The rate of change (ROC) indicator is one of my favorites.  It is great for identifying when a stock is ready to make a reversal in trend or to tell when the buying or selling is exhausted.  Below is the basic calculation taken from www.stockcharts.com.     “The Rate of Change (ROC) indicator is a very simple yet effective momentum oscillator that measures the percent change in price from one period to the next. The ROC calculation compares the current price with the price n periods ago. ROC = ( […]

Hey Gang, I ran across these charts on the forum from www.finviz.com.  They do a great job of comparing the big bear markets.  The second chart is of the bear market of 1906-1907 which most closely resembles our current market.  If you click on the chart, it will give you a larger version that makes the numbers more visible. Happy Trades! Jeff

Hey Gang, In some of the calls, we have mentioned the Yen carry trade.  It is a phenomena in this market that has great application to the mass selloffs that are occurring.  Below is a blog written by  Joseph Trevesani that explains this carry trade in a great way.  Remember to keep an eye on the FXY…for as it rises, the stock markets fall. Happy Trades Jeff The demise of the carry trade and its associated components is without parallel in the history of modern currency trading.  But the extraordinary […]

  On Oct 16th, I wrote a blog regarding my bearish position on Gold.  Well…we have had a strong surge to the downside, but some recent activity is enticing me to look at some bullish gold trades.  Our price target on GLD on OCT 16th was around $67-$69.  As we approach these levels, we need to take a look at how to profit.    First, let’s take a look at a chart of the EURO currency, FXE.  I have overlaid the price of gold so that you can see the […]