Pattern Trading Setups for the Weekend!…

Tuesday 6/6/23. Slider Trading Quiz!

Weekly, since inception on 6/14/2011:

     The prediction of the Dow closing higher has been right 262/478 or 54.8% of the time.

     The prediction of the Dow closing lower has been right 50/107 or 46.7% of the time.

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I show another slider trading quiz featuring VF Corp: VFC stock.

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Here’s a symbol list of 127 chart and candlestick patterns (13 “investment grade” candle patterns) found in today’s securities using my version of Patternz:
AXDX, AEIS, AJRD, AES, AFL, ALL, AMZN, AMED, AEE, AEP, AIG, AME, APH, AR, ADM, ADSK, BSET, BERY, BA, BKNG, BSX, BG, CDNS, CPB, CX, CVX, CLNE, CNX, CL, CXW, GLW, COTY, CCK, CSGS, DHR, DECK, DVN, FANG, D, DTE, EPAM, XOM, EZPW, FE, FISV, FLS, FDP, GE, GPN, GFS, GL, HSC, HUM, JBHT, IEX, ITW, IPI, JBLU, K, KELYA, KMB, MGY, MRO, MRK, MU, MUR, NFLX, NEWR, NKE, NTNX, OXY, OGE, OMI, PANW, PRFT, PNW, PXD, PPL, PEG, RMBS, RRC, RGA, RNG, SLB, SCHW, SAIC, SIGI, SHOP, STR, SWN, SXI, TXN, RIG, TZOO, UPS, VLO, VRTX, WMT, WAT, WSO, WPM, WMB, ITA, IEZ, IDU, IYH, IGE, EWZ, EWH, TUR, PPA, PXJ, XLY, XLE, XLI, XLU, USO. Click this link for details (pattern type, start and end dates).

For a list of small patterns (those a few days wide) click this link.

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The following table shows where Fibonacci retrace values of the day’s high-low range are plus pivot points, calculated on the Dow industrials, sorted by value. When several are near each other (small differences),
the area might act as support or resistance.

— Thomas Bulkowski

Monday 6/5/23. Market Monday: The Week Ahead

My Prediction

I show the Dow transports on the daily scale.

At A, the index breaks through a down-sloping trendline suggesting there’s a good rise in store. I think that assessment is correct.

At B, we have support in the form of a triple bottom chart pattern. With the close at A above the top of the chart pattern, it confirmed the triple bottom as a valid chart pattern.

At C, we see a potential double bottom. The index has to close above the highest peak between the two bottoms to confirm it as valid. If it confirms, it’ll suggest another rise.

A Brief Look Back

The following is a brief review of how the markets performed over time. The numbers refer to the close-to-close move in the Dow industrials.

Tuesday: Down 50.56 points.

Wednesday: Down 134.51 points.

Thursday: Up 153.3 points.

Friday: Up 701.19 points.

Saturday: Holiday or other weird event!

For the Week…

The Dow industrials were up 669.42 points or 2.0%.

The Nasdaq composite was up 265.08 points or 2.0%.

The S&P 500 index was up 76.92 points or 1.8%.

Year to Date…

Dow Industrials

     1.7% down from the high of 34,342.32 on 01/13/2023.

     7.4% up from the low of 31,429.82 on 03/15/2023.

Nasdaq

     0.1% down from the high of 13,256.21 on 06/02/2023.

     29.0% up from the low of 10,265.04 on 01/06/2023.

S&P 500

     0.2% down from the high of 4,290.67 on 06/02/2023.

     12.9% up from the low of 3,794.33 on 01/03/2023.

Options Expiration

No options expire this week.

Swing Traders: Pivot Points

The following is based on an SFO article in December 2004 by John Seekinger, titled, “Take a
two-dimensional approach.” He offers these tips.

