Get started

Equity

Stocks Surge as China ReopensThe S&P 500 has broken out of the malaise it has held all of last week. China seems to be reopening which has investors breathing a sigh of relief. After the inverse head and shoulders breakdown, we saw tremendous resistance and stocks were in the doldrums, hovering in the 3800-3900 range with 4K a hard upper bound. The neckline of our failed inverse H&S pattern provided strong resistance as we had predicted all of last week. Finally, we were able to break out from this level, smashing through our previous targets at 4122 and 4144, and reaching a new relative high just above 4200. We are starting to face resistance from a congestion zone from the end of April, confirmed by a red triangle on the KRI just below 4214. We are finding support at 4144, and should see continued support from 4122, but if not, we are set to cross the vacuum zone to 4068, the neckline of our failed inverse H&S pattern. The next target is 4306, a relative high from the very beginning of May.
FX:SPX500Long
by quantguy
us500 SPX500 Long - Bitcoin Crypto Crash will pay for the pump Hi Traders, The more skilled traders have made money from shorting the Crypto markets. Where will the money go? The money flow shows its heading back into equities. Buy the US500 and target a new ATH while everyone is scared. the Bitcoin / crypto correlation to equities is breaking as well which is a huge alarm Please like my idea and follow me if you agree or like my ideas. Even post a simple comment, this will really help me continue.
SP:SPXLong
by TheBitcoinWizard
1
Stocks Meet Resistance EXACTLY at Our Level!!The S&P 500 has broken out from the upper 3000's and made a run for higher levels. We faced pretty steep resistance from 3978, about the midpoint of our failed inverse head and shoulders pattern. We noted that failed inverse H&S patterns are usually a bearish sign, and we have been in the doldrums all week. We also noted several times that the neckline of the failed pattern would provide significant and prohibitive resistance. This is exactly what we are seeing. Though the S&P 500 has broken out, it is currently facing resistance exactly at the neckline at 4068, confirmed by two red triangles on the KRI. The Kovach OBV has trended up, but tapered and flattened with the resistance. We will need more momentum to break through. If so, the next targets are 4122 and 4144. If we retrace, then 3978 should provide support again.
FX:SPX500Short
by quantguy
PLTR/USD Daily TA Cautiously BullishPLTR/USD Daily cautiously bullish. *It's become rather apparent that even after an 85% drop from its ATH, investors still aren't done selling . Taking a closer look at their financials and it's clear that they are a tech growth company that intends to be here for a while but face the reality that they may be operating in a high interest rate environment for a year or more. Financials summary: negative income since going public due to arguably egregious spending on Selling/General/Admin Expenses (that exceed Gross Profit which is $1.20b); Shareholder Equity is at $3.32b as of Q1 2022 and they have maintained minimal debt since IPO; lastly, they started producing Free Cash Flow last year in their fourth year being publicly traded and continued to do so in Q1 2022. So even though they have a healthy balance sheet and are generating positive cash flow, growth companies are often faded in favor of value companies in rising/higher interest rate environments, which helps to explain a lot of the negative sentiment.* Recommended ratio: 65% PLTR, 35% cash. Price is currently retesting $8.52 minor resistance after bouncing from the lower trendline of the descending channel from November 2020. Volume remains moderate (low) and fairly balanced between buyers and sellers as of late but is currently favoring buyers for two consecutive sessions. Parabolic SAR flips bearish at $7.13, this margin is neutral at the moment. RSI is currently trending up at 42.48 but is still technically testing the uptrend line from 01/27/22 as resistance at ~40; if it can continue surging, the next resistance is at 46.81. Stochastic crossed over bullish in today's session and is currently trending up slightly at 93 as it tests 89.92 resistance; the next resistance is max top. MACD remains bullish and is currently trending up at -0.90 as it quickly approaches -0.81 resistance. ADX is currently trending down slightly at 39 as Price is attempting to establish a short term bottom, this is mildly bullish. If Price is able to break out above $8.52 minor resistance, the next likely target is a test of $10.44 minor resistance. However, if it gets rejected here then it will likely retest the lower trendline of the descending channel from November 2020 as support at ~$7.31 before potentially heading lower. Mental Stop Loss: (two consecutive closes below) $7.39.
