ACE: View my IBD 50 charts!* Bond yield spread warns of correction! 1/14/17
-0.1 a - a 10-Year US Treasury Yield (EOD)/2-Year US Treasury Yield (EOD) ($UST10Y:$UST2Y)
UPDATE on Jan. 14, 2017: The 10s-2s Ratio continues to slide as the S&P continues to hang high. This wide divergence suggests that either the bond market or the stock market has it wrong regarding the future. Most economists and market pros believe that a falling yield spread (similar to this ratio) is contractionary for the economy. In most set-ups like this, the market veteran should favor the signal given by the 10s-2s ratio rather than the signal given by the over-exuberant stock market. Could Trump's inauguration day (Jan.20th) mark the top for the S&P 500?
The 10-2 Yield Spread is very similar to the Yield Curve. The Yield Curve is a component of the Leading Economic Indicators, a US government forecasting tool. The Yield Spread often foretells where the US stock market is headed. If the spread line is rising, that's considered bullish...and falling is bearish. This chart includes a line to measure the direction of the S&P 500 ($SPX).
I use www.StockCharts.com because I find they have the best on-line chart software, and their data feeds from the exchanges are always up to date. No need for maintaining difficult software on my computer hard-drive! I have been a loyal customer for over 8 years.
-0.1 a - a Internet of Things - Global X Internet of Things Thematic ETF (SNSR)
SNSR is the first US-based ETF that invests strictly into Internet of Things (IOT) stocks.
You can view two of the hottest IOT stocks right below this chart. Then, to see a more comprehensive list of my favorite IOT stock charts, please move to page 9 of my list.
I use www.StockCharts.com because I find they have the best on-line chart software, and their data feeds from the exchanges are always up to date. I have been a loyal customer for over 8 years.
Also, be sure to view my IBD 50 stock charts which begin on page 7. Please visit www.investors.com to find the most current list of IBD 50 stocks. I am not affiliated with IBD and my list may not always be current.
-0.1 a - aa Advanced Micro Devices, Inc. (AMD)
AMD is becoming an emerging leader in IOT chips. AMD is also on the IBD 50 list of best, fast-growth stocks. Visit www.investors.com for a current list of the IBD 50 stocks.
See my IOT stock charts right here at www.StockCharts.com beginning on page 9. Also, be sure to view my list of IBD 50 stock charts which begins on page 7. I am not affiliated with IBD, but to make sure you have the most current list of IBD 50 stocks, be sure to visit www.investors.com .
I use www.StockCharts.com charts because there software is the best, and is always updated with current information from the exchanges.
-0.1 a - aa Internet of Things- STMicroelectronics NV (STM)
UPDATE November 17, 2016: STM has suddenly caught on as a hot IOT play with its new fast growing market of Artificial Intelligence chips.
To view the rest of my IOT stock charts, please go to page 9 of my chart list.
To view my IBD 50 stock charts, go to pages 7 - 9.
-0.1 b NYSE - Tick ($TICK) 5 minute chart (intra-day)
TICK is a market pro's tool for monitoring the under-lying strength in the US stock market. $TICK specifically measures the number of up-tick trades against down-tick trades on the NYSE. By itself, the TICK patterns can be difficult to discern due to high volatility from minute to minute during the trading day. I have developed a smoothing mechanism which helps the viewer to see any trading strength patterns more clearly. From time to time, I have to adjust the trigger trip lines due to the amount of volatility in the markets. In May 2014, I had to adjust the lines inward (closer to the center) due to the lack of volatility (this can be compared to the low readings in the CBOE VIX index).
There are actually two lines to watch on this $TICK chart which updates every 5 minutes during the trading day (though the chart is on a 15 minute delay for viewers). The two lines to watch are the purple (thin) line which is the 8 EMA line and the other thicker line is the 21 EMA line (green). The purple 8 EMA line is the FAST LINE, and this line helps the trader to tease out fast movements within the TICK. The 21 EMA line is the SLOW LINE, though that is a relative term as the SLOW LINE is still capturing the fast rhythms of the market for many traders.
When the 8 EMA line touches either of the two thin dashed lines, then this means the market is either short term over-bought or over-sold. Day traders should focus more on the thin 8 EMA line.When the thicker 21 EMA line reaches either of the two solid horizontal lines, that is more broad market based signal of overbought or oversold. Swing traders and Investors looking for the ideal entry and exit points should focus on the thicker 21 EMA line. To learn more about sophisticated (and yet easy to understand) chart tools like this one, be sure to visit www.AceStockTrader.com where the retail trader and investor comes first!
-0.1 b NYSE Summation Index (Ratio Adjusted) (EOD) ($NYSI)
August 2, 2016 UPDATE: The RSI drops below 70, a sell signal in the Ace system.
June 5, 2016 UPDATE: The NYSI RSI has begun its climb above the 30 mark--the new Bull Trend is gaining strength, just as I predicted. 'Few traders understand the tools of technical trading as well as you do, Ace.' - comments from a viewer on the Talking Stocks Forum at www.AceStockTrader.com .
May 24, 2016 UPDATE: The NYSI is nearing its bottom on the RSI cycle. This suggests that the rather strong selling of the past couple weeks may be subsiding by late May into early June.
April 12, 2016 UPDATE: The RSI was threatening to down-cross the 70 line and another correction seemed imminent...However, at the last possible moment, the RSI has reversed off the 70 line and this signals a '2nd wind' for US stocks...at least for several more days.
February 5, 2016 UPDATE- Keep in mind that when RSI 30 up-crosses occur on the $NYSI chart during a BEAR MARKET TREND, that such bounces can be weak or short in duration. This is because the RSI is a cyclical indicator, and such indicators are weak when the counter-trend is strong.
-0.1 bb Russell 2000 Small Cap Index ($RUT)
The Russell 2000 attracts many traders for its high beta stocks, mostly small caps, and many in fast-growth sectors of the market.
-0.2 - Light Crude Oil - Spot Price (EOD) ($WTIC)
Weekly chart for West Texas Intermediate Oil
UPDATE: on 4/12/16 Break-through of down-trend wedge line is bullish for both oil and stocks. See daily chart for more precise positions, resistance and support lines.
UPDATE on 3/28/2016: The Weekly Chart shows WTI trying to break up through a steep down-trend line (blue-dashed), but so far, the strong resistance of that down-trend line is holding. OIL is at a crossroads--depending on how it breaks, will likely determine the direction of equities and commodities in the next few weeks. One can see that if WTI should break higher, that the next key resistance area would be $48. See the daily chart for more precise day-to-day projections.
-0.2 a Biotech iShares (IBB)
Update: June 5, 2016- The IBB ETF appears to be starting a new bullish trend. It is still in its infancy, so this will have to be watched closely to see if the infant trend grows stronger.
Update: August 15, 2015. The IBB has started break down. The 13-50 downcross is an early signal. Also, the lower high down-trend is intact. This being said, the IBB has been the most powerful sub-sector ETF the past few years and has resisted previous efforts to pull it down. However, the latest trend should be watched closely.
-0.2 a iShares Barclays 20+ Year Treasury Bond Fund (TLT)
Update 6/6/16: Thanks to a weak Jobs Report, the TLT ETF has found renewed vigor.
Update Sept. 13, 2015: Is TLT trapped in a bearish down-trend? or is it in a Bull Flag pattern? It could be either as the world awaits the FED's decision on Sept. 17th. All eyes will be focused on the reaction in US Treasuries. Also, keep an eye on gold for any reaction there, especially if TLT should RAPIDLY collapse in price. (A slow drop in price would not be favorable to gold, but a rapid disintegration would be positive for gold.)