DrStool Posted May 5, 2021 Report Share Posted May 5, 2021 Call it a pothole. Call it a mini flash crash. We've had a few of these lately, and yesterday's was epic. I call it, Dealers Shake the Trees. They're low on inventory because of relentless customer buying. They needed to shake some loose before the relentless US Treasury liquidity tsunami put so much cash into the pockets of their whale customers, that it starts burning holes in their pockets. The US Treasury is pumping ungodly amounts of cash into big investor (and dealer) accounts. $91 billion in the second half of April. Another $55 billion just this week. And yet, massive inflows of taxes in April, and now extending into mid May continue to refill its coffers. It is STILL sitting on just under a trillion bucks in cash. This money is ON TOP of the $180 billion or so per month that the Fed pumps into dealer accounts in QE, month after month. As a result, we get charts that look like this. All the dealers need to do to build inventory is to play off news like Yellen saying yesterday that interest rates will need to go up, of the announcement of a proposed capital gains tax increase. Get a little selling going, the bots and AI triggers, and away we go. The dealers take prices down through the stop levels, and BOOM, suddenly, it's all gone and we ridiculous shit like this on the charts. This will get worse. The flash crashes and rebounds will get bigger. When the turn finally comes, and we have a pretty good idea of when that will be, we will witness, and hopefully profit from, one of the greatest crashes of all time. It's coming. But not yet. The new 5 day cycle projection is 4215. If you are a new visitor here, please register and join in! To post your observations and charts, and snide, but good-natured, comments, click here to register. Be sure to respond to the confirmation email which is sent instantly. If not in your inbox, check your spam filter. Stock Market Wobbly But Refusing to Break LEE ADLER 2 - TECHNICAL TRADER MAY 2, 2021 Out of Gas – Swing Trade Picks For Week of May 3, 2021 LEE ADLER 2 - TECHNICAL TRADER MAY 2, 2021 Gold Going Nowhere, But We Have Mining Picks to Swing LEE ADLER 3 - GOLD TRADER MAY 4, 2021 Link to comment Share on other sites More sharing options...
DrStool Posted May 5, 2021 Author Report Share Posted May 5, 2021 Zooming in to 30 minute bars they're testing the "uptrend" channel here at 4172 at 5:30 AM NY time. Link to comment Share on other sites More sharing options...
DrStool Posted May 5, 2021 Author Report Share Posted May 5, 2021 One of my short chart picks for Monday morning has a theoretical profit of 33% at 100% margin, 66% at 50% margin. That will make up for a multitude of losers. That profit will probably all but disappear by this afternoon, no doubt. 😠 But the list was balanced, with 5 longs and 5 shorts. One of the longs got stopped out yesterday. It's a shame. I really liked that chart. Sorry to see it go. 😢 Out of Gas – Swing Trade Picks For Week of May 3, 2021 LEE ADLER 2 - TECHNICAL TRADER MAY 2, 2021 2/16/21 Every week I run technical stock screens covering all NYSE and NASD stocks trading above $6 and averaging more than 1 million shares a day. This typically results in between 15 and 50 charts to review visually. I’m looking for low risk, high reward price structures, which I’m not smart enough to program into the screening process. But it’s ok. I like to look at charts. Technical Trader subscribers click here to download the complete report. List performance degraded last week, with the average gain dropping to +2.5% on an average holding period of 12 days. That includes open picks and those that triggered stops during the week. Remaining picks are shaky. I have tightened stops. New for this week, I’ve added 5 shorts and no longs to the list. This table summarizes recent list performance. GO TO THE POST Link to comment Share on other sites More sharing options...
