GLOBAL EQUITY MARKETS – April 18, 2020

/7 Comments/in /by

REVIEW

The benchmark for the Global equity markets performance, the iShares MSCI All Country World Index ETF (ACWI.O) recovered above the lower boundary of a possible upward trend channel at 64 levels. Support area between 61-64 area was broken down and now price is above this area. From the lows, the ETF recovered 50% of the decline that started in February. The 200-day moving average is far from the price at 72.6 levels. There is no clear chart pattern development on daily and weekly scale price charts. The ETF is in a downtrend below the 200-day average.

Read More

GLOBAL EQUITY MARKETS – April 11, 2020

/10 Comments/in /by

REVIEW

The benchmark for the Global equity markets performance, the iShares MSCI All Country World Index ETF (ACWI.O) recovered above the lower boundary of a possible upward trend channel at 64 levels. Support area between 61-64 area was broken down and now price is above this area. From the lows, the ETF recovered 50% of the decline that started in February. The 200-day moving average is far from the price at 72.9 levels. There is no clear chart pattern development on daily and weekly scale price charts. The ETF is in a downtrend below the 200-day average.

Read More

GLOBAL EQUITY MARKETS – April 4, 2020

/3 Comments/in /by

REVIEW

The benchmark for the Global equity markets performance, the iShares MSCI All Country World Index ETF (ACWI.O) found resistance at 64 levels, the lower boundary of a possible upward trend channel. Support area between 61-64 area was broken down and now it is acting as resistance during the rebound. The minor low of 2016 stands as the next support at 49 levels. I will continue to monitor short-term price charts for a possible bottom reversal chart pattern. Patterns I'm looking for are double bottom, rectangle and H&S bottom. A re-test of the lows or another down leg to test 49 levels can offer a short/medium-term bottom opportunity. There is a gap opening between 55.5 and 57.2 levels. I will monitor next week, if any weakness develops, the GAP area as a possible support.

Read More

4 Types of Breakouts – March 2020 Tech Charts Webinar

/0 Comments/in , /by

4 Types of Breakouts - March 2020 Tech Charts Webinar

We are continuing our Member webinar series with a review of 4 types of breakouts. 

Type 1 are breakouts that immediately rally to price target. Type 2 are breakouts that pullback to chart pattern boundary after the breakout but do not challenge the previously broken support/resistance. These two breakouts are relatively easier to manage when compared with the breakouts that experience a hard re-test (penetrating the chart pattern boundary after a breakout) and those that fail (Type 3 & Type 4).

We will review all 4 types of breakouts with recent examples and discuss strategies to manage each condition.

Webinar Outline
  • We will review some of those chart pattern breakouts that rally to their price objective without any pullback
  • We will review some of the breakouts that complete an orderly pullback to chart pattern boundary
  • We will look at some of the breakouts that experience hard re-test and challenge chart pattern boundaries
  • We will review some of the breakouts that failed off of the starting gate.
  • We will have a member Q&A at the end of the webinar.
Live questions from Members  
  1. I know you're a classical market technician, but with such a severe one-sided breakdown, are you ever tempted to trade something for a pullback even though you don't have a classical pattern? 36:21
  2. Does the speed with which a pattern breakout achieves the target price indicate that you should let the trade run? 37:24
  3. Can you find signs in the chart that could indicate what type of breakout is going to occur? 38:02
  4. Do you reduce your position sizing (i.e., instead of 1% risk per trade, 0.50% risk) during extended volatility like we're seeing? 39:42
  5. Can you explain how to calculate the trailing stop loss again? 40:10
    1. Additional links ATR Trailing Stop-Loss – H&S Top & ATR plug-in
  6. How do you incorporate sentiment measures (COT DSI etc.) into your decision making? 40:48  
  7. Do you think that in market conditions such as these, the probability of a failed chart occurring is higher? 41:02
  8. Do you ever circumvent your ATR trailing stop and place it below a newly formed chart pattern negation level that's above the initial entry position? 42:32
  9. I noticed that on one trade, you placed an SL at the bottom of a gap, but on another, you placed it at the top of a GAP. Do you have rules for deciding this? 43:50
  10. Is it possible to use this method for long term investing? If yes, would you use the same trailing method? 45:13
  11. Can the ATR stop rule be implemented in a trading platform? 46:19
  12. How do you determine your ATR length and multiplier number? Is it historical chart based and specific to a specific chart? Are commodities different than stock charts? 47:13
  13. As volatility during the day can be larger, have you used one ATR multiple for intra-bar & a lesser ATR multiple near the close, whereby one cancels the other OCO? 49:20
  14. Over the years, the ratio between reversal patterns vs. continuation patterns? Do you cap that ratio, or you let the patterns dictate what you have currently? 50:08
  15. Do you always trade long? Never short? 51:13
Recorded live 03.26.2020    Read More

