Apr
9
OIL SURGES TO NEW HIGHS…
The government reported a decline in crude inventories and this news sent the United States Oil Fund ETF (USO) to new highs. This report may have sparked today’s move, but a new high is not that surprising given the strong uptrend in oil. After breaking resistance in February, USO consolidated and broken resistance turned into support. Chart 1 shows the ETF successfully testing support around 79–80 in late March and early April. With a gap up on Monday and a strong gain today, USO moved to a new high to […]
Apr
4
A LOT OF METAL AND OIL SERVICE STOCKS ARE BREAKING OUT TO THE UPSIDE
INDUSTRIAL METAL BREAKOUTS… Three of the top performing material stocks are tied to industrial metals. The strongest is US Steel which just recently broke out to a new record high. Right behind it is Freeport McMoran Copper & Gold (which is tied more to copper than gold). FCX is breaking through a “neckline” drawn over its December/February highs. Its relative strength ratio is near a new high as well.  Alcoa moving up to challenge overhead resistance near 40. A decisive close over that chart barrier would be a bullish breakout […]
Mar
28
Success in Trading By this time in your trading career you should already have some success. You may have only paper traded or have ventured into live trading. The point I am trying to make is, that whichever stage you are in with your trading, you probably already have had success. I remember many years ago when I first started trading. I got into a paper trade on APPLE computers and realized a gain of $400 dollars in just a few days. Yes it was a paper trade, but I still […]
Mar
21
COMMODITIES WILT WITH DOLLAR REBOUND…
WOW…What a week!!! Let’s see if I can recap this past week by posting a few headlines. Monday…up 50 points Tuesday…up 416 points. HOMEBUILDERS, RETAILERS, AND TRANSPORTS CONTINUE TO SHOW NEW MARKET LEADERSHIP — BANK BOUNCE ALSO HINTS THAT FINANCIAL SELLOFF IS OVERDONE — A LOT OF SHORT-TERM POSITIVE DIVERGENCES ARE SHOWING UP, SUGGESTING A POSSIBLE MARKET BOTTOM Wednesday…down 280 points ENERGY AND MATERIALS SECTORS LEAD THE WAY LOWER – COMMODITIES TUMBLE AS DOLLAR REBOUNDS – THE DOW AND SHORT-TERM INTEREST RATES – NEW LOWS STILL OUTPACING NEW HIGHS Thursday…up […]