SignalWatch – SoD – 3.21.17

Wow. Well, today was fun now, wasn’t it? It has been awhile since we have experienced this bearish of a day, and things are beginning to feel a lot like a pullback. All of the indexes closed down for the day; the Dow fell 1.16%, the S&P lost 1.27% and the Nasdaq dropped 1.49%. While many have been clamoring for this drop, we’ll see if it has some staying power. But it should be noted, every market has had a pullback, and pullbacks ultimately create new buying opportunities. But, in light of the bearish surge, we are going to focus on three brand-new sell signals.

GMMA Strategy

We have a new bearish, reversal signal on QCOM.

QCOM got kicked in the teeth last January but it had been on the mend for the past few months. That is until today. QCOM fell 1.8% during the session after failing to move through resistance at $58.75. It also moved right through the bullish trendline it has recently formed. It also slid right past the 50 SMA and the monthly VWAP. We can also see the MACD bearish crossover has occurred and the MACD itself is about to enter

We can also see the MACD bearish crossover has occurred and the MACD itself is about to enter bearish territory. If QCOM manages to move through support at $56.35, it may be headed to a MAJOR support level at $52.00. Keep an eye on this one if bearishness persists folks.

The signal on QCOM was generated by the GMMA Strategy. It is derived off of the work of Daryl Guppy. Guppy is well-known for developing the Guppy Multiple Moving Average trading method. The Guppy Count Back Line (CBL), offers a method for finding entries, calculating the maximum risk of the trade, and establishes profit and protection conditions.

The Guppy method is based on counting back from an established low or pivot point to establish a new entry. After the pivot has been found, the system counts back three highs for long signals or three lows for shorts. An entry is signaled when price closes beyond the CBL. For more information, check out the PDF.

ARM3 R3STK Patterns(Shorts)

Heads up, COF could be in for a big-time correction.

We can thank the financial sector for today’s big drop, so it is only fitting that one of them is represented here today. COF crashed through support at $86 and is picking up steam. Volume is on the rise, and as more people bail out of their positions due to increased fear, COF will continue to decline. It really looks as if support just above $80 will be tested shortly. If that level is broken, holy smokes folks, we may be on the way down to the 200 SMA below $80.

The strategy that fired off this signal was a strategy that can be found within our ARM3 strategy. The ARM (Adaptive Reasoning Model) technology has been honed for close to 20 years.  The ARM is based on a proprietary Genetic Algorithm process made in-house. ARM3 uses advances in Artificial Intelligence and takes advantage of faster processors, and enhances our Neural Network and Genetic Algorithm. To learn more about ARM3, check out the Nirvana Club.

 OmniTrader Breakout Strategy

We have a new bearish, breakout signal on AXP.

AXP has been trending to the upside over the past several months but it is starting to look like a real correction could be on the way for AXP. It followed right along with the rest of the financial sector, falling hard and losing 1.71% by session’s close. In the process of its decline today, it moved through the 50 SMA and support at $78 without so much as a hiccup. Its next support level sits down at $76 and could be coming quick. Keep an eye on this one as well.

This signal was fired off by the Base Breakout Strategy found in OmniTrader 2017.  OmniTrader 2017 comes with several great trading strategies, including strategies for finding explosive breakouts. The strategies are fired by the Strategy Engine which runs extraordinarily fast, which means you can scan for opportunities across thousands of stocks.

So, to wrap it all up, it was a bit of a stinker of a day unless you are a short-seller. Tomorrow will be very telling as if the whether this is the beginning of a real pullback or if this is just a little blip. We will be keeping a close watch on QCOM, COF and AXP.

Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable.