Don't Ignore This Chart!

November 2015

Don't Ignore This Chart!

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A Boring Biotech that Deserves a Second Look

by Arthur Hill

Gilead is up for the most boring biotech award because the stock has traded relatively flat since September 2014. Despite numerous crosses of the 105 area, the overall trend is still up and chartists should watch for a breakout to signal a continuation of this uptrend... Read More 

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Understanding What Works For You

by Tom Bowley

The first thing to investing or trading smarter is understanding your own personal strategy - what works best for you... Read More 

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Classic Ascending Triangle Breakout On This Software Stock

by Tom Bowley

Imperva Inc (IMPV) made a steady move higher from April through July before consolidating in a very bullish ascending triangle continuation pattern over the past four months. On Tuesday, volume accelerated and triangle resistance near 74... Read More 

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A Mid Cap Stock Tries To Breakout To All Time Highs (EDU)

by Greg Schnell

New Oriental Education and Technology (EDU) has been a high-flying stock before. StockCharts.com moved it into the Mid Cap Group for an SCTR ranking and that has currently surged to 99.3. That is a really strong ranking and we can see it made new 52 week highs in mid-October... Read More 

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Home Construction iShares Goes for a Breakout

by Arthur Hill

After lagging the market in October, the Home Construction iShares (ITB) is perking up with a breakout on the price chart and upturn in the price relative. ITB peaked in August and fell into September... Read More 

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First Solar Tests The Primary Trend (FSLR)

by Greg Schnell

First Solar (FSLR) looks very interesting here. This stock has been down drafting on the back of lower energy across the industry group. However, it might be time to think about FSLR above $60. The SCTR is back above 75 so it might have the momentum to break out... Read More 

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Big Candlesticks Form Potential Reversal Pattern in Alcoa

by Arthur Hill

The overall trend for Alcoa is currently down, but the ETF is showing signs of life with a bullish reversal pattern taking shape. The chart shows AA making a round trip from 8 to 8 with a double top at 17 in between... Read More 

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Intel Prints Shooting Star Candle

by Tom Bowley

After gapping up off its recent uptrend, the buying continued on Intel (INTC) intraday on Friday as it surged to a high of 35.29. By day's end, however, INTC closed at 34.66 - EXACTLY where it closed on its recent high on October 23rd... Read More 

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Abercrombie And Fitch (ANF) Surges To A Strong SCTR Ranking

by Greg Schnell

Abercrombie and Fitch (ANF) popped above an 8 month base in what can only be described as a breakout. The apparel retailer industry group only had one stock with an SCTR above 65 yesterday. What a difference a day makes. Now Abercrombie is leading the group... Read More 

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DHI Threatens Breakout; Home Construction At 2 Month High

by Tom Bowley

The Dow Jones U.S. Home Construction index ($DJUSHB) hit its highest level in two months this morning and a close above 600 would likely signal more strength to come... Read More 

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Gold Hit by Dollar and Rising Yields

by Arthur Hill

The PerfChart below tells the story for the Dollar, Treasury bonds and commodities since late September... Read More 

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What's LUV Got To Do With It?

by Greg Schnell

Southwest Airlines (LUV) has been one of the few airline stories where investors have been able to make money since 2012 from buy and hold. Through the summer of 2015 Southwest had one of its biggest selloffs in 3 years... Read More 

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QQQ Attempts to Firm: Here's What to Watch

by Arthur Hill

The Nasdaq 100 ETF (QQQ) was hit quite hard last week, but the ETF is making an attempt to firm on Monday and chartists should watch three things. First, the ETF gapped up and surged above 115... Read More 

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DKS Sports A Test Of Long-Term Support

by Tom Bowley

Retailers were rocked on Friday with the five worst performing industry groups all in the retail space. The S&P Retail index (XRT) dropped nearly 4% on Friday and more than 8% last week... Read More 

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The Broker-Dealer Index ($XBD) Looks Precarious Here

by Greg Schnell

In bull markets, brokers do very well. On the back of the recent rate rise, the Broker-Dealer Index ($XBD) ran up to test the 200 DMA. Now the chart warrants close scrutiny... Read More 

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XLE Negative Divergence Plays Out As Price Support Tested

by Tom Bowley

Prior to this week, energy had seen its strongest rebound since topping in June 2014. But a long-term negative divergence and slowing volume suggested the rally was long in the tooth. After hitting nearly 72.00, the XLE has retreated and the energy bulls will now be tested... Read More 

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Small-caps Attempting an End-Around on the RRG

by Arthur Hill

Small-caps are still underperforming large-caps, but the small and mid-cap indices moved into the improving quadrant on the Relative Rotation Graph (RRG) with a classic end-around play. Just go to YouTube if you need to review this play... Read More 

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Infrastructure Builder McDermott International (MDR) Builds A Nice Base

by Greg Schnell

Scanning through the list of new highs this morning, I noticed McDermott International (MDR) had a really nice chart pattern. The stock had an initial thrust off the lows and has quietly built a base supported by the 200 DMA... Read More 

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Momentum Turns Down on Deere

by Arthur Hill

Deere (DE) is not keeping pace with broader market and a bearish momentum signal just triggered. Deere was hit with the rest of the stock market in August and fell sharply. This was normal because the broad market was under intense selling pressure... Read More 

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Bullish Cup With Handle Breakout on Semi Stock

by Tom Bowley

Semiconductors have been one of the hottest areas of the market off the August low and especially during the month of October. That's created a number of trading opportunities in the space... Read More 

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Goldman Sachs Jumps Out Of Bed (GS)

by Greg Schnell

With the jobs report this morning being so good, the financials were off to the races on the news of a probable interest rate rise from the Fed in December. Goldman Sachs (GS) has been struggling to get back above the September highs even with the October surge... Read More 

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This Signal Is Bullish And Rarely Fails

by Tom Bowley

No signal is perfect, but the relative performance of consumer stocks is one to watch. The reason is simple... Read More 

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Treasury Yields Surge Across the Board

by Arthur Hill

Short-term Treasury yields surged over the last six days and recent breakouts suggest that the Fed will raise short-term rates in December. Yes, it sounds blasphemous, but the bond market tends to lead the Fed in these matters... Read More 

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Is It Time To Let Cyber Security (HACK) Into Your Portfolio?

by Greg Schnell

Cyber Security is a growing problem in the technology world. The companies that sell cyber security solutions are associated with high multiples and strong growth as almost every client increases their cyber security spending each year... Read More 

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Phillips and Tesoro Lead CRAK with New Highs

by Arthur Hill

Refiner stocks are showing relative strength and absolute strength. The table below shows nine refiner stocks from the Oil Refiners ETF (CRAK). Eight of the nine are part of our StockCharts Technical Rank (SCTR) universe and six of the nine have SCTRs above 90... Read More 

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Reverse Head & Shoulders Pattern Worth A Gamble?

by Tom Bowley

Gambling stocks ($DJUSCA) have been BY FAR the worst performing industry group within the consumer discretionary sector over the past year, dropping 27.72%... Read More