Daryl Guppy is an independent technical analyst who appears frequently on CNBC Asia. He runs training, analysis and resource workshops for retail and professional financial market traders involved in stocks, CFDs, warrants, derivatives, futures and commodities in China, Malaysia, Singapore and Australia. He has his own trading company, guppytraders.com.
The three most powerful bearish signals in the market are a head and shoulder pattern, a rounding top and a down sloping triangle. It was the head and shoulder pattern on the Dow Jones Industrial Average that took the market to the first downside target of 11,200 in 2008.
Earlier this week, a reader of my India market newsletter asked if I could analyze Satyam Computer Services. I prepared these notes based on the weekly and the daily chart. On Thursday morning, I returned from Beijing to find the same stock was front page news. These are the notes prepared three days before the breaking news.
It's the season of joy and goodwill. Except, there isn't much joy to be found amidst our gloomy economic situation. Will Santa arrive? Will he deliver a personal U.S. Treasury-funded bailout? Will investors buy into the promise of future delivery based on credit earned for good behavior?
A news event can trigger a rally. A leading indicator of this is a rise in volume which doesn't correspond with a rise in stock price. Today, we chart the game of Pass the Parcel. The aim is not to be left holding the stock when news is either confirmed or dismissed.
The euro is within sight of a two-year high set in October and charts indicate that a sustainable uptrend is at hand.
Boosted by Abenomics, the Nikkei has risen over 50 percent year to date, ranking it among the world's best performing indexes in 2013.
Tapering remains a key topic of debate among investors as year-end approaches and Yellen prepares to take over as Federal Reserve chairman.
The dollar-yen breached the 100 level last week for the first time in two months but the pair has since struggled to hold onto its gains.