Need to begin trading on larger time frames. This eliminates any nuisance of emotion affecting analysis, and time and again your analysis has been proven to be sound. Also, all of your training, through TAST has been focused on larger time frame patterns. If the method of your schooling has been on daily charts & larger time frames as it has with TAST you must adhere to what you know otherwise the knowledge is not being employed as effectively as it could be.
According to Druckenmiller, the best market internals he knows, the best economist he knows rather, is the ‘inside of the market’ which he says consists of ‘front end cyclicals, auto stocks, building stocks, banks, the Russell 2000 and retail equities.’
Banks | FTXO, IAT | When it comes to banks, I’m charting some of the larger ETFs of Banks (FTXO & IAT), both of them seem to be giving ominous signals, both forming reasonably convincing head & shoulder patterns, with volume adhering to TAST standards.
Building Stocks | ITB, XHB | ITB seems to be forming a broadening type pattern & currently seeing diminishing volume on rally up to top trendline. If this trendline rejects, could confirm bearish thesis, & if 70 level is broken through, would be healthy confirmation of down trend. XHB has Moderate Volume divergence on current rally, but no abundantly clear sign of imminent downfall. Reaching near pinnacle of potential triangle, teasing the top, though on diminishing volume. To be determined.
Automotive Stocks | CARZ, VCAR | Hard to say. CARZ is only ETF. Creating watchlists now according to industries.
Russel 2000 | On uptrend now within range it’s been in all year. Could see rejection at upper range level, but if flag pattern plays out, likely break of 2310 possible. Significant break would be above 2350.
Retail | XRT, IBUY | XRT doesn’t seem immediately foreboding, wide symmetrical triangle taking shape, but volume not diminishing much. IBUY seems to be consolidation in descending triangle, with bottom levels at 120 & 110.
Charting Journal by stock
Inside of the Stock Market
Yield Curve
Credit