Sharper Blog

The Trading Blog for Technical Traders

Market Trend - The First Week of 2017

The market indices had another positive day on Wall Street. After a five-wave decline developing the last two weeks of 2016, the market has started the new year with lots of exuberance. Yesterday market opened with great strength printing a doji. Today, the bulls followed up by breaking above...

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Trading the Technicals - GEL

Genesis Energy (GEL). Genesis Energy (GEL) price has recently broke resistance above major moving averages (200SMA, 50SMA, 21SMA) as well as a key descending resistance trend line. We noticed the formation of a green hammer and two days of lower shadows touching the moving averages and...

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Significance of Book Value in Stock Picking

Book Value is a valuation metric used to value an enterprise. It is the value of all the assets (current and non current) arrived at by deducting all the current and non current liabilities, depreciation, amortization and also the intangible assets (patents, goodwill etc.). Calculating the...

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Trading the Technicals - NBR

Nabors Industries Inc. (NBR). With price breaking out of an ascending triangle, this chart has the potential for a five-wave bullish move. Price recently pulled back and bounce off the bottom of a trend channel. Moving average are also supporting the move. We are seeing price trending...

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Best Candlestick Pattern to Trade

Candlestick charts give the visual illustration of the decision making process of major market players and highlights the emotions influencing their decisions. The visual illustration provided by candlestick charts give candlestick traders the ability to see when the overall market...

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Trading the Technicals - VLO

Valero Energy (VLO). Following the development of this stock, price has reached the top the channel at 66.20 and started a 6-day pullback. After finding technical support at the bottom of the trend channel as well as the 34EMA, price printed a sort of bullish harami, which was the ...

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Trading the Technicals - LXRX (Short)

Lexicon Pharmaceuticals (LXRX). This stock has been in uptrend for the past year and a half. Following a 2.50% gap up in the middle of September 2016, price traded higher, broke upper resistance trend line but failed to remain above it. The result was a brief pullback, a bounce to...

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Trading the Technicals - WLL

Whiting Petroleum Corp (WLL). We have been following this stock for the past month. 10 days ago we entered a trade when was trading around 9.30. After a series of uptrends and pullbacks, today price experience a 30% gain in just one day. Watch this video for...

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Reading Candlestick Charts

In order to accurately read trading charts, you need the opening price, the closing price and the high and low of the day (or whichever timeframe you are using). Candlestick charts are similar to the bar charts as they both display the complete trading range by showing the four important...

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Overbought and Oversold Conditions

One our students recently asked us this question: "You use the terms over bought and over sold at times. What do they mean? and how can they help to find a profitable chart?" Oversold simply means that the stock price has reached a TEMPORARY bottom and buyer are most likely ready to come in and...

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