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I am an equity option and futures trader. I have been trading the markets since 1979. More about me on my website
My blog:
Beyond the Chart
My book:
7 Keys to Successful Option Trading
  • Calm Before | Stock Market Today 3 comments
    Mar 27, 2014 9:28 PM | about stocks: FB, TWTR, P

    (click to enlarge)So after the negative close yesterday the market opened practically unchanged but then did sell off in a hurry, down about 75 pts on the Dow at one point. It rallied back to close only down 4 pts on the Dow and -3.5 pts on the S&P 500. The Nasdaq and Russell 2000 continue weaker than the Dow, S&P 500 (SPX) and NYSE Composite (NYA). Calm before the storm?

    14 days

    You could almost make the case that the Dow, SPX and NYA have just gone sideways over the last 8 days. One thing about the Dow, that I didn't mention in the video but noticed afterward, it was 14 days after the peak day of Dec. 31, before the Dow turned down dramatically.

    Today was day 14 after the March 7th peak that I label minor wave 2 on the Dow. If the pattern holds, tomorrow will start a more intensified sell-off. So maybe we are truly experiencing a calm before the storm.

    Calm Before the Storm

    Another factor I did discuss in the video was the low reading on ADX. The Dow has a reading of 13 and the SPX has a reading of 12. Typically very low readings like this, signal that a big move may be coming. The last time we had readings like this was December 2012. It doesn't tell you the direction of the move, just that energy is building up. A calm before the storm.

    In Focus

    Tonight we focus on 3 social media stocks: Facebook, Pandora and Twitter.

    Now on to tonight's video. Remember tweet this, like it, share it and most of all subscribe by completing the small form on the right sidebar (website homepage)and become a member of the tribe!

    Stocks: FB, TWTR, P
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  • 6269751
    , contributor
    Comments (1544) | Send Message
    You didn't follow through on "Tonight we focus on 3 social media stocks: Facebook, Pandora and Twitter." The link points to your introduction and among your videos, did not find the promised topic.
    29 Mar 2014, 09:32 PM Reply Like
  • JoeHentges
    , contributor
    Comments (52) | Send Message
    Author’s reply » The video link takes you to my YouTube channel. If you are a first time visitor the welcome video plays. Simply look for the video that starts with "Calm Before".
    It is currently the 4th one listed in recently uploaded videos. If I could figure out how to simply paste the html code in the post like I do on my Wordpress website, I would embed the video. But Seeking Alpha deosn't seem to allow that.
    30 Mar 2014, 06:40 PM Reply Like
  • 6269751
    , contributor
    Comments (1544) | Send Message
    Dude not to critique but you already have a link, just use the link to the correct video, instead of your home page. It would be: That said I have placed my bets(2) on Apr14 45 Put, because TWTR is trading below its 50-day moving average. I appreciate your work in any case.
    31 Mar 2014, 11:25 AM Reply Like
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