Monday, March 23, 2015

Mark Leibovit's Volume Reversal Signal for Tesla.

From the desk of top market timer Mark Leibovit:

Tesla formed a Leibovit Positive VR (Volume Reversal) on March 17 in conjunction with a positive 5/3/3 stochastic.  VRtrader.com subscribers were told to go long with a target of 212.

As TSLA found resistance at the blue (50 day moving average), I decided to 'ring the register' on March 19 for 8.90 point profit.  Also, notice the 5/3/3 stochastic began turning a tad negative at that time.  We are on the sidelines now.  The video demonstrates the 'Sequential' version of the indicator which posts all positive and negative VRs.  There are two other versions provided on your subscription. The 'Directional' which filters out repetitive VRs and shows a stop point via a horizontal line and the '2-Day' which takes a trade after two days (or two bars).

You can watch the full video here:

http://youtu.be/3vAmnHoRF78

Happy Trading,

Jeffrey Gibby
MetaStock Business Development.


Monday, March 16, 2015

VR Tutorial on MetaStock for GW PHARMACEUTICALS

GWPH (GW Pharmaceuticals) is in the limelight regarding its Cannabinoid research.  It is a UK company seeking FDA approval. Perhaps Friday's action suggest that approval (or perhaps a takeover) is on the horizon.  A Leibovit Positive VR was formed both on March 4 and March 11 - both meeting my criteria of a rising 5/3/3 stochastic. On the weekly chart (shown in the video), a weekly Leibovit Positive VR was posted back on January 5 meeting the same stochastic criteria.  With the stock down from 111 to 50 and now moving higher, the odds that it will a post a new high is quite good with potential (based on the theory of a 'swing count' - i.e., the amount it declines is the amount it will exceed its high) to 160.  We will know in the 'fullness of time'

031315 MSWeekly - TechniTrader Flow of Funds TTFF Indicator

TechniTrader Flow of Funds TTFF Indicator
Institutions Buying Or Selling Stock
The TechniTrader® Flow of Funds TTFF indicator was designed to help retail traders and individual investors see when Funds are moving into or out of a stock. There are currently over 12,000 Funds trading stocks and many have billions of dollars to place. Their presence in the market is dominant with over 80% of all order activity being some sort of Fund buying or selling.
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Therefore if a retail trader or individual investor simply watches MACD, Bollinger Bands, Stochastic or another other price indicator, they are missing a huge portion of analysis needed in order to be consistently successful. Systems and strategies alone will not give consistent results.
TT Flow of Funds indicator tracks Institutional activity and can help reveal tops and bottoms earlier, as well as anomalies that warn of a sudden change of trend.
In the chart example below the TT Flow of Funds indicator is the blue line in the bottom chart window. The red line is a subordinate indicator that helps make the TT Flow of Funds indicator easier to read.
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First of all TT Flow of Funds should be trending upward, with steady relatively consistent upward action as price moves up.
Secondly keeping an eye on the subordinate indicator which is a linear regression indicator, we can watch for crossover patterns. During sideways patterns the TT Flow of Funds will oscillate, but during trending patterns it will step upward as the stock moves up. When Flow of Funds ebbs or wanes, it will be flat with the subordinate indicator hovering tightly.
As it moves up, a sharp Stairstep Pattern emerges, which is the signal that a heavy Flow of Funds occurred as we see in this chart. This was confirmed with Reuter Lippor Reports the following month that indeed, Mutual Funds had a huge influx of money by small investors.
Two areas to watch closely for in using TT Flow of Funds are the extreme high range and extreme low range. These areas are early topping and bottoming warnings. Below is a chart example after a topping pattern formed in TT Flow of Funds.
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The green arrow on the right shows the peaking action of TT Flow of Funds indicating this was a top, before the top confirmed. The V line on TT Flow of Funds as indicated by the green arrow on the left, shows a bottoming or strong support level for the stock.
Summary
TechniTrader Flow of Funds TTFF is one of the TechniTrader® proprietary indicators created exclusively for MetaStock® Charting Software Users. It tracks institutional activity, and warns of a sudden change of trend. It reveals when a huge influx of money occurs, and provides early warning for tops and bottoms.
Trade Wisely,
Martha Stokes CMT
www.TechniTrader.com

Instructor & Developer of TechniTrader Stock and Option Courses
This weekly stock discussion is sponsored by TechniTrader.com a MetaStock® Partner

©2015 Decisions Unlimited, Inc. dba TechniTrader. All rights reserved.
TechniTrader is also a registered trademark of Decisions Unlimited, Inc.

