Could Dow hit 11000 today? Watch Ford

Good Morning Stockhoppers, Well today will be another one of those pivotal days for the market. You know looking at the Dow chart it really looks like it is ready to spike upward. Take a look at the consolidation , moving higher than the previous session but the key here it is not making new lows. This market may be getting the spring fever!! I do believe the market has been resting and is ready to hit that 11000 mark.

Now a little different story for those of you holding Ford stock or thinking about buying it, again take a look at the stock chart. The major indexes, although moving just modestly upward here the last couple of days, Ford stock is moving lower, not a good sign, the stock chart is showing weakness and looks like it is ready for a correction. If it makes a new low today and ends up near its new low today, you stockhoppers looking to get in may be able to around the 12.25 market, do I dare say 12.00? Keep an eye on Ford, a buying opportunity is around the corner
That is all for now....Until next time Happy Stock Charting!!!

Todays Stock Market Check

Good Morning Stock Traders, Interesting day today. I am a little nervous about buying any stock today. The DJI looks poised for gains today, but it is getting further away from its 13day and 21day exponential moving averages which always put me on alert for a pull back in the next day or two, so I will set on the sidelines and wait until the index chart gives me a little more confidence to get in. As you can see by the DJI chart the market looks ready to move forward this morning, the big question is will it be there at the end of the day........I am not so sure it will. Until next time Happy Stock Charting!!!!

Dow Jones going to fall Again?

After Reaching back to the 13 day moving average will the the Dow Fall Again? The S & P futures are show early morning weakness for the major indices. I am still staying on the sidelines!! Until these markets can at least get on top of the 13 day moving average I am not comfortable buying any stocks I need to see some follow through( I will post exactly the day I get in and start buying).

Take a look at the chart above look at the yellow arrows, there is a difference between the last time the market reached the 13 day moving avg. compared to current conditions. When it reached it the first time it was still showing downward momentum. The last few days it has shown upward momentum. Will it bounce off the 13 day moving avg. and continue downward or will it bust through and get on top of the 13 day moving average. I said yesterday was pivotal. Well today is just as pivotal. Continue studying the charts, It will tell you exactly what is going on. There is money to be made studying charts, again be patient and wait for the chart to let you know when the right time is to buy. Have a great weekend..........

Happy Charting

Stock Charting Specific

The broad markets (which is what I look at first before I study individual stocks) are trending downward. As you can see on this chart(above left) of the Dow Jones Industrial. It had a positive day yesterday and is now reaching back up to the 14 day moving average. Before I would think about buying stocks this chart needs to show some consolidation or the 13 day needs to start pointing up. So today I am staying on the sideline until the market shakes out .

While I am not in the market today I would like to show you a current chart of the S & P 500 (right) Market and how it has trend over the past few months and where there was plenty of opportunity to make some very good $$$$$. Look at the green arrows, here you can see that the market was trending down to the 21 day moving average and then would bounce back, it did this 4 times with the last arrow showing a top.

You ask how do you know where to get out or cover your position? There are a couple of signals that tell you the market is about ready to reverse, see where the last arrow is? once the stock price breaks below that arrow would be a good signal to get out. Another strong indicator is where the 13 day moving average crosses the 21 day moving average in a downward direction.

To me this is the simplest way of keeping track of the market. Just with these two exponential averages. I use to use others like Fibonacci, Williams % R, Bollinger band(I still use these once in a while) but really all that did was mess and confuse my charts. Learn to use these averages and again use patients and you should have success charting stocks. Let me know how your doing!!

Next time I will talk a little about the possibility of SHORTING STOCKS oooh noo!

Until next time HAPPY CHARTING