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.
In this winter of discontent, the steep reduction in fuel prices is cold comfort for many carriers locked into higher prices. Forward contracts have provided spectacular losses for many airlines in the past few months. In short -- carriers have fallen at the hedge.
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.
Japan's Nikkei had a huge day on Monday, surging 4 percent in 16 months, as investors scooped up bargains after a rout last week.
The Dow Jones entered negative territory, while the S&P 500 and NASDAQ posted their worst weeks since 2012, leading traders to warn of a correction.
Nymex crude oil fell below $90 per barrel for the first time in 17 month last week amid signs of a supply glut, and charts suggest further downside.
Expectations that the Fed will raise interest rates coupled with growth headwinds in Europe have pushed the U.S. dollar index higher.
Daryl Guppy is an independent technical analyst who appears frequently on CNBC Asia.