Month: March 2016

don’t be stubborn!

Stubbornly defending what you believe to be right in the face of harsh opposition is an admirable quality.  It takes strong inner fortitude to enable someone to not be swayed to and fro by the opinions of others. As admirable as this quality can be when dealing with others, it is possibly one of the WORST traits you can have when dealing with the market.  Allow me to explain. No matter how smart you are or how much research you do, there is no way to be right 100% of the time.  The only reason you buy a stock is because you believe it will increase in value. However, before […]

going for the “w”

Yes, the market is still in a primary downtrend.  The S&P 500 is still below a DECLINING 200 day moving average.  The lower high and lower low that I mentioned a month ago is still very much intact as long as the S&P 500 stays below 2,116.48.  The spirited rally that the market has enjoyed since February 11th doesn’t change any of this. However, there is an interesting technical chart pattern worth watching now and keeping a look out for in the future.  In the last six months, the market has made two pronounced and tradable “W” formations also called double bottoms.  These […]