P
by dailytaguy
SPX/USD Daily TA Cautiously BullishSPX/USD Daily cautiously bullish. *The VIX is heading down, USDX down, Gold down and for the first week in years, crypto is decoupling from equities as it has gone down while equities have gone up. Risk-on investing is starting to lose favor in crypto due to a multitude of reasons but mainly because most market speculation was concentrated in crypto. What is shaping up to be a Bear Market Rally, that may very well run into next month, will face a big challenge when the Fed begins to reduce their balance sheet of security holdings (treasury and mortgage-backed securities) on June 1st and the FOMC releases a statement after they regroup on June 14-15 regarding another funds rate hike (Fed is committed to at least a 50 bp rate hike in both June and July).* Recommended ratio: 70% SPY, 30% cash . Price bounced off of $3939 (second time in eight sessions) and is currently on the verge of testing the lower trendline of the descending channel from August 2021 as resistance at ~$4090 (also for the second time in eight sessions). Volume remains high (moderate) and is on track to favor buyers for a second consecutive session. Parabolic SAR flips bearish at $3813; this margin is neutral at the moment. RSI is currently trending vertically at 48 as it quickly approaches a formal retest of 52.68 resistance. Stochastic remains bullish and is currently trending up at 83 but is still technically testing 76.29 resistance. RSI remains bullish for a second consecutive day and is currently trending up at -84.13 as it quickly approaches -76.22 minor resistance. ADX is currently trending down at 28.42 as Price is surging, this is mildly bullish at the moment. If Price is able to breakout above the lower trendline of the descending channel from August 2021 at ~$4090, then the next likely target is a test of $4175 resistance before potentially moving higher. However, if Price is rejected at ~$4090, it will likely retest $3938 minor support before potentially falling lower to $3706 minor support. Mental Stop Loss: (one close below) $3938.
SP:SPX
by dailytaguy
Stocks Tepidly Pull HigherStocks have drifted upwards, testing the upper bound at 3978. This is roughly the midpoint of the failed inverse head and shoulders pattern that we have been referencing the past few reports. Recall that such a failure in this pattern is a bearish sign for stocks, and what we are witnessing is to be expected. The S&P 500 has been in the doldrums and can barely muster the strength to test the midpoint of the pattern, let alone the neckline of the inverse H&S at 4068, which will continue to be a barrier even if we can muster a rally. On the downside, 3825 should remain a lower bound for now.
FX:SPX500Short
by quantguy
S&P 500 Unable to Clear 4000Stocks have been wavering at lower levels and just can't seem to break 3978. This is a technical level, about midway through our inverse head and shoulders pattern. This lackluster behavior is to be expected as the break down from the inverse H&S pattern is a very bearish sign, and portends strong resistance if we do try to inch back up and test highs. The neckline at 4068 will be an incredibly difficult barrier, as we are clearly seeing. We should see support from around the level corresponding to the 'head' in the low 3800's. If not, we are clear to test the 3700's.
FX:SPX500Short
by quantguy
Stocks Still WobblyStocks have made an attempt to recover from Friday's selloff, but we have met strong resistance at 3978, about midway through the failed inverse head and shoulders pattern. We noted that this is a very ominous sign for stocks and in the past, from which it will be difficult to recover. It also suggests that 4068 (the necline of the inverse H&S) will be a very tough level to break, and currently, the S&P 500 does not seem to have the momentum to even test this. The Kovach OBV is extremely bearish, suggesting we are due for a relief rally. However if the selloff continues, expect support at 3810 again.
FX:SPX500Short
by quantguy
SPX/USD Daily TA Neutral BearishSPX/USD Daily neutral with a bearish bias. *St. Louis Fed President James Bullard said he remains committed to a 3.5% fed funds rates at the end of 2022 with potential for rate decreases in 2023; Fed Chair Jerome Powell also said Fed would not hesitate to raise rates beyond what is considered "neutral" until inflation comes back down; unemployment remains low but economic growth is slowing and inflation is rising, so the case for stagflation isn't necessarily getting weaker.* Recommended ratio: 45% SPY, 55% cash. Price is currently testing $3938 minor support-turned-resistance after briefly touching $3800. Volume remains moderately high and has been fairly balanced between buyers and sellers for the past six sessions. Parabolic SAR flips bullish at $4035, this margin is mildly bullish. RSI is currently trending up at 40.68 and is still technically testing 38.06 resistance; it should be noted that RSI recently defended support at both uptrend lines from August 2015 and January 2022, this is bullish. Stochastic remains bearish and is currently on the verge of crossing over bullish at 36.31. MACD remains bearish and is currently trending up at -107, if it can break above -103 then it would be a bullish crossover; the next resistance is at -76.22 while the next support is far below at -226. ADX is trending up slightly at 30 as Price is currently avoiding a breakdown to $3706, this is neutral at the moment. If Price is able to reclaim minor support at $3938 then the next likely target is a retest of the lower trendline of the descending channel from July 2021 at ~$4100 as resistance. However, if Price breaks down here, it will likely test $3706 minor support before potentially heading lower to $3508 minor support. Mental Stop Loss: (two consecutive closes above) $3938.
