A Daily Swing Trade

GOOG: Stock has been trading between the two converging trendlines of a symmetrical triangle pattern. The price action is nearing the apex of the triangle, which many traders view as a decrease in the validity of the pattern's signal...

INTU: Stock surged to new all-time highs with a series of bullish candles. Stock has since traded at the upper end of the bullish breakout, representing a consolidation and possible setup for further upside Look to go long at...

CRE: Tight lower channels such as this one are common in this market and here we see this stock starting to come out of channel now. Buy point is when the stock moves over the line...

SNDK: This stock could use a rest after a 50% move off its lows, but if the market wishes, this stock just might be on the move again. Next buy point is when the stock makes a move above the trendline at $60...

On Balance Volume (OBV) is a momentum indicator that relates volume to price change. Joseph Granville presented the idea that volume will precede price in his 1963 book, New Key to Stock Market Profits.

On Balance Volume keeps a running total of volume flowing into or out of a security. When the security closes higher than the previous close, all of the day's volume is considered up-volume. A close lower than the previous day's results in all of the day's volume considered down-volume. A rising OBV is defined as a sign of smart money flowing into a security. As the public then moves into the security, both the security and the OBV will surge ahead. If price movement precedes OBV movement, Granville calls this a "non-confirmation." Non-confirmations can occur at bull market tops, when the security rises before/without the OBV or at bear market bottoms when the security falls before/without the OBV...

Developed by Dr. Alexander Elder, the Force Index combines price movements and volume to measure the market. Unmodified Force Index results can be rather erratic, better results are achieved by smoothing with an moving average. A 2-day exponential moving average of the Force Index may be used to track the strength of buyers and sellers in the short term while a 13-day exponential moving average better measures the strength of intermediate cycles.

If the Force Index is above zero Elder would say, "the bulls are in control." A negative Force Index would then signal that "the bears are in control." If the Index remains close to zero neither side has control and no strong trends exist.

The greater the distance from zero, the stronger the signal. If the Force Index flattens out it indicates that either volumes are falling or large volumes have failed to significantly move prices. Either situation is likely to precede a reversal.
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From a technical standpoint, we have a new up trend. A normal up trend after such a strong down trend, like the one we had in the first part of the year, would only bring us up to the 1590 level. We did stop there, for a while, as expected, but then broke the resistance. This puts us in strange territory, the next resistance level is 1677. Basically, that means that the whole down trend is going to be undone by a new up trend...

QQQQ: We've mentioned that an interesting inverse head and shoulders pattern had formed on the chart of the QQQQ. The past week's impressive gains were enough to send the price back above the neckline and we did indeed see a test of the 200 DMA like we were expecting...

A trading range is basically a horizontal channel in which a security moves from the high and low of the channel for an extended amount of time. Obviously, the upper level of the range can be considered resistance and the lower level represents support. Trading within a range is possible, but it's the breakout from the range that provides the best opportunities.