Don't Ignore This Chart

StockCharts.com Icon
About this blog: The blog contains daily articles with intriguing or unusual charts selected by one of our Senior Technical Analysts, along with a short explanation of what exactly caught their attention and why they believe the chart is worth noting.

Latest Posts

Don't Ignore This Chart

Seagate Rises from the Ashes

by Arthur Hill

Seagate Technology was one of the weakest tech stocks in 2018 as it fell around 40% from the April high to the October low. Things appear to be turning about here in 2019 as stock finds its footing and triggers two breakouts. The chart below shows STX with two lows in the 36 area and a double bottom pattern in play. The peaks between the lows mark resistance (red zone) and the stock broke out with a surge in late February. The broken resistance zone in the 44-46 area turned into support, and held. Notice how STX fell back to this zone after the breakout with a small Read More 

Don't Ignore This Chart

When This Currency Chart Breaks Out

by Greg Schnell

Currency charts are just one type of asset class. They can play a pivotal role in many, many industry groups; they can affect the bond markets, the commodity markets and the equity markets in a single move. Over the last six months, the trend on the US Dollar has been sideways within a narrow 2-3 cent range. This week, we got some clues that this might be changing. As I write this note at 2:50 ET, the USD is pulling back at the top of the range at 97.30. This chart will update end of day. Line charts only show the close, ignoring the intraday highs and lows. The Read More 

Don't Ignore This Chart

Spotting A Pair Trade On Relative Rotation Graph Of US Sectors

by Julius de Kempenaer

The above Relative Rotation Graph shows the daily rotation over the past 20-days for the Utilities and Industrials sectors. I have isolated the tails of these two sectors to be able to show them in more detail and highlight the opposite directions that they started moving in. When you bring up an RRG in order to get pair-trade ideas, this type of opposite RRG-Headings is what you are looking for. Very often there will be more than one suggestion for a pair-trade opportunity from an RRG. They may highlight more or less aggressive trade ideas Read More 

Don't Ignore This Chart

Tilray Goes from Most Exciting to Most Boring

by Arthur Hill

Tilray (TLRY) listed on the Nasdaq at $17 with an IPO in July and promptly surged above $300. The stock then worked its way below 100 over the next few months and managed to stabilize in the 65 to 80 zone this year.   The chart below shows the Bollinger Bands contracting to their narrowest since the stock began trading. Thus, the squeeze in on as volatlity contracts. The distance between the upper band and lower band is less than 8 points and BandWidth is below 10%. BandWidth equals upper band less lower band divided by middle band. The Read More 

Don't Ignore This Chart

Millennium Falcon - Ready To Launch

by Greg Schnell

There is a specific culture on this continent that walks and talks the Star Wars franchise. This year, Disney has the Millennium Falcon ready to launch in both of their American theme parks. Disney (DIS) is widely held across the investing spectrum, from people picking the first piece of their portfolio to the most experienced institutions in the financial sector. Now, after consolidating for years, the chart is at a major inflection point. Disney's SCTR suggests the stock is just average, with a ranking just above 50. The SCTR is like a sports ranking for stocks Read More 

Don't Ignore This Chart

Google Goes Gaga

by Arthur Hill

Google, or rather Alphabet, broke out of a short-term consolidation and this could have long-term implications. The chart below shows GOOGL hitting support in the 980-1000 area from October to December. This support zone extends back to December 2017 and represents a whole lot of demand. Buyers are clearly active in this zone because the stock continues to hold it. The most recent bounce of this support zone carried Alphabet above its November high and 200-day SMA. Even though the stock did not hold above this breakout zone, it did forge a higher high by exceeding Read More 

Don't Ignore This Chart

This Bank Is Poised To Break Out

by Greg Schnell

One of the most watched banks is Bank of America (BAC), whose chart has been one of consolidation over the past 12 months. As we start the month of March, investors will see that this bank is poised to break out above the trend line; it would not take much for it to hit new highs. One of the reasons I am interested in BAC is that the SCTR ranking fired off a clue recently that suggests the bank has some buyers pushing up the stock quickly, which is an SCTR signal I have noticed on some charts right before they went on runs. It's almost like a Read More 

Don't Ignore This Chart

Is This Stock Breaking Out Or Building A Major Top-Formation?

by Julius de Kempenaer

On the weekly Relative Rotation Graph for US sectors, XLI, the Industrials sector is crossing over into the leading quadrant from improving. This indicates further improvement for Industrial stocks compared to other segments of the market. While zooming in on the RRG for Industrial stocks against XLI I noted the rotation of DOV inside the weakening quadrant. When a stock is at the right-hand side of the RRG, it means that its relative trend against the benchmark is already rising. A rotation into the weakening quadrant indicates a loss of relative momentum for Read More 

Don't Ignore This Chart

A Rejuvenated Regeneron Leads Biotech Group

by Arthur Hill

It is a mixed bag for the big biotech stocks this year. Of the top ten stocks in IBB, five are underperforming SPY and five are outperforming. Regeneron is slightly outperforming SPY this year and sports a bullish pattern on the price chart. First and foremost, the bigger trend is up because REGN hit a new high in January and price is above the rising 200-day SMA. In addition, the stock broke out of a big consolidation pattern in January and this signals a continuation of the prior advance (May to August). Thus, REGN is in the midst of a larger continuation move. Read More 

Don't Ignore This Chart

Etsy (ETSY) Finds New Buyers

by Greg Schnell

Every day, we continue to see big name stocks join the new 52-week highs. This week, a great chart of ETSY kept finding new buyers at higher prices. The stock has been a top performer since May of 2017. Notice the SCTR ranking soaring into the top of the range; it has stayed up in the top quartile for 7 quarters. Today, the stock soared above an ascending consolidation and closed near the high of the day. The investor that continues to stare at a very high price/earnings ratio could talk themselves out of this stock. But institutional investors continue to invest in the Read More 

Subscribe to Don't Ignore This Chart to be notified whenever a new post is added to this blog!