Large caps stand out in lacklustre market…beware
Over the weekend I flipped through the AAII investor sentiment reading from this past week and noted that at nearly 58%, the bulls haven’t been this present since late 2010. As a contrarian indicator this doesn’t give me the warm and fuzzies, so to speak. From a pure price action perspective within the S&P 500 […]
Large caps still stand out in lacklustre market
From a pure price action perspective within the S&P 500 I also note that 70% of its sectors are trading at all-time highs. While this is a bullish takeaway for trend followers and respecting that price is the ultimate arbiter for traders, the price action is also further straying from economic reality, which now firmly […]
Walmart: Should You Buy or Short WMT Stock
Shares of retailer Wal-Mart Stores, Inc. (WMT) rallied big Thursday following a mixed third-quarter earnings report. From a technical perspective, WMT stock staged a major breakout move that looks promising for the longer-term and also helped push the Dow Jones Industrial Average to fresh all-time highs. In the near-term however I would caution buying Walmart […]
Understanding the power of the doji candle
Even when markets move sideways there are important ‘things’ to detect for the aware trader. So called doji candles, or unchanged days tell us about buyer/seller balance and indecision. The more doji candles we see in a row the more powerful an eventual breakout/breakdown move. Currently we are seeing a series of doji candles in […]
Why I am re-shorting the S&P 500
Watch the quick video why I am re-shorting the S&P 500 after last week’s steep oversold bounce: https://www.tradingfloor.com/posts/berger-the-levels-to-watch-as-i-short-the-sp500-2199304
Trading around core holdings
In more volatile markets one strategy that traders and investors can apply is to trade around core holdings in their portfolio. One way of doing this is via options, or by using a sector ETF as a proxy to the holding. Watch the short video here: https://www.youtube.com/watch?v=k9bIVKOfCf8
Plotting Indices versus Implied Volatility
Looking at the markets from a relative perspective can open up much more clarity than one otherwise sees through a single-factor model. When we plot price versus implied volatility for example, we can more closely look for divergences that may be leading indicators of the next move in price. Watch the short video here: https://www.youtube.com/watch?v=F0pORuVwJLg […]
Join Serge at the Las Vegas Traders Expo
Las Vegas Traders Expo – Ceasars Palace November 19 – 22 Join me, Serge Berger , at the ultimate educational event for active traders. With LIVE trading demonstrations, personalized instruction , and plenty of proven, practical trading strategies direct from elite experts in every market, all traders will acquire necessary tools to make a […]
Respecting the volatility
The stock market as a result of (and causing) its gyrations gets investors bearish after market sell-offs and bullish after rallies. Intuitively, of course, this makes little sense, particularly if we apply the simple example of a discount sale at the local shopping mall. From a trading perspective, yes there are times when buying the […]
Apple looks promising AAPL
After good sales numbers in Monday’s earnings report, shares of Apple are breaking higher on Tuesday. The stock is simply breaking out of a nearly two month consolidation pattern. Here are the levels to watch. Watch the short video here: https://www.youtube.com/watch?v=EbE3kbLX9hs