Gorgeous Symmetrical Triangle - Looking for the Bullish PlayThis is a textbook symmetrical triangle on WM. If indicative of symmetrical triangles, WM should continue its underlying bullish trend.
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Symmetrical Triangle Breakout: Potential Upside MoveSymmetrical triangles more times than not break out to continue a previous trend, in this case bullish. Thoughts on how it might look in the days, weeks ahead.
Symmetrical Triangle Continuation or Trend ReversalThis is the IVOO ETF, but looks very similar to SPY. The question is which way does it break. For reference ("gee that looks almost... wow that's like identical")
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SPY - Here's the Daily Chart I MentionedOne can easily there's a triangle pattern forming on SPY, it's on the DIA too... but regardless, there's the 200 SMA holding up price and we're neatly tucked between the 20 and 50 SMAs. The daily and weekly stochastics are turning up so price moving back up into the 270 area wouldn't be surprising. It's just what does it do from there. If its a triangle pattern, it could very well be an abcde pattern which this would be like a "d" wave up, followed by an "e" wave down. If this is the case, then again that weekly 50 EMA and the daily 200 SMA will be clear indicators.
Technical analysis doesn't really have to be overly complicated, the SMAs and EMAs are indicative of trends. Bounce off of them, trend continues, fail them and either a larger pullback or a trend change. Invest accordingly. I think the market is presently correctional (and its about damn time) and we'll make higher highs somewhere in 2018 but one candle and closes below significant moving averages can change all that. Watch that weekly 50 and daily 200, they are your friends.
The Weekly 50 EMA on SPY is the Tell TaleOther than the messiness of 2015 and 2016 the 50 EMA on the weekly has been a clear indicator of market support. While people will say that we've been in a bull market for 8-9 years they often forget that protracted sideways move with significant breaches of the weekly MAs. Well we're bouncing off the 50 again or at least it seems but will it hold. I think its safe to say that if we get a weekly close below the 50, it would be wise to be in some cash so that one has money on hand to leg back in at major support levels.
On the daily chart, the 200 is holding up price and we've bounced (obviously) off of that average as well. Closing below the weekly 50 and the daily 200 will likely indicate a larger pullback but the present pattern, and I'll post a daily too looks correctional. There's a large triangle pattern forming which obviously can break either way. However using the triangle pattern in conjunction with the moving averages lends significant weight. If we can break above 20 and 50 on a daily chart, say get above 271-272 and close up there, then market is likely to make another leg higher assuming it makes a new high. If not, and we fail the averages, get into some cash as simply wait.
FB Long After Earnings, Nice Pullback into the Daily 200Facebook gapped up over significant resistance but right into the daily 200. Today, we saw a retest of the 200 SMA. Nature (and the markets) abhor a void, and with stochastics turning up on both the daily and weekly charts, there a good chance FB fills the gap up to 185. Either way the pullback into the 200 made for a nice entry on a 15 minute chart and a wonderful area for a stop.
NFLX Long Off the 50 EMA: Good VolumeBeautiful example of old resistance new support. NFLX bouncing off the 50 EMA | an old support at the $280 price range | and a fib, all good.
BABA ConsolidationNice consolidation triangle on BABA. Nice to see the longer term MAs coming in to hold up the pattern.
