Print the page
Increase font size

Posted September 22, 2020

Scott Stewart

By Scott Stewart

Have We Found a Bottom?

Click here to sign up for the FREE Rude Awakening Pro beta test.

(You still have time to be one of our last pioneer members for free!!!)

Good morning folks, and welcome to the Rude Awakening!

The question of today is

Has the Market Found a Bottom Yet?

We are trying to find some buying support today

Looking at our stochastics, they are starting to move up some.

If we look at the chart for SPY (which is the index tracking the S&P 500) youll see an interesting looking candlestick.

Well get into that in a moment, but first

A quick refresher on an important fundamental in chart analysis

Candlesticks and Hammers

In technical analysis speak, candlesticks are the longer rectangles you see pictured below.

Red ones indicate down days (bearish: the open was the top of the box, the close was the bottom). Green ones indicate up days (bullish: the open was at the bottom of that box, the close was at the top).

And the tips at the top are the days high, while the tips at the bottom are the days low.

If you look at the SPY chart for the day yesterday, you will see a candlestick that resembles the one boxed off in the image below.

IMG 1

Thats referred to as a hammer.

What it tells us is that even with all the weakness we see in that security throughout the trading day, it closed higher than it opened.

Hammers are bullish indicators.

An interesting stock were seeing take this pattern is

Interactive Brokers Group, Inc. (NASDAQ: IBKR)

To find out about our IBKR trade idea, click here to sign up for the free beta test of the Rude Awakening Pro. Theres still time to be one of the LAST people to sign up for free access to this premium service!

But to wrap up todays Rude Awakening, Ill leave you with the question we can hope to answer this week has the market found a new bottom?

If so, we can start to breathe a bit easier

But again, smart traders can pull profits from any market. You just have to keep playing it as it comes.

Thats it for today.

Talk tomorrow!

Regards,

Scott Stewart

Scott Stewart

Editor, Rude Awakening

The BoJ Blinks… Or Did It?

Posted September 23, 2022

By Sean Ring

The Bank of Japan won’t be the only central bank to intervene.

Biden, Powell, and Putin Make the News All Bad

Posted September 22, 2022

By Sean Ring

A fumbling US president, a bumbling Fed chief, and a stumbling Russian president walk into a bar…

Let’s Get Nuclear! Nuclear! I Wanna Get Nuclear!

Posted September 21, 2022

By Sean Ring

Oh, not about the war, I hope. About good, clean energy domestically made.

The 10-Year Yield Roofs It

Posted September 20, 2022

By Sean Ring

At a decade high, the 10-year yield is causing all sorts of trouble.

How Movements Turn Into Rackets

Posted September 16, 2022

By Sean Ring

No matter the intentions, someone’s after the moolah

A Transitory Column

Posted September 15, 2022

By Sean Ring

The Fed can’t get the inflation toothpaste back into the tube.