DrStool Posted May 5, 2021 Author Report Share Posted May 5, 2021 Bears took yesterday's screen game with 38 sell signals and 10 buy signals. That reverses Monday's output, which I neglected to post. That score was 32 buys to 20 sells. We've had a couple days of 45 to 56 sell signals over the past 10 days, But that's still well below the the thrust of the 155 buy signals that started the 6 month cycle up phase back on March 28. That was the Big Kahuna. That wave has waned, but there's no big counter wave yet. The 5 day total is 84 buys to 127 sells. Weak, but not intermediate term thrust territory. Good chart reading and picking should allow for gains in both directions. Bad reading and picking will lead to two way losses. That's the problem with rangebound markets. When it comes to swing trading, strong trends will cover for a multitude of sins. Trading ranges are meat grinders that can chew you up. Just a flesh wound. This is swing trade buy signals vs. sell signals from yesterday's action. I screen all stocks and ETFs from the NYSE and NASD, excluding those with less than an average of 1 million shares per day traded, and selling for less than $6 per share. Here is today's output. Symbol Buy Sell 500 200 125 50 CPB 1 0 0 0 1 0 CNI 1 0 0 0 1 0 CNC 1 0 0 0 1 0 CSTM.K 1 0 0 0 0 1 LABD.K 1 0 0 0 1 0 FTCH.K 1 0 0 1 0 0 MRVL.O 1 0 0 1 0 0 SHOP.K 1 0 0 0 1 1 BIV 1 0 0 0 0 1 VGIT.O 1 0 0 0 0 1 ALK 0 1 0 0 0 1 ARR 0 1 1 0 0 0 TEAM.O 0 1 0 0 1 0 AUPH.O 0 1 0 0 0 1 FNGU.K 0 1 0 0 1 1 BHC 0 1 0 0 0 1 BE 0 1 0 1 0 1 AVGO.O 0 1 0 0 1 0 CUK 0 1 1 0 0 0 SAVA.O 0 1 0 0 0 1 CLNE.O 0 1 0 0 1 0 DVAX.O 0 1 0 0 0 1 ETRN.K 0 1 0 1 0 1 EXPI.O 0 1 0 1 0 0 GM 0 1 0 0 0 1 GNTX.O 0 1 0 0 0 1 QYLD.O 0 1 0 0 0 1 IOVA.O 0 1 0 0 0 1 JBLU.O 0 1 0 0 0 1 JMIA.K 0 1 0 1 0 0 LFMD.O 0 1 0 1 0 0 M 0 1 0 0 0 1 MGNI.O 0 1 0 0 1 0 MAR.O 0 1 0 0 0 1 NIO 0 1 0 1 0 1 OCUL.O 0 1 0 0 0 1 PEB 0 1 0 0 0 1 PDD.O 0 1 0 1 0 0 QCOM.O 0 1 0 1 0 0 RCL 0 1 0 0 0 1 SAIL.K 0 1 0 1 0 0 SONO.O 0 1 0 0 0 1 XBI 0 1 0 1 0 1 SSYS.O 0 1 0 1 0 0 SPWR.O 0 1 0 1 0 0 VIAC.O 0 1 0 1 0 0 WRAP.O 0 1 1 0 0 0 XRX 0 1 1 0 0 0 Totals 10 38 4 15 10 25 You can see which ones I actually pick each week by subscribing to Technical Trader. This is raw data. These are not recommendations. They represent charts that have triggered short term signals near key cyclical support or resistance levels. Pick through these and see if there are any that you like from your own charts. Feel free to post your charts here with comments. Get ’em While They’re Hot – Swing Trade Picks For Week of April 26, 2021 LEE ADLER 2 - TECHNICAL TRADER APRIL 25, 2021 Link to comment Share on other sites More sharing options...
DrStool Posted May 5, 2021 Author Report Share Posted May 5, 2021 4 hours ago, DrStool said: The new 5 day cycle projection is 4215. Still Link to comment Share on other sites More sharing options...
DrStool Posted May 5, 2021 Author Report Share Posted May 5, 2021 But they may be breaking the uptrend on the hourly here. Next few minutes critical. Link to comment Share on other sites More sharing options...
DrStool Posted May 5, 2021 Author Report Share Posted May 5, 2021 4215 canceled. Now max 4210. Link to comment Share on other sites More sharing options...
DrStool Posted May 5, 2021 Author Report Share Posted May 5, 2021 Now flipped. No more up phase. Link to comment Share on other sites More sharing options...
DrStool Posted May 5, 2021 Author Report Share Posted May 5, 2021 Wow. Link to comment Share on other sites More sharing options...
DrStool Posted May 5, 2021 Author Report Share Posted May 5, 2021 That's a technical observation. Link to comment Share on other sites More sharing options...
Mkucstars Posted May 5, 2021 Report Share Posted May 5, 2021 Back in right here shorting both IWM and QQQ Link to comment Share on other sites More sharing options...
Mkucstars Posted May 5, 2021 Report Share Posted May 5, 2021 Nice try but methinks the bounce is over Link to comment Share on other sites More sharing options...
No Einstein Posted May 5, 2021 Report Share Posted May 5, 2021 TSLA ...do or die time....stuck between the up trend line from 3/5 and the 50 day MA... 683 and i kid you not 666... .if the devil wins. and 666 breaks,..tsla is in big trouble Link to comment Share on other sites More sharing options...
DrStool Posted May 5, 2021 Author Report Share Posted May 5, 2021 Quite a resistance band, the next 10 points. These ring tailed howitzer candles are starting to stick out like sore thumbs. Link to comment Share on other sites More sharing options...
DrStool Posted May 5, 2021 Author Report Share Posted May 5, 2021 Bears need an interception or a fumble here. Link to comment Share on other sites More sharing options...
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