The Technical View: Market Capitulation… Are we there yet?

eyes-730745_1920The word capitulation has seen its popularity rise lately and for good reason. Investor’s anxiousness with the recent market sell-off has skyrocketed, raising the 1 million dollar question: Have we reached a stage of capitulation? Read more

Alphabet Soup

google-485611_640.jpgGoogle’s move to create a holding company (Alphabet Inc.) and split its core operations from its science experiments was hailed by investors who sent the stock up almost 7% following the announcement. Read more


Akamai_Technologies,_Inc._LogoAkamai is one of largest content delivery networks, which use specialised servers to distribute data to Internet users quickly. The networks are considered a key part of the infrastructure needed to build online video services for providers. Read more

The Technical View: US Stock Market on Shaky Ground

dominoes-21252_640Do not get excited. Yesterday’s initial market rally fizzled, as sellers were able to push back prices and the market finished very close to their opening levels. Even worse, this is the third day in a row that the US Equity Market closed below resistance level (neckline) and the second consecutive day in which it closed below the 200-day moving average (DMA). Read more

Twitter CEO quits – now what

dick_costolo___dickc____TwitterDick Costolo (COS-tow-low as per the company website), Twitter’s embattled CEO has quit. The street applauded this mainly because Wall Street was looking at Twitter’s relatively slow growth and in typical fashion, blamed the CEO for not matching Facebook’s astronomical growth. Read more

The Technical View: Banks are back in the game

gold-163519_640Banks have had a bit of a roller coaster ride over the past one and a half years, prompting some investors to remain on the sidelines. Read more

Note Regarding Netflix

netIt appears that Netflix is in discussions with Jack Ma’s Wasu Media to enter the Chinese market. This market is poised to triple to around 90B yuan in the next three years. Needless to say, this will immensely enhance Netflix’s footprint and boost business dramatically. Read more

The Technical View: It’s all about oil again

refineryOil is back and is back strong. After an almost 60% decline in only a few months, oil seems to have stabilized and might have finally found a bottom. This is excellent news for bottom fishers who have been speculating about this event for several months now. Finding a bottom however is not an easy task. Remember we’re not trying to buy at the absolute lowest price as this is impossible. Instead, we want to buy after a bottom reversal pattern has been completed and then hold on as the security moves higher. The following chart shows one of the most common reversal patterns taking shape in the price of oil – the double bottom formation. Read more

Note on Twitter

twitterOnce again, analysts are rushing to change their opinion and rating on Twitter, following its latest quarterly results. Most are slashing targets by 20% or more, with the consensus now being around $44. The stock is under attack and is currently trading below $40. This is good news for investors that have been patiently waiting on the sidelines. Read more

The Technical View: Some interest-sensitive stocks do not look so interesting.

stampThe good days for Utilities and Real Estate Investment Trusts (REITs) in the US markets might have come to an end. In 2014, driven primarily by lower interest rates and investors’ thirst for higher yields, both sectors outperformed the broader market (S&P 500) by more than 15%. Read more