• Seekinger doesn’t look at the range of S2 to R2 as support and resistance levels. Rather, he considers them oversold (S) and overbought (R) areas.
• S2 to R2 range of values across daily, weekly, and monthly periods: If two values are close together then they lend more significance to the area.
• If the market trends on day 1, the odds rise tremendously that the market will be range bound between daily S1 and daily R1 the next day.
• In a quiet market when traders are waiting for an important earnings announcement or economic report, look for daily R1 and S1 levels to hold and for the market to return to the daily pivot.
• A move outside of daily R1 or S1 usually does not mean a breakout.
• The odds suggest that the entire week’s price action will remain between weekly R2 and S2.
• Avoid going long when the market moves above weekly R2 (it’s overbought) and avoid going short when price moves below weekly S2 (oversold).
• Consider going short at weekly R1 or long at weekly S1 with a profit objective of the weekly pivot.
• Consider going long at weekly S2 or short at weekly R2 with a profit objective of weekly S1 or R1, respectively.

Here are the formulas:

Pivot point: P = (H + L + C)/3

First resistance level: R1 = (2 * P) – L

First support level: S1 = (2 * P) – H)

Second resistance level: R2 = P + (R1 – S1)

Second support level: S2 = P – (R1 – S1)

H = high price , L=low price, C=closing price

Earnings, Chart Patterns & Industries

Earnings season is over.

Here’s a symbol list of 153 chart and candlestick patterns (13 “investment grade” candle patterns) found in today’s securities using my version of Patternz:
AEIS, ATSG, ALRM, AMZN, AXP, AR, ANET, AGO, ATO, AVY, AVA, AXS, BCPC, BSET, BIIB, BKH, BKNG, BBW, BG, CBT, CF, CLX, CMCO, CMTL, ED, CSGP, COTY, CR, CRH, CW, DECK, DDS, DFS, DSGR, BOOM, EME, WIRE, EVH, XOM, FISV, FMC, FCX, GIS, GGG, HAYN, HQY, HELE, HP, HSY, IDXX, NSP, IBKR, TILE, KELYA, LRCX, LAMR, LEG, LEN, MHO, MA, MCO, MYGN, NBR, NEWR, NWL, NEU, NI, NWPX, NTNX, OGE, ORI, OMI, OXM, PATK, PTEN, PXD, PINC, PEG, RMBS, RJF, REGN, RGS, RNG, RLI, RCKY, RES, R, ^GSPC, SAIA, SHW, SHOP, SLGN, SKX, SKYW, SO, SCCO, SWX, SWN, SSYS, TTD, TOL, TREX, MDRX, VRSN, V, WEX, WPM, WMB, WSC, WWD, XEL, IYK, ITB, IHE, BOTZ, IYH, IYZ, MXI, IXN, EWA, EWK, EWQ, EWG, EWH, EWI, EWJ, EWM, EPP, EZA, EWY, EWP, EWT, THD, TUR, EWU, PEJ, SSO, ROBO, XLY, SPY, XLK, VHT. Click this link for details (pattern type, start and end dates).

For a list of small patterns (those a few days wide) click this link.

The below industries were the best (rank 1) or worst performing of those I follow.

— Thomas Bulkowski

Friday 6/2/23. Pattern Trading Setups for the Weekend.

New research. How does crypto performance compare to stocks and ETFs?

