Chart to Watch

Posted on by The INO.com Team

We've asked our friend Jim Robinson of profittrading.com to provide his expert analysis of charts to our readers. Each week he'll be be analyzing a different chart using the Trade Triangles and his experience.

Today he is going to take a look at the technical picture of SPDR ETf S&P 500. (SPY)

I hope you are having a GREAT day !

The SPY came down and tested support and has turned back up which is bullish action.

MarketClub is on a weekly green Trade Triangle and if the SPY continues higher from here the daily Trade Triangle will turn green.

If the daily Trade Triangle does turn green then odds would be with higher prices.

The MACD is on a sell signal but that probably just happened because of the counter trend test of support.

If the SPY moves higher from here, the MACD will go back on a buy signal and that would be bullish.

Always remember the picture can change at any time, and we have to be able to change our opinion on a dime, but as of right now it looks like higher prices are ahead for the SPY.

Please leave a comment, or your opinion on this write up, or your opinion on the current market in general.

Thanks,

Jim Robinson
Profit Trading.com

 

7 thoughts on “Chart to Watch”

  2. I agree with the 3 comments above. There is no certainty. Is this merely sophisticated gambling now? All the education and studying fundamentals seems a waste of time because of government intervention, day traders, and other manipulations by big time money managers. If the "little guy" does well in today's markets it could be nothing more than pure luck!

  3. Does Technical Analysis really matter any more? We no longer have a free market. The mega-financial firms are dominating market movement with their high speed trading systems fueled with Fed money. We're now down Alice's rabbit hole where good is bad and vice versa. The ONLY thing that matters is whether the Fed reloads these marauders. The action on Fri. clearly demonstrated this. I've learned this the hard way. Fundamental analysis and Technical analysis have been replaced by market manipulation and the small guy can't compete with these systems. Step back and watch the whole free market system disintegrate.

    1. Paul
      Hi !
      I believe I am right when I say that Edwards and Mcgee said in their classic book
      "Technical Analysis of Stock Trends" written over 50 years ago that "the markets keep on repeating the same old patterns". My opinion is that this quote as truth today as it was 50 years ago. Again my opinion only, but I don't believe that there is any one big enough to control the markets. In the long run the markets willl do what they want to do.

      Thanks !
      Jim 🙂

  5. I have a lot to learn about technicals. To me the support at 1.33 is weak. I don't see any consolidation indicating something big should be about to happen. Please tell me why this chart indicates a buy.

    1. Keith
      Hi !
      That's one of the problems with trading, you never know when something big will happen,
      so you just have to develope a plan, then take all the signals, and hopefully you will be there when something big does happen.

      That's one of the advantages of Market Club if you are persistent with it you will catch the big moves.

      In the SPY example above the weekly Market Club triangle is on a buy signal and IF the daily Market Club puts in a buy signal I think that would be a good place to go long because of the Market Club daily and weekly signals would be on buys and because of the other technical analysis reasons I mention on the chart .

      The daily Market Club triangle hasn't gone on a buy signal yet and if that doesn't happen this wouldn't be a trade to take any way.

      Also just because I am pointing out that a daily Market Club buy signal might be a good place to go long the SPY, that doesn't mean it will work out to be a winning trade.

      Another thing the monthly Market Club signal isn't on a buy yet,
      so it depends on how you would want to trade it.

      For example if your rules for trading Market Club were that all 3 Triangles had to be pointing up
      to take a buy trade, then this wouldn't be a trade for you.

      I think a weekly buy and a daily buy triangle combined with the other technical information is enough to go long, but remember that is just my opinion as a guest analysist on this blog, and I'm not even sure if Adam the co-founder of Market Club would agree with me on this.

      I hope that helps and thanks for your comments !
      Jim 🙂

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