The U.S. dollar index has been in a steady downtrend since May. It paused after breaking a short-term trend line on January 8, but the bearish pressure continues.
The main thing we wanted to highlight today is the overbought condition on stochastics. Each time it’s reached this high since March, lower prices have followed.
It’s also noteworthy that the recent...
Private-equity giant Blackstone Group has squeezed into a tight range for the last month, but now it may be attempting a breakout.
This chart shows the descending trend line on BX that began on December 23. BX closed above it yesterday for the first time, which could potentially draw interest.
Next, the stock tried to sell off early this year. It bottomed around...
Recent months have seen a shift toward cyclical stocks like International Paper, which has some potentially bullish chart patterns.
First, IP spiked to $53.39 on January 6. That was the highest level since September 2018. Such a new high can indicate a stock is under accumulation – especially when it occurs so early in a calendar year.
Second, the materials...
The recent price action in Bitcoin seems to highlight the importance of two simple moving averages (SMAs): the 50-hour (SMA) and the 100-hour SMA.
This chart highlights some important turns along both in the last five weeks.
First, notice how the entire rally started after prices pushed above the 100-hour SMA on December 12.
Next, BTCUSD held both lines after...
Ethereum’s recent price action might look like normal consolidation. But it’s actually holding some important levels from almost three years ago.
First, ETHUSD slammed all the way down to $911 late Monday morning. That was close to the lows on January 22 and 23 of 2018. It was near the high on February 10, 2018.
Interestingly, ETHUSD consolidated under the same...
It’s not hard to be bullish on Apple given the potential for an iPhone upgrade cycle. But now the unthinkable may be occurring on the tech giant’s chart: a bearish double-top reversal pattern.
Notice how AAPL tried to push above its previous high in the early minutes of December 29, only to get rejected. That session and the next three were all the same, with...
United Airlines has gone almost nowhere for two months. But now the chart may be lining up for a rally as earnings approach.
UAL exploded higher on November 9 when Pfizer’s vaccine news hit. It continued upward the following month before retreating in late December.
Since then, the airline has stabilized between $42 and $44. It’s also holding support at its...
The volatility index has been falling all year, and now may be preparing for a push below the key 20 level.
This chart highlights the descending triangle on VIX. It began when the market slumped in late October, with another spike on December 21. There were additional lower highs on January 4 and 12.
VIX has also dropped in six of the last seven sessions and has...
The reopening trade remains in full swing as buyers target cyclical companies with low valuations. Valero Energy could be a name to watch.
The oil-refinery stock has a few interesting chart patterns. First is the downward-sloping trend line in place since early 2020. VLO broke it in November and has remained above it since.
Meanwhile, its 50-day simple moving...
We cited the bullish potential in gold prices late last year. This played out as expected, but there hasn’t been any follow-through. Now some bearish patterns are taking hold.
This chart shows the downward trend line in the Market Vectors Gold Miners ETF. Notice how the latest rally tried and failed to push above it.
Next is the rising channel in place since...
If any stock defined the age of Covid, it would be Zoom Video Communications. Now the videoconferencing disrupter could be showing that sentiment has truly moved on.
ZM has steadily trended lower since peaking near $590 on October 19. It fell on the November 9 vaccine news, and again December 1 -- despite a very strong quarterly report the night before.
ZM is...
McDonald’s has trended lower since late October, but now may be attempting a breakout.
This chart shows the declining trendline in place since October 23 and the 50-day simple moving average (SMA). MCD pushed above both -- for the first time since the recent slide began.
Next, the recent low on January 4 was higher than the December low. This has created a...
Mastercard has gone nowhere for a year, but now it could be ready to start moving.
Notice how prices jumped on November 9 and moved sideways for the next six weeks. MA accomplished a few things technically during that time.
First, the credit-card giant managed to consolidate above an important zone around $330. That was the bottom of its bearish gap when the...
Monday’s hard selloff was a jarring start to the New Year, but it didn’t do a lot of technical damage.
Most importantly, the index held two levels.
First, its low of 3663 matched a rising trendline in place since mid-November. (It began with the first pullback after the breakout to new highs.)
Second, SPX managed to close slightly above 3700. While this...
Homebuilders were one of the strongest industries early in the pandemic as city dwellers headed to the suburbs. While the social trend has continued, bullishness has faded in the stocks.
This chart shows the broken trend line in the iShares US Home Construction Index. It apparently tried to form a bullish ascending triangle against resistance at $58.50 but never...
The SPDR Energy ETF had a historic selloff last year, but now it’s holding some key levels as an important chart pattern appears.
First, XLE spent the last two weeks of 2020 holding roughly $37.90. That was near the low from March 2009. Looking back even further, it’s also near a high from November 2004. That’s when crude oil began its major ramp toward $100.
...
Gold had a big rally in June and July. The yellow metal has consolidated since, but now may be attempting a breakout.
This chart shows the downward-sloping trend line on gold that began on August 7. Several patterns may indicate prices are ready to start moving.
First, notice how XAUUSD has held close to the line, unlike its test and breakdown on November 6 and...
Alphabet was the only megacap Nasdaq member to break out on its last set of quarterly numbers. Now it’s pulled back to some interesting levels.
First, GOOGL tested its 50-day simple moving average (SMA) on Monday and held that line.
Second, that SMA is near the September 2 peak of $1726.10. It bounced around that same level twice last month, which could mean old...
