- Few Comments on Claims of Unprecedented Low Volatility in Last Two Years [Premium Articles] January 25, 2019
Claims of unprecedented low volatility in the last two years are frequently made in financial media and blogosphere. Below are two indicators to investigate the validity of such claims.
- Unfounded Necessity Claims About Price Action [Premium Articles] January 23, 2019
In this blog we always point to the fact that in technical analysis there are no necessary and sufficient patterns since all patterns are derivatives of price action.
- Proper Question to Ask About the Market Correction [Premium Articles] January 15, 2019
In science asking the proper question is often the key to finding a solution. However, asking the proper question must be usually done in the right context. What is the right context to ask questions about the stock market and specifically ...
- Was 2018 One of Most Volatile Years in Stock Market? [Premium Articles] January 10, 2019
We have seen articles asserting that 2018 was one of most volatile years and also articles rebutting such claims. This is what actually happened. Below is a daily chart of S&P 500 with the rolling 21-day standard deviation and the 14-day ...
- Update on Two Important Price Action Anomalies [Premium Articles] January 9, 2019
These price action anomalies are responsible for the bulk of profits in the markets they apply while there is no sign yet of them being affected by arbitrage. Overnight price change anomaly The first price action anomaly is responsible for the fact ...
- On the Edge of Randomness [Premium Articles] December 6, 2018
The market is in a precarious position at this point. More details below. The 252-day Momersion reached exactly 50 last Tuesday, as shown in the chart below: The above development means that in the last 252 days, momentum (positive or negative) and ...
- Market Rebound Days and Associated Misinformation [Premium Articles] November 29, 2018
There is misinformation but also disinformation related to strong rebound days during corrections and bear markets. Here we offer a clarification for our subscribers. Yesterday the S%P 500 rose 2.3%. In the last three days the index has risen 4.2% after ...
- Price Action in This Stock is Still an Important Indicator [Premium Articles] October 18, 2018
We are monitoring the price action in this stock for clues about future stock market direction. Although IBM was a bellwether stock in the 90s, it has lost this status after the emergence of the new Internet economy. However, this stock ...
- Update on a Significant Price Action Anomaly [Premium Articles] October 4, 2018
This price action anomaly has contributed about 80% of the total return in the particular market while risk-adjusted returns have been superior. This is a price action anomaly in the bond market and was originally described in a premium article on October 23, ...
- Signals From Two Unique Indicators [Premium Articles] September 26, 2018
The indicators shown below have generated timely signals in recent past. Latest signals are also interesting and are worth taking into consideration. The first indicator is the average (return) correlation of Dow 30 components with the index. During December of last year ...