A Daily Swing Trade

- Dow pushes slowly higher from early lows, tests key 11,150 level. The index smacked into the key 11,150 resistance level and dropped to the close for a 1 point loss. Watch 11,150 closely for key direction..

- The NASDAQ and S&Peach rallied from early lows to test resistance today, but failed to break out. Watch resistance tomorrow for a break or bounce.

Summary

The Dow ended the day basically flat after testing critical resistance at 11,150 today, but could get another crack at this level tomorrow. Watch 11,175 for a potential breakout and 11,025 for early signs of key weakness.

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Quantum Swing Trader - Profit Pulling Swing Trading Principles

The Linear Regression Indicator plots the trend of a security's price over time. That trend is determined by calculating a Linear Regression Trendline using the least squares method. This ensures the minimum distance between the data points and a Linear Regression Trendline.

Unlike the straight Linear Regression Trendline, the Linear Regression indicator plots the ending values of multiple Linear Regression trendlines. Any point along the Linear Regression Indicator will be equal to the ending value of a Linear Regression Trendline, but the result looks more like a Moving Average...

- Dow winds up throughout session, rallies big late in the afternoon. The index wound up within a tight triangle range and eventually got a huge upside break that led to a steady rally to the Close, enough for a nice 53 point gain. Continue to watch the major upper trend line for medium term direction.

- The NASDAQ and S&P each rallied solidly to the Close to end the day in bullish fashion. If the indexes can remain above near-term support, we could see big strength ahead. Otherwise, a violation of these support levels will open the door to more selling.

Summary

The Dow closed the day with a solid rally after winding up throughout the session today. The index is now testing a major upper trend line that could tell the story for the next key medium term move in this index. Watch 11,150 and 11,000 for big directional movement.

The Directional Momentum Indicator is an attempt to quantify the trending or directional behavior of a market. It helps identify trends and whether or not price is moving quickly enough to be worth a long or short play.

+DI and -DI are components in the calculation of the ADX (Average Directional Movement) and ADXR (Directional Movement Rating) indicators. Perhaps the best way to think of the +DI is as a measure of the percentage of upwards movement. When the +DI value is greater than the -DI, a long position is indicated...

- Dow breaks consolidation to upside, rallies to the Close. The index rallied through 11,000 to 11,050 and is now holding just beneath a major upper trend line that will be key to watch for medium term direction.

- The NASDAQ and S&P each blasted off right from the Open today and continue to maintain bullish momentum. Watch lower trend lines for early signs of weakness.

Summary

The Dow closed the day near the highs of the session after rocketing out of the tight consolidation at the Open. The index is now approaching a major upper trend line that could be a huge influence to future direction. Watch it closely.

TEase of Movement Indicator was designed to illustrate the relationship between volume and price change. It shows how much volume is required to move prices.

High Ease of Movement values occur when prices are moving upward with light volume. Low values occur when prices are moving downward on light volume. If prices are not moving or if heavy volume is required to move prices then the indicator will read near zero.

A buy signal is produced when it crosses above zero (an indication that prices are more easily moving upward ). A sell signal is produced when the indicator crosses below zero (prices are moving downward more easily)...

- Dow extends decline, forms continuation pattern at lows. The index closed the day at the lows of the session with a 60 point loss and is now winding up for the next move.

- The NASDAQ and S&P each traded mostly sideways today after selling off in the opening minutes. Look for continued range movement until a clear and solid breakout occurs.

Summary

The Dow closed the near the lows of the session within the boundaries of a tight consolidation. This consolidation could lead to the next big test of critical support or it will make for another run at highs. Either way, this is the range to watch.