SP:SPX
by dailytaguy
TWLO/USD Daily TA Neutral BullishTWLO/USD Daily neutral with a bullish bias. *Twilio has fallen 81% from its ATH ($457.65) and is approaching the end of a massive Falling Wedge from March 2021.* Recommended ratio: 55% TWILIO, 45% cash. Price is currently testing the lower trendline of the Falling Wedge from March 2021 at $100.65 support. Volume has been shrinking since early May as Price trades within the second largest supply/demand zone on the chart; this is mildly bullish as it is indicative of an incoming breakout (due to it being a Falling Wedge the bias is to the upside). Parabolic SAR flips bullish at $105, this is mildly bullish. RSI is currently trending down slightly at 40 as it continues testing 37.47 support for the sixth consecutive session. Stochastic remains bullish and is currently trending up at 85; the next resistance is at max top. MACD remains bullish and is currently trending up slightly at -10; the next likely target is a test of the descending trendline from May 2020 at -4.57 resistance. ADX is currently trending sideways at 33 as Price is attempting to establish support at $100, this is neutral at the moment. If Price is able to defend $100.65 support then the next likely target is a test of the upper trendline of the Falling Wedge at $120-$125 (this is also the largest supply/demand zone on the chart) before potentially breaking out of the formation to the upside. However, if Price breaks down below the lower trendline of the Falling Wedge at $92.60, the next likely target is a test of $70 support. Mental Stop Loss: (two consecutive closes below) $95.50.
NYSE:TWLO
by dailytaguy
Can Stocks Recover from Lows?Stocks have recovered from Friday's selloff. Though we have fully retraced from that dip, we remain under 4000, and well below the neckline of that failed head and shoulders pattern discussed last week. The fact that we broke down from the inverse H&S is foreboding and that we broke lower than the head (relative low) of this pattern is even worse. The Kovach OBV is extremely sold off, so we may have some hopes of a relief rally. If so, 4068 will be a formidable barrier to the upside. We should find support again at 3810 if we sell off further, but the next support level after that is in the 3700's.
FX:SPX500Short
by quantguy
MOS/USD Daily TA Cautiously BearishMOS/USD Daily cautiously bearish. *USD bouncing back today as equity markets plunge lower.* Recommended ratio: 25% MOS, 75% cash. Price is currently trending down at $58 and is still technically testing the uptrend line from 01/24/22 at $59.50. Volume remains moderate and fairly balanced between buyer and sellers over the past nine sessions; though premature, this is indicative of consolidation. Parabolic SAR flips bullish at $66.33 (coincides with the 50 MA). RSI is currently trending down and testing 40.33 support. Stochastic remains bearish and is currently trending down at 53.04; the next support is at 39.11. MACD remains bearish after being denied a bullish crossover at -1.32 and is currently trending down at -1.73; the next support is at -0.94. ADX is currently trending sideways at 18.54 as Price is defending a critical support at the uptrend line from 01/24/22; if ADX starts trending back up as Price falls, this would be bearish. If Price continues to fall here and therefore breaks out of the uptrend line from 01/24/22, then the next likely target is a retest of $55.79 minor support. However, if Price is able to bounce here then it will likely retest $64.22 resistance. Mental Stop Loss: (two consecutive closes above) $60.
