Slope of Hope Blog Posts

Slope initially began as a blog, so this is where most of the website’s content resides. Here we have tens of thousands of posts dating back over a decade. These are listed in reverse chronological order. Click on any category icon below to see posts tagged with that particular subject, or click on a word in the category cloud on the right side of the screen for more specific choices.

A Big Decision To Make Here

By -

This is my first post on equities this month. My apologies for that. I’ve been getting my boys back to university. They have now both gone and summer has officially ended in my house.

In my last post I was looking at the bearish track record for Septembers in presidential election years, and we saw a sharp decline shortly after at the start of September.

I have still been doing my premarket videos every day as normal at my chartingthemarkets substack and, after that low was made I said there was a strong case for a retest of the all time highs on SPX and Dow next, at which point there would be a lovely topping setup on both, and a fail area inflection point that could deliver a big decline from there into October. Both of those all time highs have now been retested, and that really nice topping setup has formed. We are waiting for the decision on whether this will now break down within the setup or break up out of it.

(more…)

Unity’s Top at the Bottom

By -

Normally, when one is hunting for intriguing short-sale setups, he might think the way to go is to look for something that’s really expensive and near lifetime highs. I’d like to offer a fresh example of something that doesn’t fit this mold.

Here is Unity Software (symbol U) which, as you can see by the tint, is sporting a remarkably well-formed head and shoulders pattern. It has all the characteristics you’d want to see: a well-defined shape, an easily identified neckline, a sharp drop, and a full retracement. This looks just a great place to short, or at least watch very closely to enter a bearish position.

(more…)

King of the Wedgies

By -

The broker/dealer index continues to be an absolute honey of a pattern. I’m not trading this directly (nor am I acquainted with any way to do so), but I do think the clarity of this bearish setup makes the $XBD a steadfast ally of the bears. So long as it remains below that broken wedge – – and, ideally, slips hard away from its completed apex – – I think this will help resume weakness in the overall market very soon.