keep price bullish, or more preferably, a hold above the...
CGC is testing the lower support line of a rising channel, and for now is slightly below it. A close today above the trendline would keep price leaning bullish whiule a close below would indicate a potential loss of upward momentum. Lower level to watch for support is near $18(yellow line); a close below that level going forward would be considered bearish.
Bitcoin is testing resistance today as price continues to advance within a rising trend channel. A close above $9,600 today should be considered bullish with the next level of resistance to watch for resting in the $10,200 range.