NYSE:MOS
by dailytaguy
2
Stocks Looking WeakAs predicted here, stocks have fallen from a failed inverse head and shoulders breakout. We were able to predict this due to the incredibly weak 'breakout' from the neckline at 4068. We also noted that this was a very bearish omen, and called out the exact level of support at the head of the inverse H&S at 3887 or so. Currently, we are seeing a bit of support here, but the brief rally is nothing compared to the magnitute of the previous selloff, and this is confirmed quantitatively by the Kovach OBV, which is still incredibly bearish. If we fall further, its uncharted territory, but we should have support at the base of the 3800's. If we somehow muster the strength for a rally, then we must break 4068 before testing higher levels, which is a barrier for now.
FX:SPX500Short
by quantguy
2
VIX Daily TA Neutral BearishVIX Daily neutral with a bearish bias. *VIX (Volatility Index for SP500) has gradually been rising since November 2021 for a variety of reasons but mainly having to do with supply chain reorganization (due to Covid and geopolitics) and the Federal Reserve transitioning from QE to QT.* Recommended ratio: 45% VIX, 55% cash. Price continues to trend within the ascending channel from October 2021 and is currently testing 30.98 minor resistance after bouncing from the 50 MA at 26.60 support. Volume has been picking up and is the highest it's been since 03/29/22 . Parabolic SAR flips bullish at 34.31 (which currently coincides with the upper trendline of the ascending channel from October 2021). RSI is currently trending down at 51 after being rejected by both the uptrend line from 03/28/22 and the descending trendline from 04/26/22; the next support is at 35.65. Stochastic remains bullish for a second consecutive session after bouncing from 10.96 support and is currently trending up at 27; the next resistance is at 54.24. MACD remains bearish and is currently trending sideways testing 1.20 support for a fourth consecutive session as it attempts to break above 1.65 to form a bullish crossover. ADX is currently trending down slightly at 21 as Price is attempting to break back above 30.98 minor resistance; if Price can reclaim 30.98 and ADX bounces, this would be bullish. If Price is able to close above 30.98 minor resistance one more session, the next likely target is a retest of the upper trendline of the ascending channel from October 2021 at around 34.50. However, if Price is rejected here then it will likely retest 26.60 support. Mental Stop Loss: (one more close above) 30.98. *Price refers to Index value when it comes to VIX seeing that it's just a gauge of volatility... to trade VIX you would need to trade VIX futures like VIXY or VXX*
CBOE:VIX
by dailytaguy
Stocks Break Down HARD from Failed Inverse Head and Shoulders!!As predicted yesterday, stocks broke down hard. Recall that we observed that the breakout from the inverse head and shoulders pattern in the S&P 500 was looking extremely weak. This is usually a very bad sign and portends a dramatic failure. Indeed, we note only rejected current levels but completely retraced the entire pattern, currently finding support at 3887, the head of the pattern. We can expect support here, but if it does not hold, we are set to make new relative lows which is a very ominious sign. The neckline at 4068 is likely to be a prohibitive upper bound for some time, as is usually the case with failed H&S patterns.
FX:SPX500Short
by quantguy
SPX/USD Daily TA Cautiously BearishSPX/USD Daily cautiously bearish. *Amidst slowing economic growth and rising inflation Janet Yellen , Ben Bernanke and various economic pundits are vocalizing their concerns for prolonged stagflation in the short to medium term -- this and weak economic data from China (primarily due to lockdowns) is fueling broader fears of the Federal Reserve potentially not being able to execute a 'soft landing' like JPow wishes.* Recommended ratio: 30% SPX, 70% cash . Price was rejected by the lower trendline of the descending channel from July 2021 and is currently forming a Bearish Engulfing Candle as it retests $3938 minor support. Volume remains moderately high and is fairly balance between buyers and sellers in recent sessions but has favored sellers in seven of the past ten sessions. Parabolic SAR flips bullish at $4109, this margin is neutral at the moment. RSI is currently retesting 38.06 support; if it breaks below, the next support is at 16.67 (which would coincide with the uptrend line from 02/27/22). Stochastic remains bullish and is trending down at 49.43, if it breaks below 44.62 it would be a bearish crossover. MACD remains bearish and is currently trending down at -106 after failing its third attempt at a bullish crossover; if it can break above -100 it would be a bullish crossover, but if it can't the next support is the ATL at -236.13 (Covid crash in March 2020). ADX is trending sideways at 27 as Price is currently being rejected, this is mildly bearish; if ADX can continue trending up as Price falls then it would be very bearish. If Price is able to defend minor support at $3938 then it will likely consolidate before retesting the lower trendline of the descending channel from July 2021 at ~$4000. However, if Price breaks down here, it will likely test $3706 minor support before potentially falling to $3508 minor support. Mental Stop Loss: (two consecutive closes above) $4000.