Disclaimer: All statements are the opinions of TechniTrader, its instructors and/or employees, and are not to be construed as anything more than an opinion. TechniTrader is not a broker or an investment advisor; it is strictly an educational service. There is risk in trading financial assets and derivatives. Due diligence is required for any investment. It should not be assumed that the methods or techniques presented cannot result in losses. Examples presented are for educational purposes only.




Monday, March 9, 2015

030615 MSWeekly - Hybrid Indicators For MetaStock Users

TechniTrader Hybrid Indicators For MetaStock® Users
About TechniCators™ And Market Conditions
TechniTrader® stock market education, groups indicators together based on obtaining a complete and thorough analysis of all the market data available. These are typically 5 hybrid indicators we created. Each group is called a TechniCator™ and there are TechniCators™ for each trading style based on Market Conditions.
Most retail traders use price and time indicators such as MACD, Stochastic, Bollinger Bands® or other price/time indicators. This leaves a gigantic hole in the analysis because they are only analyzing half of the data necessary to be consistently successful.
TechniTrader education focuses on consistent success. This is totally contrarian to most systems and strategies that teach a retail trader can be successful taking a zero sum game attitude. The fact is that a 50% success rate won’t give a consistent monthly income you can rely upon.
Therefore our indicators include all of the analysis needed to select only the optimal and most ideal stock picks for the current MARKET CONDITION.
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There are 6 Primary Market Conditions which tell you:
1. How price will behave
2. How fast price will move
3. What entry signals will work best
4. What exit signals to use
5. What indicators to use
6. What trading style will reap the highest profit
Market Condition analysis comes from the TechniTrader Exploration scans.
In order to have a complete analysis of a stock for short term trading or long term investing, you must in addition to price, trend, and candlestick pattern analyze the following:
Volume Hybrid
Compare the upside volume and the downside volume, in relation to recent volume activity. That is why TechniTrader uses color coded volume bars with a special moving average for the various Market Conditions, speed of price action, and volume action.
TTQA TechniTrader Quiet Accumulation Hybrid
Reveal the secretive incremental buying patterns of the Dark Pool institutional investors. Dark Pools have grown in popularity and this behind the scenes giant lot action affects price, in ways not easily seen with mere price/time indicators.
TTFF TechniTrader Flow of Funds Hybrid
Know if money is flowing into or out of the stock. Mutual Funds buy and sell stocks based on charter requirements. In addition they are also based upon new Mutual Fund investors buying into the fund, or redemption demands by Mutual Fund investors which force the Funds to sell stock.
TTVA TechniTrader Volume Accumulation Hybrid
Track the institutional activity of Dark Pool versus HTFs High Frequency Trading Firms. This indicator also tracks Professional Traders trading for the Buy Side Market Participant or the Sell Side Market Participant. This is a unique oscillator not based on price, but instead is based on volume.
TT RSI/RSI TechniTrader Relative Strength Index Hybrid
Many retail traders use MACD, Stochastic, or Bollinger Bands. There is nothing wrong with these indicators UNLESS they are used in the wrong Market Condition, then they will give false entry and exit signals with poor profit results. This RSI/RSI hybrid indicator can be used in more Market Conditions than other indicators, and exposes strength or weakness in price BEFORE a major gap, run down, or shift of trend.
PRC/ROC Price Rate Of Change/Rate Of Change Hybrid
Developed and designed to be used in Market Conditions where MACD and Stochastic tend to fail. It is easy to use and interpret, and many traders prefer it because of its flexibility with a variety of trading styles.
Summary
TechniTrader Exploration scans and Hybrid Indicators are available in our Tools for MetaStock charting software users. To learn more about TechniTrader Exploration scans and Tools click on the button below.
http://cdn2.hubspot.net/hubshot/15/03/06/3c21f250-b167-4456-b922-75ed7875b64d.png

Trade Wisely,
Martha Stokes CMT
www.TechniTrader.com

Instructor & Developer of TechniTrader Stock and Option Courses
This weekly stock discussion is sponsored by TechniTrader.com a MetaStock® Partner

©2015 Decisions Unlimited, Inc. dba TechniTrader. All rights reserved.
TechniTrader is also a registered trademark of Decisions Unlimited, Inc.

Disclaimer: All statements are the opinions of TechniTrader, its instructors and/or employees, and are not to be construed as anything more than an opinion. TechniTrader is not a broker or an investment advisor; it is strictly an educational service. There is risk in trading financial assets and derivatives. Due diligence is required for any investment. It should not be assumed that the methods or techniques presented cannot result in losses. Examples presented are for educational purposes only.

[Video] SPY reversal confirmation?

