A bonus Tuesday Chaikin Power User meeting.  A quick look at the pre-market action, then we turn to our CHaikin Checklist portfolio.  A lot of entry signals today, mostly banks and semi conductor names.  We skipped most, only because we have plenty of each.  However, we did find a few new trades to add to our forward test of the Chaikin Checklist. 

If you missed Macro- Monday, you can always view our weekly Macro charts on thour Market Conditions page HERE

Heading into Monday under mostly bullish market conditions--with price grinding higher over the past several weeks -- the SPY is flashing an interesting contrarian indicator.  While price on the US large cap index has marched to successive higher highs and higher lows the OB/OS oscillator is diverging from price, with a lower recent high and now low.  The lower volatility band has crossed above the long term Chaikin trend too.  These patterns have preceded pullbacks of a few percentage points to multi-month corrections in the past. The market may be vulnerable to disappointing rumors and headlines about trade, as the Chaikin OB/OS oscillator on TLT has likewise diverged from lower bond prices setting up a possible flight to safety rally in the face of a risk off stock move. The magnitude of money flow into stocks relegates the likelihood of a repeat of last year's Christmas crash to small odds as evidenced by the market's bookie VIX index.  

Our Relative Strength Wednesday analysis showed some moves in the bottom fourth of SPY sectors and continued strength in the top half.  We also added to our ongoing forward test of the Chaikin Checklist. 

The market remains bullish.  However, we are watching the small caps, as they remain weaker than the other indices. Will small caps simply lag, or will they lead the way lower?  It seems Santa Claus has come to town, but will new tariffs, set to take affect December 15th cut his visit short?   Watch today's video to watch our complete Macro-Monday analysis, including Mike's in depth look at sectors and sub-sectors. 

See all of our Macro-Monday charts HERE

It's Relative Strength Wednesday! The recession trade appears to have unwound quick!   The defensives that were holding the market up when the "R" word was being thrown around earlier this year have now retreated to the the bottom of our Relative Strength Wednesday analysis. Money flow has snuck back in to the SPY and cyclicals, however price on several of the SPY sector ETFs has moved significantly away from the 200 day MA, which makes us cautious, if not nervous.  Watch today's video to see how we use Chaikin Analytics to track strength in the market.

Todays Macro-Monday continues to show a rebound in the cyclicals.  Also, a little life in a sector that has been dead for all of 2019.  Watch todays video to see how we use Chaikin Analytics to to form our macro opinion.  Also, we add a trade to our forward test of the Chaikin Checklist.  

View all of our Macro -Monday charts HERE