SP:SPX
by dailytaguy
2
SPX/USD Weekly TA Cautiously BearishSPX/USD Weekly cautiously bearish. * CPI continues to go up since April 2020 (and for some commodities like bread, milk and oranges since mid-2019), Finland and Sweden officially apply to join NATO , the Fed remains committed to increased funds rate to ring in inflation, mid-term elections in the USA are underway and Republicans currently have a slight lean , supply chains are still getting battered by Russia/Ukraine & China lockdowns -- the overarching theme for equities remains a return to true value.* Recommended ratio: 30% SPX, 70% cash. Price is currently testing $3950 minor support for the second consecutive week. Volume remains moderate and is on track to favor sellers for seven consecutive sessions. Parabolic SAR flips bullish at $4652. RSI is currently trending down slightly at 32 as it approaches 25.26 support ( which would coincide from the uptrend line from October 2008 ). Stochastic remains bearish and is currently trending sideways at max bottom; a break above 4 would lead to a bullish crossover. MACD remains bearish and is currently trending down at -104 with no signs of trough formation; the next support is the ATL at -125.20. ADX is currently trending up at 29 as Price continues to fall, this is bearish. If Price is able to defend $3950 minor support, the next likely target would be a test of $4167 minor resistance. However, if Price breaks down here then it will likely retest $3722 support for the first time since March 2021. Mental Stop Loss: (one close above) $4167.
SP:SPX
by dailytaguy
Stocks Struggle to Continue the RallyThe S&P 500 had a very humble breakout from the inverse head and shoulders pattern we identified yesterday. Recall that we noted an inverse H&S pattern with a neckline at 4068. We suggested that if it broke out from this, we could easily test the 4100's. We did see a bit of a bounce past 4068, but nowhere near the momentum we'd expect from a breakout. Indeed, we weren't able to even clear 4100 before running into resistance. Though the Kovach OBV has tapered up slightly, this is nowhere near the momentum we'd like to see off a proper breakout. If we reject the breakout it is a very bearish sign indeed. We could easily retrace through the vacuum zone to 4009, or even test the 3K's again. If we are able to break out, then 4122 and 4144 are the first targets we will have to break before considering higher levels.
FX:SPX500Short
by quantguy
2
Inverse Head and Shoulders in Stocks?? 📈🤑Stocks appear to be forming the inverse head and shoulders pattern that we predicted would form yesterday. The "head" of the pattern extends down to the low 3900's with the neckline at 4068. We are seeing resistance from 4068 confirmed by several red triangles on the KRI, but if we are able to break out from here, then the 4100's are reasonable, in particular 4122 and 4144. The Kovach OBV is still very bearish and has flatlined suggesting we will need more momentum to come through, perhaps at the US open, before we can expect a breakout.
FX:SPX500Long
by quantguy
Stocks to Rebound this Week?? 📈💸Stocks have gotten support from the $3900's and have recovered the 4K's. We broke out past 4009, to come just short of 4068, before meeting resistance confirmed by two red triangles on the KRI. Currently, we are pulling back a bit, but still seem to have good support at 4K. Asian shares crumbled yesterday off extremely weak retail sales figures , so be mindful of this going into the US opening. If we fall further, we should see support in the 3900's again. If not, we may be seeing an inverse head and shoulders pattern forming with a neckline at 4068. If we break out from there, we could easily test the 4100's again.
FX:SPX500Long
by quantguy
Is a Reversal Near for Stocks??Stocks have continued their decline, set to end the week deeply in the red. We have completely given up the 4K's, extending down to our level at 3867 or so. We are currently seeing a small bounce from these lows, but have yet to test 4K again, which should provide resistance. If we keep it up, we may test 4009 or 4068. The Kovach OBV is still extremely bearish, so use caution. It might be a good idea to start accumulating a long position, just be wary of the fact that we may press lower. If the selloff resumes, we should find support from lows at 3867, then 3848 and 3825.
FX:SPX500Short
by quantguy