Chronology Of The Turning Point

If you have been following me and my blog, you already know what have transpired prior to reaching the September 19, 2014 turning point. For those that might not have been following my blog or wish to get a recap, here it is (To read the complete post of each event, click on the embedded link.)

The Turning Point

The market will not top until the DJIA has topped and the DJIA appears to have topped on September 19, 2014.

Shhh…Listen

Do you hear anything? Exactly! There wasn’t much fanfare as the DJIA made another all time closing high.

Slightly Different

The DJIA made another new all time closing high today by closing at 17,265.99. Today’s record close is slightly different than yesterday’s record close for the DJIA. The difference is the SP500 also close with a new all time high along with the DJT. In addition, the Nasdaq 100 also closed with a new multi-years high. The market breadth was pretty much the same, marginally positive but still relatively weak.

Into The Record Book

Today the Dow Jones Industrial Average, DJIA, finally put itself into the record book by closing with a new all time closing high. It closed at 17,156.85, surpassed its previous closing high of 17,138.20. Although today’s record high was not accompanied by a record close from the SP500, the Nasdaq 100 or the Russell 2000, but the Dow Jones Transportation did close with another new all time closing high.

What Would It Look Like

Can you imagine how this chart would look if the DJIA was able to close with a new all time closing high today? And what it might mean?

Something Different

This has not been seen for quite some time that the DJIA closed with a gain while all the other indices closed with a loss. This is something different for this market cycle. Remember I have said it numerous times that the market does not top until the DJIA has topped. Could this be the beginning of that final move on making a top? Only time will tell.

Patience

Here is an updated look at all the charts I have posted on Twitter during the past week. Some of the stocks are still waiting to be triggered. It just to show trading is more about exercising patience and waiting for the trade to come to you.

Early Look

Here are some stocks from a recent long scan that might present potential swing long opportunities. For those aggressive traders, you can tap into the possibility of scaling in off support. And for those traders that are more accustomed to the classical breakout pattern, watch the pattern for entry trigger.

Keep It Real

The market continues to frustrate those that been calling for a 10-20% correction and scare those weak players as the market plays the game of taking one step back and two steps forward. The SP500 continues to chop into all time high, and the DJIA continues to tease and refuse to enter into the record book.

Don’t Kid Ourselves

One of the most difficult emotion to control as a trader is our ego. Our ego has the tendency to subconsciously instill a bias on what we want to see instead of accepting what we see in front of us. In trading, this bias can cause us to believe the market should do what we believe it should do. When we are in this mindset, we tend to hold on to a trade that went against us or we try to force a trade when it is not there. These behaviors usually end up badly and cause great damage to a trader’s capital account. Worse yet, it can devastate the trader’s confidence. To avoid falling into this mental trap, a trader needs to remind him/herself with these two clichés; “Trade what you see!” and “Trade what is in front of you!”

Stock Chart Updates - 9/3/2014

In this post, I will present an update on some of the charts I have recently posted on my twitter page. If you wish to follow my live commentary and postings on twitter during NYSE trading hours, then follow me on twitter @smtraderCA

How High Can It Go

As the SP500 continues to make new all time high, one must question how high can it go? In this video we will review the market indices and a review on some MOMO stocks such as: AAPL, NFLX, AMZN, GOOGL & TSLA. In addition, a review on some biotech stocks for possible trade ideas: CELG, GILD, PCYC & HZNP.