As expected the Nasdaq had a rebound and if the charts are good, the indications are telling us the rebound will resume. With Dow making new highs and still in a 60 min uptrend, we want to continue to be bullish on the stock market. There are many Nasdaq 100 stocks that are forming long bottoming tails which tell us they are rejecting lower prices at the moment. When the trend is up, we want to be bullish until the charts tell us so.
A simple trend following tool in all time frames will help us to be on the right side of the market 75% of the time. Combine it with support and resistance analysis, and then entry based on our trading strategy, it will help us to be on top in the long run. Once again, if you don't know what the red zones and white zones in the chart below means, I highly recommend you read this article How To Avoid Huge Losses In Stocks And Maximize Profits Using One Simple Stock Market Trick.
Let's take a look at what the charts are telling us today.
Here's a summary of what the charts are telling us:
I believe the environment for tech stocks will most likely be long today if the QQQ trade above yesterday's high. Remember to follow the trend in whatever time frame you are looking at. Currently we should be bullish in longer time frames. Smaller time frames like the 15 min chart and 5 min charts are slowly turning to be bullish. The trend is your friend. Happy trading and investing!
Aug 17, 18 05:07 AM
In this lesson we will take a look at the technical developments of OKA Corp's stock price and why it moved the way it did. We will also have a look at what might happen to OKA's stock price.
Aug 16, 18 07:28 AM
In this lesson, we will learn how and why BMY manage to bottom out and start a new uptrend.
Aug 14, 18 08:19 AM
In this lesson we will learn and examine why Pentamaster was able to recover all of its losses to start a new uptrend and achieve new highs.
Aug 13, 18 05:56 AM
The KLCI is currently at resistance territory after a nice big rally. I would consider a sideways trading a possible scenario at the moment.
Aug 13, 18 05:22 AM
In this lesson, we will learn how AAPL's 15 Min stock chart formation help to send the stock higher for 2-3 days to give traders a nice swing trading opportunity.