General Comments
I thought it might be useful, since most markets are about as exciting as drying paint right now, to take a few steps back and consider some basic tools that most technical traders use. Today, I'm drawing from an early draft of my book, and sharing a few
Trading tools
An in-depth look at the intraday market stats page on this blog, with some ideas for using these stats to enter and manage trades. This is not just a tool for intraday traders, though active traders will find valuable tools here. Longer-term traders can identify good entry spots, analysts can
Trading tools
One of the complaints leveled against technical analysis is that tools are primarily visual and subjective, rather than being true analytical tools. There certainly is some truth to these complaints (and I have often been a critic of traditional technical analysis), but the best technicians work toward consistency and logic
Chart of the Day
[dc]R[/dc]elative strength is an important trading concept, and there are a lot of ways to define, monitor, and trade these relationships. Looking at the sector relative strength within the US stock market gives a deeper understanding of money flows and psychological support for a bigger rally. One