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SPX: Reached a Resistance After an Insane Rally!The SPX has reached a critical resistance area. As observed on the daily chart above, the index hit the 4,541-resistance line (black line), which was a previous top level from September. This resistance line is quite close to another key point, the 4,567, an open gap since August (yellow line), making this whole area a zone of resistance. Although the SPX showed some weakness today, there is no sign of a top nearby, and the index would have to make a serious bearish reaction in order to reject the bullish sentiment. In my opinion, as the index has just hit a resistance area after a relentless rally since October 30 (last bottom), a pullback would be healthy. In this scenario, I see it seeking the gap below the price around 4,421, near the 21 ema. However, it must make a decent top signal to convince me that it will correct. What if the SPX breaks its resistance area? In theory, it would resume the bull trend seen on the weekly chart. Its next technical resistance is the 4,607, and above this key point, we see the all-time high at 4,818, near the purple trend line that connects the tops of its Ascending Channel (which is another bullish chart structure). Therefore, given the multiple chart structures observed in this analysis, we conclude that the SPX is in a mid/long-term uptrend, however, a mid-term pullback would be acceptable now, as it just reached a critical resistance area – the only thing missing is a clear top signal. Keep in mind that, statistically speaking, November is the greenest month, with an average return of 1.71% (since 1950). December is another good month for stocks, going up 1.50%, on average, and it ends up being a positive month 75% of the time. I’ll keep you updated on this, so remember to follow me if you liked the content. All the best, Nathan.
SP:SPX
by Nathan_The_Finance_Hydra
2
Gap Reports Vastly Improved Q3 Sales And Earnings ResultsThe Gap’s new president, Richard Dickson, 52, has many challenges to overcome. His first meeting with analysts and investors after reporting 3rd quarter 2023 results shows that he has a clear understanding of the Gap’s problems and opportunities. In the three months that he has been on the job, he has closed many unprofitable Gap stores, invigorated Old Navy, and started to reposition Banana Republic and Athleta. In the third quarter, his efforts have already made an impact on a few key metrics. The company improved both gross margin and operating margins and, most importantly, he is reviving the spirit of the associates and creating a culture of success. Key Highlights Net sales were $3.8 billion, a decrease of 7% from last year’s 3rd quarter. The company indicated that those sales results included about 2 percentage points of negative impact from the sale of Gap China. Diving more deeply into this, comparable sales were down 2%. Store sales decreased 6% compared to last year. The company ended with 3,533 stores at the end of the quarter compared to last year’s third quarter of 3352 stores. The stores are in 40 countries; 2,598 of them (compared to 2,685 last year) are company operated. Online sales decreased 8% compared to last year and represented 38% of total net sales. A gross margin of 41.3% showed an increase of 390 basis points versus last year’s gross margin and increased 260 basis points versus last year’s adjusted gross margin. Last year’s adjusted gross margin excluded $53 million in impairment charges related to the decision to discontinue the Yeezy business. 1. The company ended the quarter with cash and cash equivalents of $1.4 billion, an increase of 99% from the prior year. 2. Year to date, net cash from operating activities was $832 million. 3. Ending inventory was $2.3 billion, down 22% compared to last year. 4. Year to date, capital expenditures were $288 million. 5. The Gap paid a third quarter dividend of $0.15 per share, totaling $55 million. 6. The effective tax rate was 15% and includes the benefit of foreign operations. 7. Reported net income was $218 million while reported diluted earnings per share were $0.58. 8. Adjusted net income was $221 million. Excluding restructuring costs, diluted earnings per share were $0.59. 9. The board of directors approved another $0.15 per share dividend for the fourth quarter of 2023. Technical Analysist Price Momentum GPS is trading near the top of its 52-week range and above its 200-day simple moving average. What does this mean? Investors have been pushing the share price higher, and the stock still appears to have upward momentum. This is a positive sign for the stock's future value.
GLong
by DEXWireNews
$GPS Breaks Double Top Your analysis of NYSE:GPS (Gap Inc.) highlights a nuanced approach to trading based on technical patterns and clearly defined risk management strategies. Let's break down the key elements of your strategy: 1. **Bottoming Pattern with Bullish to Bearish Reversal**: Initially, Gap Inc. exhibited a bottoming pattern, which usually indicates the potential end of a downtrend and the start of an upward movement. However, it seems there's been a reversal from bullish to bearish, suggesting that the anticipated upward trend might not materialize as expected. 2. **Breaks Double Top**: The break of a Double Top pattern is significant. A Double Top is a bearish reversal pattern characterized by two peaks at approximately the same level. A break above this pattern can sometimes signal a potential change in trend, but it's often approached with caution as it can be a false breakout. 3. **Strategy for Entering the Trade**: You're planning to enter a long position if NYSE:GPS pulls back to $15.49. This price point likely serves as a key level based on your analysis, where the risk-reward ratio is favorable. 4. **Risk Management with Stop Loss**: You've set a clear stop-loss condition: if NYSE:GPS closes below $15.49 on a weekly basis, you plan to exit the trade. This strategy is crucial for managing risk and protecting against larger losses if the trade doesn't go as expected. 5. **Philosophy on Trade Management**: Your statement, "Only way to manage a trade is to be in a trade," reflects a hands-on approach to trading. It emphasizes the importance of active engagement and decision-making based on how the market unfolds. In summary, your approach to trading NYSE:GPS involves waiting for a specific entry point, setting a clear stop-loss level, and being prepared to actively manage the trade based on its performance. This methodical approach is key in balancing potential rewards with the risks involved in trading. Remember, while technical analysis can be a powerful tool, staying informed about the company's fundamentals and broader market conditions is also essential.
