Monday, June 29, 2015

FIREEYE - FEYE - MONDAY, JUNE 29, 2015-- LEIBOVIT VR TUTORIAL ON METSTOCK


From the desk of Mark Leibovit:

I have presented FireEye before as an excellent example of the application of the Leibovit VR (Volume Reversal) indicator. Prior we had discussed the accuracy of the Positive Leibovit VRs. Here I am demonstrating the accuracy of the Negative Leibovit VRs which began on June 19 with the formation of a Leibovit Negative VR and followed three trading days later with another Leibovit Negative VR.  In both instances the 5/3/3/ stochastic was in a downtrend as a confirming indicator. 




These products are not a recommendation to buy or sell, but rather a guideline to interpreting the specified analysis methods. Only investors who are aware of the risks inherent in securities trading should use this information. MetaStock in no way endorses the products and services advertised and accept no liability whatsoever for any loss arising from any use of these products or their contents.

Friday, June 26, 2015

062615 MSWeekly – Inverted Technical Analysis

Inverted Technical Analysis™


Chart Examples Of How To Use Inverted Technical Analysis


When retail traders are already in a stock and it starts to move down rather than up, many do not know whether to sell the stock or hold it.  They are uncertain whether the move down is just a retracement or if the stock is going to continue moving down, so this is how Inverted Technical Analysis can help.
C:\Users\Adrienne\Desktop\TechniTrader - Inverted Technical Analysis.png
Often times a retail trader is looking at the chart from a perspective of hoping that the stock will turn around and run right back up. However hoping a stock will run up and analyzing the price action properly to determine whether it will or will not, makes all the difference between a profitable trade or a losing trade.
A special type of analysis is often needed to really determine whether the stock will turn around and move right back up, or if it is going to continue to move down and start a deeper retracement or even a short term correction. This type of Technical Analysis is called Inverted Technical Analysis, and it is only taught at TechniTrader.
What this means is that you are studying the downside action as if you intended to sell the stock short. If you are only looking at it from the stand point that you are in a trade that is either slightly in profit or slightly at a loss, you will not know whether to sell the stock or hold it.
We are going to use the chart below as an example of how to use Inverted Technical Analysis to study a chart for a held stock position. We will pretend that this stock is owned, and now that it is moving down the concern is whether to hold or sell the stock.
Chart example #1. C:\Users\Adrienne\Desktop\TechniTrader chart example #1 a MetaStock chart shows candlesticks needing Inverted Technical Analysis for a buy hold.png


Let’s say that the entry or buy was on the small gap up white candlestick day indicated by the green arrow. It moved up the next day as well, then it started to correct. This was a bit of a surprise as the expected action was more upside, especially since the index this stock is on went up over 100 points each day that this stock has moved down.
Nervousness is settling in and you are wondering whether to hold or sell the stock. You have a small profit for now.  You are wondering why this stock is moving down when its index and the general market has been moving up strongly.
You are hoping the stock is going to move up but you aren’t sure. Instead of hoping, worrying, or giving up on the trade use Inverted Technical Analysis and take a totally different perspective. Look at the chart and determine if this stock is a good sell short candidate.
In order to do this of course, you need to have an education in the sell side price action.  The sell side or downside price action is not the same as the upside price action. Price moves differently on the sell side because there are fewer Market Participants that sell short.  Selling is done for different reasons than when the Market Participants are buying. In addition when a stock moves down there are often Dark Pools lurking, that most retail traders are unaware exist in certain price levels and ranges.
The candlestick chart example #2 below shows how to use Inverted Technical Analysis with support lines, which are set at the Dark Pool levels of their prior accumulation.
Chart example #2.
C:\Users\Adrienne\Desktop\TechniTrader chart example #2 a MetaStock chart shows two levels of support under candlesticks as part of Inverted Technical Analysis.png


We can now quickly determine where Dark Pools are likely to enter again. We can also determine how far the stock can move down before it will find support, for either a bounce or a rebound that will convert back to an upside run.
In candlestick chart example #3 below a third line is drawn at the first support level. The stock is likely to easily bounce at the first support level. There is also support at the second line down which is even stronger support than the first level, and the lowest support line is where aggressive Dark Pool activity halted the last short term correction.

Chart example #3.
C:\Users\Adrienne\Desktop\TechniTrader chart example #3 a MetaStock chart shows three levels of support under candlesticks as part of Inverted Technical Analysis.png
When this stock is viewed as a sell short pick, it fails dismally as a sell short candidate because there is not enough possible point gain for profitability. It is not a good stock to sell short. By learning to read the sell side price action as easily as the upside price action and by using this analysis when you are in a held position but are uncertain what to do, will help decisions become far easier and analysis more accurate.
Inverted Technical Analysis exposes aspects of price action, Market Participant activity, and support levels. It also eliminates the most dangerous part of analysis which is letting your emotions, hope, or fears of loss distort or confuse your trading decisions.
I invite you to read more, watch an introductory Video or download an eBook about trading by clicking the button. http://goo.gl/ZVgvj2
http://cdn2.hubspot.net/hubshot/15/06/18/c25e1f8f-3ce6-465a-a0fc-92507bc7b9f8.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

Copyright ©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.