From the desk of top market timer Mark Leibovit

A Negative Leibovit VR (Volume Reversal) on March 3 combined with a down trending 5/3/3 stochastic was a bulls eye call for the negative market action over the past three sessions.  Though we approaching the (blue) 50 day moving average, we do, as yet, have confirmation of a bottom.  Note how a Positive Leibovit VR on February 10 preceded a multi-day rally in to the March high.


Happy Trading,

Jeff Gibby 
Business Development



Friday, February 27, 2015

022715 MSWeekly - How To Trade Stocks Profitably For Beginners

How To Trade Stocks Profitably For Beginners
Market Participant Groups Form Trendline Patterns
Most individual investors and retail traders do not realize that they have a huge advantage over the professional side of the market. This is due to the constraints, restrictions, rules, and regulations the professional side must comply with on an ongoing basis. It is also due to the fact that 80% of the professionals still do not use Technical Analysis.
Stock charts are the graphical representation of what the Market Participant Groups who use fundamentals understand about a stock and its company at that time.
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There are nine primary Market Participant Groups, and each group buys the stock at a different time during the up, down or sideways price action. Over a year or longer time period different Market Participant Groups will be highly active, or not buying the stock at all. When one or two groups are heavily buying or selling a stock, it is called “controlling the stock price.”  Each group controls price in a specific way, creating easy to identify trendline patterns. When an individual investor or retail trader identifies who is in control they will know how to trade the stock, which trading style and strategy will work best, when to enter the stock, how long to hold the stock, and when to exit the stock.
In the chart example below it is very obvious immediately how precise and consistent the sideways pattern is over time. What is also noticeable are the gaps that follow the sideways pattern.




Sideways price action that is precise like this means that the buyers are dominant. They have a huge amount of capital reserves, buy with a controlled bracketed order that contains price within a narrow range, and eliminates momentum action and volatility. There is also an incremental pattern in the sideways action. Each sideways pattern prior to the gap or run up is nearly equal in time duration.
This is the pattern that giant Buy Side Institutions create, when they use Dark Pool Alternative Trading System ATS platforms to slowly accumulate millions of shares of stock. The more giant funds that buy the stock, the more consistent the Platform pattern will be. Dark Pools are buying in incrementally over time and controlling price during their accumulation phase.
Once the Dark Pools have completed their buying for that price level, it is obvious that High Frequency Traders HFTs automated orders trigger driving price up. High Frequency Traders can also make mistakes, as shown in the middle chart window with the TT Volume Bars extreme red spike which indicates an attempt to sell down the stock during accumulation. Smaller funds always chase HFT action. Often retail traders also chase HFT action too not understanding the Market Participant Group cycle, and how it affects the trend and trendline patterns that form over time.
The stock was under heavy accumulation at the time the HFT triggered order attempted to sell down. Since the giant funds have massive capital bases and a controlled order to buy incrementally, their orders overwhelmed the HFT sell short orders rapidly and the stock continued to move up many months afterwards.
Summary
Learning to identify who is controlling price at any given time reveals a huge amount of information that is not available in retail news, guru recommendations, friends, or co-workers opinions about stock trading.
To be consistently successful individual investors and retail traders must learn and understand the Market Participant Group Cycle, and how that affects the stock trend over time. When this methodology is used, success at investing and trading will improve rapidly and consistently.
Trade Wisely,
Martha Stokes CMT
www.TechniTrader.com


Instructor & Developer of TechniTrader Stock and Option Courses
This weekly stock discussion is sponsored by TechniTrader.com a MetaStock® Partner

©2015 Decisions Unlimited, Inc. dba TechniTrader. All rights reserved.
TechniTrader is also a registered trademark of Decisions Unlimited, Inc.

Disclaimer: All statements are the opinions of TechniTrader, its instructors and/or employees, and are not to be construed as anything more than an opinion. TechniTrader is not a broker or an investment advisor; it is strictly an educational service. There is risk in trading financial assets and derivatives. Due diligence is required for any investment. It should not be assumed that the methods or techniques presented cannot result in losses. Examples presented are for educational purposes only.


Tuesday, February 24, 2015

Top Market Timer looks at First Solar

From the desk of Mark Leibovit:

First Solar was a dramatic and powerful example of the Leibovit Volume Reversal (tm) at work.
A VR was posted on the weekly charts back on January 26, accompanied by a confirming 5/3/3/ Stochastic for those of you play the near-term.

On the daily chart, a series (count them - 5) VRs were formed from January 21 forward, the most recent one was formed on February 20.  VRtrader.com Platinum subscribers 'rang the register' on FSLR following the huge upside gap.