G
by AlgoTradeAlert
TSLA: It Has Just Reached a Major Turning Point (D and W charts)TSLA shares are down today, showing a bearish reaction right after closing their gap at $242.08, which is acting as a resistance level, as expected. The medium-term trend is up, as TSLA is recording higher highs/lows since bottoming out on October 31 at $194. In addition, it recently triggered an Inverse Head and Shoulders chart pattern after breaking through the $226 area, the neckline of this pattern, which is another bullish reversal chart structure. An IH&S pattern is nothing more or less than a bearish pivot point followed by a bullish pivot point (a lower H/L followed by a higher H/L). Now, if TSLA really corrects, it could look for its next support levels, such as the $226 mentioned above, which is close to the 21 ema on the daily chart and close to a previous gap as well ($225.40). Despite today's bearish reaction, this top signal has not yet been technically triggered. Could TSLA reverse and thwart this bullish sentiment? Yes, but it would need to trigger a clear bearish reversal structure (there isn't one so far) or lose the $206 again, because that key point was a previous bottom, and TSLA would make a new lower low if it lost it. On the weekly chart, we see that TSLA is reacting around a clear support area (yellow line), but is still within a Descending Channel, as evidenced by the purple lines. Therefore, for the long term to resume its bullish sentiment, it must break out of this channel to the upside. In any case, despite the bearish reaction and a possible pullback, medium-term sentiment is bullish and, in theory, TSLA can still seek higher levels. We'll be monitoring its key points closely. I'll keep you updated on this, so remember to follow me for more analysis like this.
NASDAQ:TSLA
by Nathan_The_Finance_Hydra
18
DXCM - bottom fishing (swing trade)DXCM had been essentially a range bound stock in the past 3 years, forming what is potentially a long term head & shoulders formation (bearish if break down). However, it looks like the odds of breaking down has diminished with a bullish monthly pin bar now forming after finding support at its 88.6% fib retracement (imperfect double bottom). The stock is still below its 200 day MA but this MA is less relevant for a stock that is just ranging sideways for the past few years. It can still be a good candidate for swing trade due to its wide range. The daily chart is starting to exhibit reversal patterns with higher highs (HH) and higher lows (HL). The recent earnings gap up on huge volume was a good catalyst. And the subsequent pullback to almost close the gap (and today's "bullish harami" to signify potential rebound) provided an opportunity to long at lower risk. Ready to test a small long position with initial stop loss just under $83.50 (allowing for gap fill that might still stand a small chance of happening IMO) Disclaimer: This is just my own analysis and opinion for discussion and is NOT a trade advice. Kindly do your own due diligence and trade according to your own risk tolerance and don't forget that money management (ie trailing stop loss and position sizing) is (probably the most) important! Take care and Good Luck!
NASDAQ:DXCMLong
by Juliac
#bitcoin #btc has closed a historical #CME #GAPAs you see on the chart, there was very important #CMEFUTURES gap at 35 - 36K area which was opened in #luna collapse times. Now, #btcusdt price has CLOSED this historical gap and what now? It' s too early to say #btcprice will go on through the #bullrun or " BTC will directly go to close the OTHER historical GAP at 20 - 21K region!.." Now, just relax and watch the #market and especially #BTCdominance. #BTCD will reveal the direction of the market. I will update my thoughts. As you see on the chart, there only 1 #CME #FUTURES #GAP left at 20 - 21K region. Don' t underestimate this and also don' t be pessimistic, just carefully watch #bitcoin moves. NOT FINANCIAL ADVICE. Dyor.
