Note: If you are new to CUE charts, you may learn about ALL the CUE Templates and Indicators mentioned here in our Education Center.
What is new in the latest upcoming release of CUE Trading System?
Quite a few changes actually. Having one singular theme in common. To making investing more easy and unambiguous. All using color coding and some very fine programming under the hood.
When are these enhancements available? For CUE traders who procured the system from Superior Profit Store, the changes will be available from Superior Profit Client Download page starting from Monday 20th June 2016. For CUE System procured through other channels, clients would be notified by respective channels as soon as they are available for download.
Feel free to Contact Us for any query you might have on these enhancements.
Here is a list of the changes:
We started the post with What Is New.
It is now time to WIN. And keep winning.
While our developers were working on these new enhancements, our traders were conducing the marathon four hour session of Superior Profit University Batch 1 Session 5 (final session). In that session we had gone through many live charts. Including some that looked interesting through Superior Profit Analysis.
We had mentioned Oil Services Industry in that class. A group that has languished while Oil has recovered considerably from its low point.
Why don't we then look at a Oil Services company to hone our skill with the latest CUE Charts?
Below is the CUE At A Glance view of RIG, Transocean - a large oil services company in USA Market.
Weekly Backdrop Bullish. Daily Traffic Bullish.
Does it look like a Go With Flow Trend Following Long Opportunity for a stock that is coming out of Pendulum Low in Weekly (Headwind is Cyan !). The stock is supported by Memory Support in both Weekly and Daily charts. With next Memory Resistance in Daily chart more than 25% of stock move away. And the Weekly beginning of up move is preceded by by a Headwind Bullish force of 26th Feb 2016 - which, incidentally, caught the Absolute Low of RIG (how nice !). RIG is clearly out performing broad market (S&P500) as seen from Relative Performance.
All that information gleaned from this single CUE At A Glance Template in minutes (in fact Superior Profit Traders after some practice can read it in less than a minute ... easily).
You may apply the other latest CUE charts (Decision, Clear Chart, Option Trading) on this symbol to decide if you have a winning opportunity here.
You will probably find that the usual easy and unambiguous way of making investment decisions using CUE charts got a bit easier with these carefully crafted enhancements.
Superior Profit Investors are alert to what is happening in the Market Internals to take advantage of opportunities in the outside: in terms of Stock investing.
Exactly one month ago, I had shared the Market Internals of USA Market that was Bearish in connotation. You may study that article here. In that study we had used Traffic Light to color the Candles. You may study more about Traffic Light and other Superior Profit indicators etc. in our Education Center Books.
Today, on 13th June' 16- prior to Market Open, I looked at Market Internal again. And the Bearishness continues. Here is today's NASDAQ and NYSE Market Internals study: today I used Flow color to paint the Candles. You may learn about Flow indicator also from our Education Center Books.
Note that this study is using Weekly interval. Which is what Superior Profit Investors use for Broad Market Internals. On shorter time frame, such study may provide no clear information of use.
If we look back four bars ago (which is four weeks ago - about the time the last Internal study was presented in an eariler Blog), we see that both NYSE (right side chart) and NASDAQ (left side chart) actually recovered from that level. To novice eyes looking only at overall market (say, looking at SPY and QQQ ETFs) market may seem to be strengthening. Not to our Superior Profit Investors who are aware of Market Internals.
Let us study this Internals chart in some detail - following the pointed areas in the chart.
(1) NYSE Index went to the previous top and hit the Memory Resistance and came down with a Bearish shape Candle (with long Upper Tail). The top of the Tail pierced the Memory line - probably stopping out many Shorts. And pulling in new Longs who look for Breakout trades (in Superior Profit Way, we are not gaga about Breakout trades if you follow us regularly ...). Only to frustrate the Longs with the Bearish Candle at end of the week.
(2) NASDAQ Index was weaker in price chart than NYSE. It could not even reach the Resistance Memory Line. And closed the week with a Bearish shape Candle (solid body Candle).
(3) NYSE made more 52 Week Highs relative to the last peak. Which is Bullish. And this again probably mislead many investors. Fooling them into thinking that market is going to rally. The 52 Week Highs were probably in strong stocks that were making new Highs were big players were selling other stocks. A well known ploy of big players to mislead small investors. Why we think that Market was not actually strong? We see that from subsequent Internals study.
(4) NASDAQ was not making a new peak of 52 Week Highs. Here it was sideways. Again showing a weak NASDAQ relative to NYSE.
(5) In terms of Stocks Advancing vs. Stocks Declining, NYSE was clearly Bearish. Declining stocks made Deeper Troughs than Advancing Stocks could make Higher Peaks.
(6) NASDAQ Advance Decline showed the same picture as NYSE. Decliners outpaced Advancing stocks.
(7) NYSE Up vs Down Volume pained same Bearish story as NYSE Advancing Declining study. Bears were stronger - making Deeper Troughs.
(8) NASDAQ Up Down Volume shared same characteristics as NYSE Up Down Volume. Indicating Bearishness.
The above point by point analysis - which takes only few minutes for a Superior Profit Trader, reveals the broader picture.
Between the four studies each of NYSE and NASDAQ that we perused: Indices Price Move, 52 Week High Low, Advancing Declining Issues and Up Down Volume, only 52 High Low of NYSE is of Bullish implication. All the other 7 studies are Bearish. Giving rise to the overall Bearish conclusion on Broad Markets.
How to use this information? It could be used in many ways by Superior Profit Investors:
A) One could look to tighten Stop on existing Long positions - specially those instruments that move in tandem with Broad Market. Or may exit those positions and book profit. At least partial profit may be booked ... to protect profit. One of our Superior Profit Traders had booked quick profit in a recent Mylan trade shared in Traders Community - not holding on to the trade for longer.
B) One could look for Short Opportunities. Using CUE Sonar (Explorer in Metastock) and CUE Charts to look for Trend Reversal / Top Catching investments ... you may look at recent analysis of Facebook in our Traders Community for one such potential trade idea.
C) One could look for instruments that were not correlated with Market. Which might have been languishing while Broad Market was rallying for last year and more ... And look for Long opportunity in those. You may look at recent analysis of Natural Gas to see how such an investment could be identified.
Other possibilities exist. Using Stocks or Options or Futures etc. as per the liking of a particular investor.
And Superior Profit Investors make profitable decisions using such analysis every time. Confidently.
Citizen of Main Street.