Chart Chat for August 23rd, 2015

Below is the Chart Chat video for August 23th. This session was an hour in length and we covered Indexes including International,? Currencies, Energies, Precious Metals and a Q&A session.

Jack and I will be starting subscriptions in September. Included will be a chart service which will include a basic package of instruments and other more specific instrument groups. Look for our post this week for more information,

Please make sure the HD button is on and you maximize the screen for best viewing. The HD version should be done 20 minutes after this post goes up. Until then, this is the SD version. You may wish to wait for the HD version for best viewing.

A few comments for this week:

  1. We are expecting a bear market type rally given we are punched through the 3rd standard deviation BB
  2. First we may see lower prices on the open and overnight. Worst case is SPX 41’s, could see 51’s more likely. Break this area and all bets are off.
  3. Bounce in the S&P’s later this week likely will see 2000 which is a psychological level and may be held in there, break that area we may see the 2nd standard deviation BB before seeing lower prices around 2022.
  4. Key to the S&P is the bounce in DX – watch the 94 area, if we see 94 penetrated in DX, we open 90’s and SPX’s will follow. Longer term we break 90 in DX, could see a much larger correction. Low odds at this point but DX an CL are key to follow during this correction in the indexes.
  5. I have posted a few charts below . .

Good Luck this week. 🙂

Click on charts below to enlarge:

SPX 500 1 hr bars

DAX Daily bars

DX 4 hr bars

Euro 4 hr bars

Gold 4 hr bars

About the Author

Stan Nabozny
Stan is a 20 year retail trading veteran and Co-Founder of The Art of Chart. His specialties include using futures and options to trade Energies, Precious Metals, Equities, Currencies, Bonds, Softs, Grains and other commodities. Stan believes that Risk Management and Trader Psychology are more important that technical analysis and spends his time teaching and coaching other traders on these topics . Stan uses various trading systems and technical analysis approaches that integrate time and price in his work. See his latest articles here and www.huffingtonpost.com.

5 thoughts on “Chart Chat for August 23rd, 2015

  1. d333gs - August 24, 2015 at 12:36 pm

    Anyone out there? Will we get a FLAT W4 or is this a SHARP with C about to start?

  2. mike7x - August 24, 2015 at 2:02 am

    Had to leave Chart Chat early. Had something scheduled prior to time change. Just reviewing the video. Currently S&P futures at ~1924. Not sure if SPX will open there or if Stan’s comment “All bets are off” will be in play now.

    Otherwise, the question seems to be will the SPX have that bounce to ~2022 and then go lower to at least ~1950’s, 1920’s (where futes are now), or 1800’s?

    Really good video Stan & Jack! Thanks. I hope you can clear things up, maybe Monday afternoon. The futures drop seems like a (unwelcome) surprise. Looks like a wild week ahead. Good luck all!

    • mike7x - August 24, 2015 at 2:05 am

      Follow-up. If a bounce to SPX 2020’s occurs I guess it might be on turn-around Tuesday?

  3. Ricardo Ortega - August 23, 2015 at 10:32 pm

    Stan, Is not clear for me how you identify a trend day. You use the advance/decline ratio? I hear that at todays Q&A session but I can’t find that question at the recorded session you post. Thank you.

    • stannabozny - August 24, 2015 at 7:22 am

      Ricardo – combination of $adspd and up volume or down volume as a % of total volume – ad > 300 potential for tend is there >400 trend is likely especially when confirmed by volume so 90% up or down volume a trend day – hard to turn but 80% or greater high odds – below 80 a two sided trade