Nikkei Working on a Break-Out; Next Up 14K by the End of 2013?
In the chart below the Nikkei is attempting to break-out from a consolidation flag pattern formed by lines (1) and (2), which has been in development since 2008. If a break-out occurs, it could result in materially more upside in…
This Stock Has Doubled in Three Months; Time to Short?
UPDATE: This post was originally published on 12/12 behind the password protected firewall; given the material decline today (12/21), the bulk of profits from the trade have accrued, hence we are willing to release the post publicly now ******************************************************************************************************************************** Never…
Spread Trade Opportunity in Basic Materials
Long FCX against a copper short, but not yet. In the chart below I plot the ratio of FCX vs. copper. If the ratio is able to trade down to ~0.073 from its current ~0.088, or by ~17%, it will…...
Big Break-Out in the SPX
Self-explanatory below – big break-out in SPX on the Fed news today taking out resistance that’s been in place since mid September per line (1). So long as these gains hold through today/end of week, we’d believe this break-out portends…
Technical Break-Outs in Airlines Occurring
The chart below is self-explanatory – various airline indices are clearing some noteworthy resistance with their push higher this week. We discussed the potential for this just a few days ago right here. Depending on which index you’re looking at,…
Where Next For Interest Rates?
First off, we plot the 10 year interest rate below. Very nice and tight consolidation pattern that’s taken place along lines (1)-(3) that looks very close to ending. A break above line (1) and rates could shoot aggressively higher over…...
Bottom Fishing in AAPL Remains Ill-Advised
We’ve been bearish on this name since early October when it stood at $658 all the way back to this post. We noted at the time that if support were to give way it would likely fall ~20%-35% lower to…
20 Year Support + 6% Dividend Yield = Random Long Opportunity of the Day
This post is a combo fundamental / technical opportunity. The stock floated through a deep value / LBO screen I use on Bloomberg. It happens to yield 6%+ and is approaching a ~20 year support line in the chart below,…
Airlines Have Greatly Out-Performed the SPX Since late May; More Upside to Come?
Our first post on the airlines and their potential for out-performance moving forward dates back to May 30 in this post. Since that time, when global risk assets in general were near their corrective summer lows, the S&P 500 Airlines…
USD Bottoming & Consolidation Process Complete?
Here is the last post we had on this topic. We update to include price action through this morning (USD @ ~80.43). Per the chart below, the USD sits atop line (1) support which has been in place since April…...