ETF Range Projections

Fear of death increases in exact proportion to increase in wealth.

-Ernest Hemingway

For more detailed economic data click “Today’s Calendar” in the navigation bar to the left.

Overseas markets are ending the week on a very positive note: Nikkei 225 +1.22%, Hang Seng +2.08%, Shanghai +0.18%, DAX +0.60% and the FTSE +0.93%.

At about 7:25 AM ET, with no scheduled reports today the futures are following through on yesterday’s gains: DOW +65S&P +6, NAZ +11, Oil +$0.20 and Gold +7.90

trade safe and

have a great day!

Screen Week – New Multi-Year Highs

The theory behind this screen is quite simple, stocks making multi-year highs, which are many times also all time highs, have happy shareholders (understatement I would say). These happy shareholders do not want to sell, limiting the supply. Traders often short, attempting to pick a top which creates more buying power.

As an example let’s look at everyone’s favorite stock these days Apple. (click picture to enlarge)

In the monthly plot above you can see the first time a 5 year new high printed on this stock was in January of 2005 at about $35. You can tell from the chart when each new 5 year high printed and continued to print.

Remember that stocks are never too high for you to begin buying or too low to begin selling. - Jesse Livermore - Reminiscences of a Stock Operator. If you can remember back to 2005, I wonder how many of you thought $35 was too high?

Screen for Wednesday July 20, 2011:

Is there another AAPL lurking in that screen? Hmm!