The Bears are Back in Town

"Bully Bear" is ready to put up a fight!

3 Month, Daily - July 7 - Two & Ten Year Treasury Spread can give you a solid directional indictor. Compare the Bond Spread and the S&P Futures in the chart above. Pay close attention to the MACD in the Bond Spread. Notice the greater volatility in the S&P. This concept is fully covered in the Trader Lounge Seminars on ThinkOrSwim (dated July 1).
30 Day, 2 Hour - July 7 - The channel trend is down. Today's market action took out some important prior support. Note the negative MACD histogram.
5 D, 15 min. - July 7 - Weak close today in a down trending market. There are "fake outs" along the way but keeping one eye on the Bond Spread will steady the nerves and keep a trader on track.

Traps and Tribulations!

The Market Action Defies Reason

3 M, Daily - When things turn bizarre, look the the 3 Month, Hourly for security and direction.
20 Day, 2 Hour - July 7 - The action today was bullish but the longer term trend in down.

Follow the Money - Treasury Spread vs. S&P Futures

Happy Fourth of July to the USA

Treasury Spread compared to S&P Futures. Compare the MACDs. "Follow the Money" would seem to be at work here. What happens in the money markets translate to Equities. What happens on the Left creates a mirror image on the Right. The Treasury market is less volatile and presents a smoother picture. Jack Bouroudjian held a ThinkOrSwim seminar on this subject which is archived in the Shadow Lounge. This is interesting stuff for traders and investors.

Treasury Note Spread can Point the Way

The Spread between 2 Year & 10 Year Treasuries can point the way in the Equity Markets. Capital allocation to different markets indicate Money Flow Direction. The old adage of "Watch the Money" play a big part here. More information on this is available at Think or Swim in the Shadow Lounge section under Seminars. This one is dated July 1. I highly recommend it to those who are interested.
Remarkable Comparisons of Pattern. Note the less volatile action on the left as compared to the S&P on the right.
3 Month, Daily - July 2 - Pay close attention to the MACD as to entry / exit points.

The Long Awaited Pull Back Appears at Hand

Happy Fourth of July to Everyone. Remember Our Soldiers Overseas.

3 Month, Daily - July 2 - "ZT-ZN" Spread between 2 Year Treasuries and 10 Year Treasuries point to a bearish move in the market. The MACD supports this indication. This Spread can be used to confirm more volatile moves in the market. It is less volatile and less emotional than the equity markets. Compare this chart with the SPY below.
3 Month, Daily - July 2 - Notice how the channel compares with the Treasury Spread. This Spread can be used to confirm intermediate trends and the A/D's and Internals used on a Day Trade or Swing Trade to keep you on the right side of the trade.
20 Day, 15 min. - July 2 - The move today was right in keeping with the Treasury Markets. The gap down and continuing trend lower was a mirror image of the pattern set by the Treasury Spread. The Trend and MACD both indicate probable continuation to the downside, but never discount the possibility of the "unexpected."

The Bull - Bear Battle Continues

Range Bound Market Begging for a Demonstration Breakout

5 Day, 15 min - July 1 - The Channel Trend remains Bullish but there are undercurrents of Bear Unrest. Traders continue to get jerked around. This is excellent territory for Condor enthusiasts.
60 Day, 2 Hr. - July 1 - Long Term vs. Short Term = Sideways
/ZT-/ZN - July 1 - Two Year Treasuries vs. Ten Year Treasuries. There is a strong comparison of Treasury Rates and Market Action. Compare this Chart with the 3 Month Daily SPY below.
3 Month, Daily - July 1 - Recent erosion of upward trend closely parallels the Treasury rates which portrays the Money Flow. "Follow the Money."

Market Crossroad

Trends, Currents, & Cross Currents - Confusing Road Signs Abound

60D, 2 Hour - June 30 - When the picture is mixed short term, it is best to look at longer term charts. The Longer Term Trend remains up but there are significant indications that the momentum may be broken and we could head lower.
3 Month, Daily - June 30 - The Trend is Our Friend and should not be ignored. Always expect the market to do the unexpected.

Difficult Decisions!

The Market Continues in a Sideways Movement. The Situation Calls for Prudence.

30Day, 2Hour - June 29 - A Sideways day with little directional signals. Our Bear Put Spreads and Condors are in a sit and hold situation that demands close monitoring and management.
3 Month, Daily - June 29 - Herring Bone action calls for a "Sit On Hands" strategy as being appropriate.

Fork in the Road

Take your chances. The results are up for grabs.
30 Day, 2 Hour - June 27 - Mixed signals with not directions that are apparent.
3 Month, Daily - June 27 - The longer term bull rally within a secular bear market is challenged by a move to the downside. Recent internals and market activity suggest an unpredictable week to come.

Critical Juncture in Market Direction

Mixed Signals on Market's Next Move

20 Day, 30m. - June 25 - Cross currents create a need for caution at this point. Our Bear Call spreads and condors are at risk as they are shaded to the downside. These positions call for close supervision in Friday's market. It would be nice to just be a spectator but when you are in, you are in. It now becomes a Risk Management game.
3 Month, Daily - June 25 - Bullish engulfing candle indicates a breakout to the upside from the recent declining channel. Friday's market action calls for very close attention of any market positions. A more clear direction in the market should be established before entering into new positions at this point. In other word, the situation calls for caution.