We debuted a new scan recently- The Outperformers.
The Outperformers is our newest scan that pinpoints the very best stocks in the market. It’s the fastest, easiest way to find quality names that are primed for major moves.
Expert technical analysis of financial markets by JC Parets
We debuted a new scan recently- The Outperformers.
The Outperformers is our newest scan that pinpoints the very best stocks in the market. It’s the fastest, easiest way to find quality names that are primed for major moves.
by Ian Culley
From the desk of Steve Strazza @Sstrazza
We held our November Monthly Strategy Session last night. Premium Members can access and rewatch it here.
Non-members can get a quick recap of the call simply by reading this post each month.
By focusing on long-term, monthly charts, the idea is to take a step back and put things into the context of their structural trends. This is easily one of our most valuable exercises as it forces us to put aside the day-to-day noise and simply examine markets from a “big-picture” point of view.
Let’s dive in and discuss three of the most important charts and/or themes from this month’s call.
Monthly Charts are very important to us. As a team, we regroup several times, but monthly charts put us on the same page, without having to discuss it.
Process is an important aspect of any activity. And so, Monthly Charts analysis is an important aspect of our research. Without this, it is easy to get swayed in the short-term moves and get carried away by them.
You can sign up for our Monthly Strategy Call and get the whole update of the market. We’re here to provide a glimpse of what’s going on. [Read more…]
From the desk of Steve Strazza @Sstrazza.
Welcome back to our latest “Under The Hood” column where we’ll cover all the action for the week ended October 29, 2021. This report is published bi-weekly and rotated on-and-off with our “Minor Leaguers” column.
What we do here is analyze the most popular stocks during the week and find opportunities to either join in and ride these momentum names higher, or fade the crowd and bet against them. 
We use a variety of sources to generate the list of most popular names. There are so many new data sources available that all we need to do is organize and curate them in a way that shows us exactly what we want: A list of stocks that are seeing an unusual increase in investor interest.
Watch this video for a “behind the scenes” look at our process.
Whether we’re measuring increasing interest based on large institutional purchases, unusual options activity, or simply our proprietary lists of trending tickers, there’s a lot of overlap.
by JC
This is the video recording of our November 1, 2021 Monthly Charts Live Strategy Session
From the desk of Steve Strazza @sstrazza
This is one of our favorite bottom-up scans: Follow The Flow. In this note, we simply create a universe of stocks that experienced the most unusual options activity — either bullish or bearish… but NOT both.
We utilize options experts, both internally and through our partnership with The TradeXchange. Then, we dig through the level 2 details and do all the work upfront for our clients. Our goal is to isolate only those options market splashes that represent levered and high-conviction, directional bets.
We also weed out hedging activity and ensure there are no offsetting trades that either neutralize or cap the risk on these unusual options trades. What remains is a list of stocks that large financial institutions are putting big money behind… and they’re doing so for one reason only: because they think the stock is about to move in their direction and make them a pretty penny.
Then we flip through our list of stocks flashing unusual activity and pick the best setups using many of the same technical filters we do for our other scans. And just like that, we’ll follow the money flow and fatten our own pockets along with some of the world’s most powerful financial institutions.
This week we’re looking at a long setup in the Infrastructure sector. The market has been quite selective over the past two weeks but we saw strength come through in pockets. Here is one such example.
Let’s take a look at this stock.
by JC
What’s the definition of a Bull Market?
If you say 20% price appreciation it’s probably because you watch too much basic cable.
Are a majority of stocks going higher or are a majority of stocks going lower?
That’s how we determine bull and bear markets.
And by the way, individual stocks do NOT have bull and bear markets. The concept of a bull or bear market is a broad market description, not reserved for individual stocks.
If anyone ever tells you that an arbitrary 10% move is a “correction” and 20% is a bull/bear market, then you know they can’t be trusted. It’s that simple. Move on.
So if you’re interested in the way markets actually work, as of earlier this month, when breadth improved, we proclaimed that the bull market was finally back, after the last one came to an end in February.
For a great way to see what the median price change looks like for stocks, we turn to the Value Line Index. This takes away the large-cap bias of some of the most popular market gauges and shows us the median stock performance: [Read more…]