GLOBAL EQUITY MARKETS – March 28, 2020

/0 Comments/in /by

REVIEW

The benchmark for the Global equity markets performance, the iShares MSCI All Country World Index ETF (ACWI.O) had a sharp rebound. 61 levels was the low that was recorded in late 2018. 64 levels is the lower boundary of a possible upward trend channel. Support area between 61-64 area was broken down and now it is acting as resistance during the rebound. The minor low of 2016 stands as the next support at 49 levels. I will continue to monitor short-term price charts for a possible bottom reversal chart pattern. Patterns I'm looking for are double bottom, rectangle and H&S bottom. A re-test of the lows or another down leg to test 49 levels can offer a short/medium-term bottom opportunity.

Read More

Live Webinar and Q&A with Aksel – Thursday, March 26, 8:30 am mountain

/0 Comments/in /by

Dear Tech Charts Members,

We are continuing our Member webinar series with a review of 4 types of breakouts. Type 1 are breakouts that immediately rally to price target. Type 2 are breakouts that pullback to chart pattern boundary after the breakout but do not challenge the previously broken support/resistance. These two breakouts are relatively easier to manage when compared with the breakouts that experience a hard re-test (penetrating the chart pattern boundary after a breakout) and those that fail (Type 3 & Type 4).

We will review all 4 types of breakouts with recent examples and discuss strategies to manage each condition.

Scheduled for: Thursday, March 26th, 8:30 am mountain  (register below)

Read More

GLOBAL EQUITY MARKETS – March 21, 2020

/0 Comments/in /by

REVIEW

The benchmark for the Global equity markets performance, the iShares MSCI All Country World Index ETF (ACWI.O) after testing its 200-day average for a very short period, resumed its downtrend. Sharp sell-offs can be followed by sharp rebounds. It is important where the next consolidation is going to take place. So far the ETF experienced sharp sell-off with out any rebound. Support area between 61-64 area is broken down and will act as resistance during any rebound. The minor low of 2016 stands as the next support at 49 levels. I will continue to monitor short-term price charts for a possible bottom reversal chart pattern. Patterns I'm looking for are double bottom, rectangle and H&S bottom.

Read More

GLOBAL EQUITY MARKETS – March 14, 2020

/3 Comments/in /by

REVIEW

The benchmark for the Global equity markets performance, the iShares MSCI All Country World Index ETF (ACWI.O) after testing its 200-day average for a very short period, resumed its downtrend. Sharp sell-offs can be followed by sharp rebounds. It is important where the next consolidation is going to take place. Price clearly is settling below the 200-day average. The sell-off in 2018 reversed from 61 levels. This week the ETF tested 61 levels and rebounded. 61-64 area is also a support formed by the lower boundary of a possible uptrend channel. Here are the questions I'm looking answers for in the coming weeks: Will the markets find a bottom here? If yes, are we going to see some sort of bottom reversal chart patterns on short-term price charts? A double bottom, a rectangle reversal, a H&S bottom? Is there a possibility of a V-reversal bottom similar to 2018? A V-reversal bottom will be the most difficult to analyze and profit from. In that case I will turn to individual stocks to find orderly consolidations for breakout opportunities.

Read More

GLOBAL EQUITY MARKETS – March 7, 2020

/3 Comments/in /by

REVIEW

The benchmark for the Global equity markets performance, the iShares MSCI All Country World Index ETF (ACWI.O) rebounded to test its 200-day moving average at 76.45 levels. The 200-day average acted as resistance. It is important where the next consolidation is going to take place. If price settles below the 200-day average, forming it as a resistance, we can see further downside similar to late 2018. Until I see price stabilizing above the 200-day average, I will monitor this chart for further weakness and volatility.

Read More

DIAGONAL VS. HORIZONTAL BREAKOUTS

/0 Comments/in , , /by
This content is for members only