CME:BTC1!
by naphyse
PSNY Giant Falling Wedge (reversal) Weekly & DailyFalling Wedge Pattern for PSNY chart, Polestar In this chart analysis, it's evident that there's a potential buying opportunity if we manage to reclaim the indicated level (previous gap after Earnings). This could take 30 to 45 days, as institutional investors are not very interested in buying this stock. However, it's crucial to exercise caution and patience, especially considering the need for a CMF (Chaikin Money Flow) reversal within the green zone. While there's a possibility of a lower buy-in, it's important to remember that there are no guarantees of a bounce at this stage. Traders should keep a close eye on CMF indicators to confirm a favorable entry point before taking action. In addition, is there a potential positive divergence in the PPO (in formation)
NASDAQ:PSNYLong
by Maximus20000
Can Bullrun Start Without Gap Fill? 🌄🕳️ The Gap Dilemma: Price gaps occur when there's a notable difference between the closing price of one trading period and the opening price of the next, often seen on the charts as a "hole" in price action. 🔍 Gap Filling: Traditional market wisdom suggests that gaps tend to get filled, meaning that the price revisits the gap area and trades within it. In Bitcoin's case, this could mean a retracement to fill a previous gap before further upward movement. 📈 Historical Anomalies: Interestingly, Bitcoin has shown a tendency to defy this norm. In its historical price data, there have been instances where significant bullish trends started without revisiting or filling previous gaps. 🌐 Market Sentiment: Bitcoin's behavior often reflects overall market sentiment. If there's overwhelming bullish sentiment, it might bypass gap filling and initiate an upward move. 🚧 Caution Required: While Bitcoin's past actions might suggest the possibility of such scenarios, it's important to approach each situation with caution. Market conditions can change, and historical patterns don't guarantee future outcomes. 💡 The Takeaway: Bitcoin's unique nature means it doesn't always conform to conventional market expectations. While gap filling is a common phenomenon, the cryptocurrency has demonstrated the ability to start bullish trends without revisiting these gaps. In trading and investing, adaptability and a comprehensive strategy are key. Keep a close eye on market sentiment, technical analysis, and news developments to make informed decisions. Remember, there are no absolutes in the crypto world, and flexibility in your approach is your greatest asset! 📊🚀
CME:BTC1!
by AlexWhale
Cryptocurrency Analysis: Insights from the World of Cryptos 👋 Hello, esteemed cryptocurrency enthusiasts! Today, I want to share observations from the world of cryptocurrencies, specifically focusing on BTC. Recently, a notable event occurred on our chart: an open Gap at the level of 27400. It's crucial to highlight all open gaps on the chart, as they can influence the future dynamics of price movement. Regarding the last 10 daily candles marked in red, this is an intriguing phenomenon that may indicate a certain pattern. It's important for us to delve into past similar situations and attempt to comprehend the implications behind these red candles.
CME:BTC1!
by CHOWTRADE
2
NQ - Bearish Divergence (short term pullback imminent?)A bearish divergence can be seen on both the SPX and Nasdaq (with similar divergences also seen on most of the FAANGT stocks), coupled with the fact the indices are now in the overbought territory, a pullback in the near future could be likely. We saw both NFLX and TSLA sold off after hours despite strong earnings announcements. The market has been running into earning season and a correction would not be too surprising even if earnings are good ("buy" on expectations and sell on "news"). That said, divergences on the daily chart usually predicts a short term reversal (lasting several candles on the average) and not a predictor of a bigger trend change (unless seen on larger time frames like the weekly, if not monthly). The market remains in uptrend with good support around 15100 - 15300 region. This is an area comprising: 1. a horizontal resistence turned support 2. the 50% to 61.8% fibonacci retracement of the recent AB swing 3. gap fills @ 15300 and also 15120 However, be wary should it break the support @ 15100. So let's see what happens. Disclaimer: Just my 2 cents and not a trade advice. Kindly do your own due diligence and trade according to your own risk tolerance and don't forget that money management is (probably the most) important! Take care and Good Luck!
TVC:NDQ
by Juliac
SPY close analysis 8/9/2023Gaps, gaps, and more gaps! Let's talk about that "holy moly gap." Bulls keep defending it. Every wick is being bought right up. That said, the bulls have failed to close into the gap above completely for 2 days straight. Time is running out for the upside (leave that gap above unfilled long enough and it'll become resistance) and CPI is tomorrow. Anything could happen in this support/resistance sandwich. I remain optimistic for upside and a test of 469 before a major meltdown.
AMEX:SPY
by upslidedown
UPWK - emerging from base (buy the dips)UPWK has been forming a base with neckline around 14.50 -15.35. Upon earnings announcement yesterday, it gapped up decisively on huge volume, rising a crazy 44%, and closing right at neckline. What is clear is that it could be near the end of its base building and could begin to start trending up in the coming weeks. The entry is tricky now due to its oversized move in a single day, hence I would prefer to see some pullback from here to look for opportunity to enter at the dips (fib-retracement level, candlestick reversal setups etc) A more conservative approach is long only when it has cleared the neckline above 15.35. It may sound counter-intuitive to buy at hgher prices but in actual the odds of a sustainable trend is also increased when the stock is able to clear a significant resistence (namely, the neckline). Disclaimer: Just my 2 cents and not a trade advice. Kindly do your own due diligence and trade according to your own risk tolerance and don't forget that money management is (probably the most) important! Take care and Good Luck!
NASDAQ:UPWKLong
by Juliac
4