Trading Places with Tom Bowley

Tom Bowley
About the author: co-founded Invested Central and served as the site's Chief Market Strategist for more than 10 years. His unique trading style combines both his fundamental and technical strategies to systematically manage risk while trading. A regular contributor to StockCharts.com's bi-weekly ChartWatchers newsletter since 2006, Tom's role at StockCharts has expanded significantly since he joined the company as a full-time Senior Technical Analyst in March of 2015.

Latest Posts

Trading Places with Tom Bowley

Friday Action Bifurcated As Dollar Awaiting Bullish Breakout

by Tom Bowley

Market Recap for Friday, August 3, 2018 The stock market has clearly turned more defensive over the past 2-3 months and Friday was another perfect example of that.  The more aggressive small cap Russell 2000 was the laggard, dropping 0.52%.  Meanwhile, the NASDAQ produced only a minor 0.12% gain.  The Dow Jones and S&P 500, however, were higher by 0.54% and 0.46%, respectively. Consumer staples (XLP, +1.17%) and utilities (XLU, +1.12%) were the sector leaders.  The XLP has been notably strong this summer and its chart reflects that: The XLP Read More 

Trading Places with Tom Bowley

Apple Tops $1 Trillion Market Cap, Leads Technology Higher

by Tom Bowley

Special Note I will be traveling to Seattle this weekend for ChartCon 2018.  My schedule the next two weeks is likely to be quite different and sporadic, perhaps posting articles during the trading day or possibly even after the market closes.  If you've grown accustomed to my articles being posted just before the market opens, that very well could change for the next two weeks.  If you're not already a subscriber, you might want to consider it now.  One benefit of subscribing is that my articles will be sent to the email address provided the moment my article is Read More 

Trading Places with Tom Bowley

Apple Soars, Trade Fears Send Futures Plummeting

by Tom Bowley

Market Recap for Wednesday, August 1, 2018 Wednesday was a day of bifurcated action with Apple (AAPL) leading technology (XLK, +0.90%) and the NASDAQ higher, while the Dow Jones, S&P 500, Russell 2000 and most sectors finished lower.  It was a case of one behemoth, nearly $1 trillion company attempting to carry the rest of the stock market on its shoulder.  AAPL finished the trading day with a market cap of $990 billion.  While the attempt to lift the entire market was failing at around 2pm EST, our major indices did rally a bit after the FOMC announced they Read More 

Trading Places with Tom Bowley

Apple Delivers With The Fed On Deck

by Tom Bowley

Market Recap for Tuesday, July 31, 2018 It was a solid day on Wall Street to close out July.  The small cap Russell 2000, weak on a relative basis during July, regained its leadership role, spiking more than 1% and doubling the performance of its other major index counterparts.  Industrials (XLI, +2.21%) were quite strong as commercial vehicles & trucks ($DJUSHR, +3.28%) led a robust advance in every industry group in the sector.  Diversified industrials ($DJUSID) and industrial machinery ($DJUSFE) both gained nearly 3% as the XLI closed at its highest level since Read More 

Trading Places with Tom Bowley

This Part Of Energy Completes Right Side Of Cup, Very Bullish

by Tom Bowley

Market Recap for Monday, July 30, 2018 Only three sectors were able to finish in positive territory on Monday as bears permeated Wall Street.  Two of the three - financials (XLF, +0.07%) and healthcare (XLV, +0.06%) - barely managed to eke out gains.  The only real strength was found in energy (XLE, +0.82%) as crude oil prices ($WTIC) closed above $70 per barrel for the first time in two weeks.  Leading energy higher were exploration & production stocks ($DJUSOS), which are highlighted below in the Sector/Industry Watch section. For a third Read More 

Trading Places with Tom Bowley

Twitter Provides Internet Bears A Double Dose Of Adrenaline

by Tom Bowley

Market Recap for Friday, July 27, 2018 A second wave of internet troubles came in the form of Twitter Inc (TWTR) after the recently-soaring internet giant disappointed traders with its latest quarterly results.  It was an UGLY reaction by Wall Street as TWTR fell nearly 21% exactly one day after Facebook's (FB) 19% haircut.  These two earnings reports were responsible for a big reversal in internet stocks last week: The good news, I suppose, is that the DJUSNS had been on a tear and in the midst of a solid up channel.  It had room for a decline, but after the selling Read More 

Trading Places with Tom Bowley

Key S&P 500 Support To Watch And Why I Wouldn't TOUCH Facebook

by Tom Bowley

Market Recap for Thursday, July 26, 2018 There was clear market bifurcation on Thursday as The Travelers Cos (TRV) and Walt Disney Co (DIS) both gained more than 2% to lead the Dow Jones Industrial Average to a 113 point gain.  Five other Dow components gained more than 1%, while only McDonalds (MCD) and Microsoft (MSFT) managed to lose more than 1% and the latter's drop was due more to profit taking than anything else after a stellar recent earnings report and advance.  Meanwhile, Facebook (FB, -19.00%) tumbled after shocking Wall Street with an awful quarterly earnings Read More 

Trading Places with Tom Bowley

Facebook Slammed After Missing Revenues And Lowering Future Revenue Growth Rate

by Tom Bowley

Market Recap for Wednesday, July 25, 2018 All of our major indices finished higher on Wednesday, as did all sectors.  Relative strength was found in several areas including industrials (XLI, +1.52%), healthcare (XLV, +1.28%) and technology (XLK, +1.25%).  Waste & disposal services ($DJUSPC, +5.04%) surged on the back of Waste Management's (WM) strong quarterly earnings report.  Similarly, United Parcel Service (UPS) lifted the delivery services ($DJUSAF) space, gaining 6.90%.  Both stocks ended the day well above where they started it as buying persisted Read More 

Trading Places with Tom Bowley

Small Caps Are Looking To Regain Their Relative Strength

by Tom Bowley

Market Recap for Tuesday, July 24, 2018 Earnings are dominating the headlines and the action on Wall Street.  The Dow Jones and S&P 500 had been underperforming its NASDAQ and Russell 2000 counterparts throughout much of the second quarter.  As a result, their positive earnings surprises seem to be garnering much more positive attention than what we've seen on the NASDAQ.  For instance, last Thursday after the bell, Microsoft (MSFT) delivered a solid quarterly report and saw initial strength at Friday's open.  But then the sellers took over.  Yesterday Read More 

Trading Places with Tom Bowley

Toys Have Been Hot, But Don't Ignore This Warning Sign

by Tom Bowley

Market Recap for Monday, July 23, 2018 Financials (XLF, +1.38%), especially banks ($DJUSBK, +1.86%), led Wall Street on Monday as the rising 10 year treasury yield ($TNX) provides hope for increasing profits in the quarters ahead for this influential industry group.  There's a very strong and tight positive correlation between these two, highlighted on the following chart: The recent strength in the DJUSBK has resulted in a solid breakout of a bullish wedge pattern.  This breakout has accompanied a surge higher in the TNX.  This once again underscores the positive Read More 

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