Category Archives: Momentum

Rising From a Value Area – 08/25/22

The previous blog “Declining into a Value Area – 08/22/22 presented evidence that US stocks could be finding support on either 08/22/22 or 08/23/22.  A  bottom was made on 08/24/22 just slightly below the area illustrated on the SP – E-Mini continuous chart.  There’s a good chance that a multi-day rally may have commenced. TheContinue reading “Rising From a Value Area – 08/25/22“

Declining into a Value Area – 8/22/22

On 08/22/22 US stocks had a sharp and deep decline, the low of the day was just above a Volume Profile – value area.  Its possible the decline ended on 08/22/22 or could  end on 08/23/22.  The Volume Profile method illustrates volume on a vertical axis  that shows where the heaviest volume was related toContinue reading “Declining into a Value Area – 8/22/22“

Stocks Nearing an Important Top? – 08/12/22

Stocks in the second half of August can sometimes  form important tops.  Two prominent examples  are the peaks US stocks made in August 1929 and August 1987.  The subsequent declines were rapid and deep.  Evidence is  mounting that an important stock market  top could be forming  in August 2022.  The weekly S&P 500 (SPX) chartContinue reading “Stocks Nearing an Important Top? – 08/12/22“

Possible Short-Term Top – 08/03/22

Today 08/03/22 the S&P 500 (SPX) had a high of 4167.66 just below a double top made on 06/02/22 and 06/06/22. The hourly SPX chart courtesy of Trading View illustrates the action. Both the hourly RSI and MACD have bearish divergences. Its possible a short-term top could be in place at the 08/03/22 high ofContinue reading “Possible Short-Term Top – 08/03/22”

Could the UK 100 be a Global Stock Market Indicator?

The 05/29/22 blog “UK 100 Could Soon Make an  All-Time High” noted how close the UK 100 (UKX) was to making  a new 2022 high and possibly an all-time high.  Two – trading days later the UKX peaked just below its  April top, then declined through most of June. Subsequently on 07/14/22 UKX  made aContinue reading “Could the UK 100 be a Global Stock Market Indicator?”

Market Fuel Gauge

Market  momentum oscillators  such as  Stochastic and RSI can be used to measure the length of a  price  movement, think of them as  fuel gauges.  A  review  of some S&P 500 (SPX) momentum oscillators  illustrate  the potential remaining  fuel.     The monthly SPX chart courtesy of Trading View illustrates  long-term momentum. This chart was  firstContinue reading “Market Fuel Gauge”

US Economy in Recession – Stocks Rally

The 07/07/22 blog “Long -Term Momentum Implies a  Multi – Week Rally”  noted US stocks could rise into August with a bulls – eye target date of 08/22/22 for a potential peak.  The action of US stocks in the last week of July continues to bolster that theory.  What happened on 07/27/22 and 07/28/22 hintsContinue reading “US Economy in Recession – Stocks Rally”

  S&P 500 – Momentum Update – 07/22/22

On 07/22/22 the S&P 500 (SPX) hit round number resistance at 4,000 and then trended down for most of the session.  Is  this the  start of the next down wave in a bear market?  Perhaps, however short-term and long-term momentum indicators suggest there could be more upside action. The daily SPX chart courtesy of TradingContinue reading ”  S&P 500 – Momentum Update – 07/22/22″