Thursday, June 25, 2015

Short LCI Setup on SKYW

Technical Analysis on SKYW (Sky West Airlines)

Why are we shorting SKYW?

1. We can see that we are within our overbought condition within the average pivot cycle movement.
2. We are at a Major Resistance level with: Supporting Fibonacci Retracement, Consolidation of price movement, and have started to create lower lows.
3. Volume is exhausted indicating that there is no more demand to drive prices higher. Volatility is also low supporting price consolidation.

See Trade Management Details Below.

Entry Management

We will be looking to enter "Short" if prices break 15.75 within the next 3 trading days. We are expecting a move to hit our initial profit target and move to a sideways price movement.

Initial Stop Level

Short Entry Stop: 16.62

Profit Target Level

Initial Target:          14.54
Primary Target:      13.24
Extended Target:     11.50


If you have additional questions then please feel free to email info@lcinvestmentanalytics.com

 
Sincerely,

Logan Connors
LC Investment Analytics

These products are not a recommendation to buy or sell, but rather a guideline to interpreting the specified analysis methods. Only investors who are aware of the risks inherent in securities trading should use this information. MetaStock in no way endorses the products and services advertised and accept no liability whatsoever for any loss arising from any use of these products or their contents.

Monday, June 22, 2015

LEIBOVIT VR TUTORIAL ON METASTOCK FOR TRAK - DEALERTRACK TECH - JUNE 22, 2015

From the desk of Top Market Timer Mark Leibovit.

On June 15 around 2 PM EST Cox Automotive announces buying Dealertrack for $4 billion 

Here is the story:

Digital marketing and e-commerce company Cox Automotive Inc. will buy Dealertrack Technologies Inc. in an all-cash deal worth about $4 billion. Atlanta-based Cox Automotive focuses its services on the automotive industry. Among its properties are Kelley Blue Book, Manheim and Autotrade.Lake Success, N.Y.-based Dealertrack makes software used by the auto dealerships.
The deal values Dealertrack at $63.25 per share, marking a 61% premium from its closing price of $39.19 on June 12. The companies expect the deal to close in the third quarter.

Here is what the Leibovit VR told you.  A Leibovit Positive VR (shown in the video) was formed on Friday, June 12 accompanied by a strongly rising 5/3/3/ stochastic. If you went long using the appropriate stop of 38.65 (the most previous low), you would have a very nice positive surprise during the day on Monday.  Don't tell me someone didn't know the announcement was coming. This is why the VR is such a valuable tool. It follows the big buyers and big sellers, the smart buyers and the smart sellers.



These products are not a recommendation to buy or sell, but rather a guideline to interpreting the specified analysis methods. Only investors who are aware of the risks inherent in securities trading should use this information. MetaStock in no way endorses the products and services advertised and accept no liability whatsoever for any loss arising from any use of these products or their contents.

Monday, June 15, 2015

Negative Volume Reverals on Disney.

From the Desk of Mark Leibovit:

Three recent Leibovit Negative Volume Reversals (VRs), the most recent on June 4 followed by consecutive increasing days of downside volume is one important negative. In addition, there is a big unfilled gap at 96.43 from back on January 13.  My conclusion is that is where we're headed near-term.  Stop?  Recent high at 113.38.

Monday, June 8, 2015

VERIZON AND FOR FEYE - FIRE-EYE - JUNE 8, 2015 LEIBOVIT VR TUTORIAL ON METASTOCK

From the Desk of Top Market Timer--  Mark Leibovit

Verizon (VZ) posted clear Leibovit Negative VR signals ahead of the current sell-off, most notably May 5 and May 15. - both confirmed by a declining 5/3/3 stochastic.  The Positive VR signal on May 8 was a bad signal and was quickly negated by the lack of upside follow-through and more than offset by the potential profit of the Negative VR signals. As you know, VZ has been declining tied to the story that either they will acquire DISH NETWORK or that T-MOBILE and DISH would merge hurting VZ's business.

Fire-Eye (FEYE) has been under steady accumulation since April 7.  Please note the eight Leibovit Positive VR signals and only one valid Leibovit Negative VR signal (on April 17 tied to a declining 5/3/3/ stochastic). The Leibovit Negative VR  May 12 was negated by a rising 5/3/3/ stochastic. FEYE along with CUDA and PANW have been rallying on the Chinese cybersecurity breach that actually occurred in December and which we only told about this week.  Another government coverup?  Obama's administration is expert at these coverups, aren't they?  But, the big issue is that we're at war with China. Too bad for Walmart if this accelerates. Maybe that's why Walmart has been declining.


Monday, June 1, 2015

VR TUTORIAL ON METASTOCK FOR BROADCOM - BRCM - June 1, 2015

From the desk of top market timer Mark Leibovit:

Eleven Leibovit Positive VRs since March clearly pointed to accumulation in Broadcom (BRCM) and recent ones on May 22 and May 27 were both short-term entry signals - one or both of which would have resulted in a huge profit opportunity.  Looking at the weekly chart, a Leibovit Positive VR as posted on April 13 which would have positioned you long weeks before the big story.