ChartSmarter is a service dedicated to the art of technical analysis.
On a daily basis we write up actionable ideas on a specific, major S&P sector on both the long and short side, in an easy yet thorough way. In the notes we give precise entries and exits, while looking to capture the "meat" of a trend. Give us a try today with a 2 week FREE trial.
Monthly
- Full Access to all of the Game Plans
- First 2 weeks FREE, your account won't be charged until the trial period is over
Loyal Reader Special
- Full Access to all of the Game Plans
- First 2 weeks FREE, your account won't be charged until the trial period is over
Latest Chartsmarter Game Plans
Consumer Sector Review: 10/22/24
"Experience" Wanted: This is how consumers justify spending their hard-earned capital. They want to experience things they will remember and this theme could be verified through the lens of some of the leading stock charts in the space. The daily chart below of LYV displays the thirst for music concerts and the like and notice how it started a current bull flag just after poking above the very round 100 number, that acted as resistance three times between mid-July and late August. Mixed signals on the WEEKLY and MONTHLY charts with the latter showing nice action POST breakout above the cup with handle pivot of 107.34 in September. The WEEKLY chart recorded a doji candle last week which is known to signal fatigue, just its second in the last 2.5 years (but it does have the possibility depending on Fridays CLOSE to register a bullish 3-week tight pattern). Others that fit the theme include RCL which is sporting a bull flag of its own at the very round 200 number. A break above 202 would carry a measured move to 234. The WEEKLY chart of EXPE is attempting a break above a cup base pivot of 160.15 in a base 9 months long. Notice last week was above intraweek, but could not CLOSE above, and the prior week put up a doji candle.
Technology Sector Review: 10/21/24
Stay Openminded: Looking at the WEEKLY returns last week the two best performers were from defensive groups, in the utilities and real estate, which each screamed higher by more than 3%. Of course, that is a small sample size but after the move that technology has seen from the early August lows is there a pullback in store? PRICE action could be potentially hitting a double top with the early July time-period and some dubious candles were recorded last week. Thursday was more suspicious with the bearish filled-in black candle, and the prior example 9/26 witnessed a quick 600 handle drop before the uptrend resumed. We are also trading into the bearish engulfing candle from 7/11 which started a rapid 16% decline from top to the bottom of the range to the 8/5 intraday lows. A move below the 18250 bearish rising wedge pattern would carry a measured move to 16200. I remain bullish overall and I think that possibility is remote but something one must be cognizant of. Keep in mind on the Nasdaq WEEKLY chart we are trading into the bearish evening star pattern (doji candle in the middle), and on the MONTHLY chart we are so far negating the August doji candle which had a 3000 handle range, and that was after the huge move off the very round 10000 figure to start 2023.
Financial Sector Review: 10/18/24
Righting the Ship: When SOFI first came to the markets in late 2020 it was embraced with great fanfare. It traveled higher quickly out of the gate almost to 30 and then settled back in and as recently as May 2023 traded with a 4 handle. Its MONTHLY chart, shows this name put in a credible bottom with the bullish morning star pattern completed in January 2023 and that was successfully retested with a long bullish hammer candle in May of that year. Since those lows in late 2023, it has been making higher lows and could be poised for a turnaround. Notice it is powering higher thus far in October even after the rare September doji. On the WEEKLY chart below one can see the importance of round number theory as the weeks ending 6/16, 7/21, 8/4, 12/22, and 12/29/23 all were above 10 intraweek, but NONE were able to CLOSE above 10. It is deja vu as it climbed above that level for the first time in almost one year this week and is shying away once again. Will it have more courage this time around? I think the catalyst could be the earnings announcement on 10/29 before the open which could propel this name to breakout above the 10.59 WEEKLY double bottom trigger. If that happens this could be a very bright 2025 for the name.