Written by Forrest Crist-Ruiz Two sectors within Mish’s Economic Modern Family including transportation (IYT) and semiconductors (SMH) have rallied near all-time highs. Now we should watch for the highs to clear as this could signify the next step for economic improvement. Currently, semiconductor suppliers have one of the largest supply chain issues the U.S and world face right now. Semiconductor shortages have affected prices and the availability of items across the board. From trains, planes,

Last week was a wild week in the cryptocurrency market. Sentiment has quickly changed from 50/50 bullish vs. bearish to almost entirely bullish in just the last 10 days. This is indicative of the significance that non-technical factors can have in the price action of cryptos. On the other hand, technical analysis of recent market action spells out clear trade opportunities that investor sentiment may ignore. Similar to the S&P 500 (SPY) being commonly used

By Keith Schneider and Donn Goodman Equity markets got hit hard this week but mostly managed to stay above key moving averages (Except Grandpa Russell/ IWM). It is called painting the tape and this week’s art was created by a renowned artist….and if you are wondering who the artist I’m referring to is…. It’s Jerome Powell, and not Jackson Pollack. For empirical evidence lust look at the Fed’s balance sheet (grown by $1.45 trillion since

Written by Forrest Crist-Ruiz The Nasdaq 100 continues to show a weak hand. Riddled with tech companies that are selling off, the Nasdaq 100 (QQQ) has struggled to hold over its 50-Day moving average at $381.02. Having said that, the QQQ is one of the most important indices to watch right now as its current support level is pivotal to the overall equity market's strength. This is because the Nasdaq 100 has had one of

When you know how to read market action with the Opening Range you can see when and how another market is influencing your trades (for better or worse)! Put another way; you can also see when inter-market relationships are “working” or changing. For example… On Friday, the QQQ got off to a very bullish start when it gapped higher out of a consolidation pattern on its 50-day moving average. It looked like a perfect setup

  As we highlighted last weekend that “something stinks” the nasty odor erupted in the form of a strong sell-off in global markets due to the emergence of yet another new strain of Covid which is particularly virulent. In fact, this was the worst sell off after Thanksgiving in 70 years for US markets. Considering that Markets have at least a short-term memory, further weakness seems in store at least until our Sentiment and Market

Written by Forrest Crist-Ruiz I have recently heard a saying stating that the current market behavior can lead to “death by a thousand cuts.” This is often the case in a choppy market where buyers and sellers are constantly battling each other making the stock market both tough to trade from the long and short side. If you find yourself quickly changing your opinion on the short-term market direction, you too, are part of the

The stock market is currently in an extremely bullish mode fueled by a "bubble" inside the market that's unsustainable and unpredictably bullish. Like any bubble… The heights to which it will push stock prices are unpredictable. However, unlike most bubbles… It may be predictable. This is the third time that this specific type of bubble has developed since 2000.In each of the last two occurrences, there has been an identifiable tipping point at which this

Written by Keith Schneider and Donn Goodman As we come upon the Thanksgiving holiday, there is much to be thankful for, especially being able to get together with friends and family in the post Covid isolation era. I believe that there will be more people traveling by cars, planes, and rail than ever before. The food will be delicious and we will all share our thanks for many things, including being alive, being together, the

Written by Forrest Crist-Ruiz A distribution phase as taught through Mish’s book “Plant Your Money Tree” is when the price of a symbol is trading underneath the 50 and 200-Day moving average while the 50-DMA is trading above the 200-DMA. This can be seen in the above chart of the Russell 2000 (IWM) and the Dow Jones (DIA). This phase points towards a bearish phase if it holds long enough. Additionally, this phase change shows

Every four years a simple time frame defined by the date of the presidential election creates an Election Range in most markets, ETFs, sectors and individual stocks. This Election Range defines inflection points that enable you to anticipate when the market will trend higher or lower in a meaningful way. Anticipating which direction the market will move is simple, and very powerful for identifying big trend trades. Below you’ll find an instructional video explaining the

By Keith Schneider & Donn Goodman Are you ready for rising food prices and Thanksgiving? Ready for even more exorbitant building supplies and a higher cost of building and maintaining a house? Ready for even more increased costs of travel and entertainment? Ready for even slower service at your local restaurant as they grapple with fewer people working? Ready to wait even longer for that new or used car you are trying to lease or

Written by Forrest Crist-Ruiz The stock markets sits in a dicey situation with not only the Omicron Variant adding stress to economic growth, but through the Fed chair Jerome Powell commenting on the possibility of speeding up tapering. Though the Fed has long stressed inflation to be transitory, it seems as though their tune is changing as the Fed takes a closer look at economic data. However, as news unfolds, whether it be of more

When a leading market sector sells off hard, traders should take note to avoid getting surprised by a broader market sell-off. Even better than simply noticing an important sector reversing, would be to be to anticipate the move in time to avoid it or profit from it.On Monday, the Semiconductor ETF (SMH), a recent market leader, was one of the hardest hit sectors in the market’s decline. In this post you’ll discover how you could

/kəˈnəndrəm/ noun a confusing and difficult problem or question:"one of the most difficult conundrums for the experts"   Last week we saw a small, but a much needed, significant degree of bipartisan action! Even with a few Democrats, and most Republicans voting against it, the $1.2 TRILLION Infrastructure Bill, passed. For most people, I believe, this type of bill was long overdue. Our decaying roads, bridges, and airports are in desperate need of a major overhaul, and