Thursday, February 08, 2007
Technical Indicators
Polarized Fractal
Efficiency
Developed by Hans Hanula, the Polarized Fractal Efficiency
indicator draws on Mandelbrot and fractal geometry to illustrate the efficiency
of how pricing moves between two points over time. The more linear and
efficient the price movement, the shorter the distance the prices must travel.
Use the PFE indicator to measure how trendy or congested the price action is.
PFE readings above zero indicate that the trend is up and the higher the
reading the "trendier" and more efficient the upward movement. PFE
readings below zero mean that the trend is down. The lower the reading the
"trendier" and more efficient the downward movement. Readings near
zero indicate choppy, less efficient movement and a balance between supply and
demand.
Read More...
Trading Ideas &
Picks
Swing
Trade of the Week
AZO:
Stock surged past a resistance area with a bullish green candle, then traded at
the upper end of the bullish breakout candle, representing a consolidation and
possible setup for further upside. Look to go long at 128.01...
Trading
Ideas - Read More
Trading Ideas &
Picks
Graco Inc- GGG - Support of a long-term
trendline
GGG:
The stock is nearing the support of a long-term trendline. Many traders will
pay close attention to this trendline because a move below it would be a
technical indication of a reversal in the long-term uptrend...
Trading
Picks - Read More
Trading Education
Tutorial
Double Tops and Bottoms
Waiting for the Setup to Complete Results in Profits
There are various chart patterns that help us find good reversal
candidates. Of the major reversal patterns, the double top or bottom is not
only one of the most recognizable, but also one of the most predictive.
Read
More...
NASDAQ Chart of the Day
MEDI
took a big gap down through a major lower trend line at 33.00, which looks
highly bearish, especially given the increased volume on this move. Watch for
more selling ahead.
Daily Trading Signals
NYSE Chart of the Day
HLF
has pulled back sharply from key resistance at 41.25 several times since last
summer. The stock now looks maxed out beneath resistance yet again and has
built out a bearish exhaust gap pattern. Watch 38.00 for more weakness.
Daily Trading Signals
Daily Market Commentary
Updated Wednesday, 2/7 for Thursday's market.
|
Key DOW Levels for 2/8
|
|
P
|
Above 12,700
|
|
DN
|
Below 12,620
|
12,700 Holds...
- Dow rallies to 12,700, but is rejected back to near-term
support. The index ended the day with a 1 point gain and continues to build out
ahead of the next big breakout move.
- The NASDAQ and S&P each pulled back from the day's highs, but not to the
extent of the Dow, which indicates further overall strength. Watch key
near-term support for key directional move ahead.
Summary
The Dow closed the day with a big bounce from lows and is now holding within
the boundaries of the key consolidation range. Look for a solid breakout from
this range for the next big move.
Read More...
