VIX is the ticker symbol for the Chicago Board Options Exchange Market Volatility Index, a popular measure of the implied volatility of S&P 500 index options. Often referred to as the fear index or the fear gauge, it represents one measure of the market’s expectation of stock market volatility over the next 30 day period. […]
In December 2011 and January 2012 I wrote about Soy Meal and the possibility of strong moves that could follow in Soy products. http://techcharts.wordpress.com/2012/01/24/soy-meal-2/ Soy Meal has been forming a perfect text-book long-term symmetrical triangle and in the past two months it has rebounded from the lower boundary of its long-term consolidation range. The rebound started from 270 […]
In the world of finance correlation is a statistical measure of how two securities move in relation to each other. Correlation is computed into what is known as the correlation coefficient, which ranges between -1 and +1. Perfect positive correlation (a correlation co-efficient of +1) implies that as one security moves, either up or down, […]
This currency has a special place for me. During my post-graduate studies in Canada, I used to follow it closely as I was converting U.S. dollars to Canadian dollars almost every month. When I decided to move to Canada in 2003 crossrate was at 1.4 levels. 1 USD used to buy 1.4 CAD. It has constantly moved […]
This time is different… Is it really different? The price action on USD/JPY will help us answer this question. A lot has been said and done for Japan, for its economy and for its currency over the past decade. 5 years trend has been downwards on USD/JPY declining from 125 levels to 75 levels. Deflation, earthquake, tsunami, quantitative easing and government intervention… […]
Readers of Tech Charts blog will remember my earlier analysis on Copper.(http://techcharts.wordpress.com/2012/01/05/copper/) On the 5th of January Dr. Copper was the first commodity that signaled RISK ON environment for the first part of 2012. Copper was the first commodity that broke out of its consolidation range (symmetrical triangle) at 355 levels. It was after this breakout […]
This week we have seen some major breakouts. I have analyzed most of them in my previous updates. Commodities index had a strong run and broke out of its 6 month-long consolidation range. I have mentioned that this could be an inverted Head & Shoulder continuation pattern. It looks like this pattern is now confirmed after the strong […]
This week we have seen strength in the energy sector with Brent Crude continuing higher after the breakout from its consolidation range, Light Crude Oil testing the horizontal resistance at $103.75 and Natural Gas trying to rebound from a major support at 2.45 levels. Strength in energy sector helped the Goldman Sachs Commodity Index breakout from […]
Though one share of Apple still not as valuable as one ounce of Gold, Apple with its products and its value in terms of market cap has been widely followed and discussed over the past five years. Every day I go through hundreds of charts and analyze different asset classes and I come across great opportunities that I share with you […]
If a market is below its 200 day moving average, it is likely to experience downward pressure on each high volatility period. When analyzing a chart I try to make sure below conditions are satisfied. 1) Direction on the long-term chart should be clear. If a market is above its 200 day moving average I should trade the bullish breakouts […]