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Here’s a symbol list of 139 chart and candlestick patterns (13 “investment grade” candle patterns) found in today’s securities using my version of Patternz:
AYI, AEIS, AFL, AYX, ABC, AR, ARCB, AVY, BIIB, BMRN, BKNG, BOOT, BSX, BBW, CDNS, CALM, CNC, CDAY, CNX, CL, ED, CAG, CONN, DECK, ^DJU, DOV, DRQ, DUK, EMN, ELV, EVH, XOM, FFIV, FICO, FAST, FIS, FTNT, FWRD, FRD, GILD, GS, HBI, THG, HSC, HE, HP, HSIC, HWM, ILMN, PODD, KBH, KELYA, KMB, LZB, LRCX, LEG, LEN, MGY, MAN, MRK, MRCY, META, MGEE, MSFT, NEWR, NEU, NKE, JWN, NTNX, OGE, OUT, OMI, OXM, PTEN, PNW, PPG, PEG, PSTG, RRC, RGA, RNG, RHI, RCKY, SBH, SEE, SEIC, SHOP, SKX, SKYW, SO, SWX, SWN, SPSC, SSYS, SUM, SRDX, TPR, TECH, TDOC, RIG, TZOO, TREX, UHAL, UIS, UNM, VLO, WMT, XEL, IYC, IEZ, IHE, FTEC, QQQ, IYH, IHF, IXN, ILF, IYF, EWQ, EIS, EWI, EWM, TUR, QLD, IBB, PXJ, XLY, XLV, SPY, XLK, UNG, VHT, MGK. Click this link for details (pattern type, start and end dates).

For a list of small patterns (those a few days wide) click this link.

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You can find setups based on a Fibonacci retrace by clicking on the link.

The following patterns were found manually, not using Patternz. Mr. Bulkowski has excluded any securities he owns from appearing in the list. However, he may add any of the securities listed to his portfolio at any time, just as you can.

In the table below, the red and green colors are based on the historical breakout direction for the associated chart pattern. If a high and tight flag appears, the start and end dates highlight the flagpole only and not the flag.

For details about the chart patterns, click here.

— Thomas Bulkowski

Thursday 6/1/23. 2023 Forecast Update

Weekly, since inception on 6/14/2011:

     The prediction of the Nasdaq closing higher has been right 259/455 or 56.9% of the time.

     The prediction of the Nasdaq closing lower has been right 72/149 or 48.3% of the time.

Here’s the updated 2023 forecast, presented in slider format.

I don’t show the usual panel from Fidelity because they changed their format and no longer offer the kind of information I need.

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Here’s a symbol list of 185 chart and candlestick patterns (13 “investment grade” candle patterns) found in today’s securities using my version of Patternz:
ACIW, AYI, AEIS, AFL, A, ATSG, ALKS, ALGT, AR, ACGL, AVY, BECN, BERY, BIIB, BKH, BKNG, BOOT, BSX, BRKR, CX, CENX, CDAY, CHKP, CHS, CI, CNX, CL, CONN, GLW, CSGP, COTY, CRH, DECK, DVN, FANG, ^DJT, DOV, DRQ, EMN, EBAY, EPAM, XOM, FE, FIVN, GNW, HLIT, HAYN, HTLD, HELE, HUN, INTC, IRM, KALU, KELYA, LEG, L, LXU, MANH, MAN, MRTN, MA, MDC, MRCY, MLKN, MCO, MOS, MLI, NBR, NOV, NEWR, NEE, NXGN, NKE, NI, NTNX, OLN, ASGN, OMI, OXM, PATK, PTEN, PRFT, PXD, PG, RL, RGS, RNG, RCKY, ROL, RES, SBH, SMG, SEE, SEIC, SIGI, SHOP, SWX, SWN, SPSC, SCS, SSYS, TPR, TRGP, TPX, TJX, TREX, UGI, UIS, VLO, VMI, MDRX, V, WAT, WSO, WERN, WLK, WSC, IYM, IAI, ITB, IEZ, IHE, FDN, ICF, IEV, IXC, MXI, ILF, IGE, IEO, EWA, EWO, EWK, EWZ, EWC, EWQ, EWG, EWH, EIS, EWI, EWJ, EWM, EWW, EPP, EWS, EWP, EWL, TUR, EWU, IBB, DBA, PEJ, PXJ, XHB, XLB, XRT, UNG, USO, VIS. Click this link for details (pattern type, start and end dates).

For a list of small patterns (those a few days wide) click this link.

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The following table shows where Fibonacci retrace values of the day’s high-low range are plus pivot points, calculated on the Nasdaq composite, sorted by value. When several are near each other (small differences),
the area might act as support or resistance.

— Thomas Bulkowski