A thread created for the TA of charts on the LSE markets. (aim and plus included)
Beginners and advanced wellcome. Long or short, just post your views and lets
have some positive discussion. FIRE AWAY.

NB, UK indicies and sector charts plus FX can also to be included in posters analysis.

Money am instructions for posting a chart..http://www.moneyam.com/help/?page=charts

Kipper System 1 http://t.co/heOgs9b

nb, you may have to log in to get access to some of the links here below. Every one is free.


DAILY MORNING CHARLES STANLEY Traders Bulletin

http://www.charles-stanley.co.uk/traders-bulletin

Central Research Morning Report,

http://t.co/BTw64ZxW5e


RESOURCES

http://blog.tradersdaytrading.com/

http://stockcharts.com/school/doku.php?id=chart_school

http://www.cantos.com/masterclass

http://www.onlinetradingconcepts.com/TechnicalAnalysis/ZigZag.html

http://bigcharts.marketwatch.com/http://www.stockmarket-coach.com/index.html

http://www.trade2win.com/knowledge/equities/

http://www.babypips.com/school


CHART SCREENERS

http://www.iii.co.uk/spreadbetting/type=technical

http://www.barchart.com

http://www.autochartist.com/

http://www.britishbulls.com/

Here's What's Behind the Stock Market Rally

Published: Wednesday, 8 May 2013 | 4:02 PM ET By: Bob Pisani
CNBC "On-Air Stocks" Editor

Getty Images Every day, I am queried (assaulted, in some cases) by incredulous traders about this rally.

"This is ridiculous, Pisani!," they say. "It makes no sense. You can't possibly think you could explain this."

Well, I think I can. There is a "stew" of ingredients that is creating a squeeze on stocks. Here are the components:

Massive liquidity, +
Search for yield (higher demand for stocks), +
Modestly higher (record) earnings, +
Heavy stock buybacks (constricting supply), +
Heavy Fed bond buying (constricting supply), =
= A stock squeeze!



That's the way I understand it. Is it that hard to figure out? You're throwing massive amounts of money at the market, getting modest earnings growth, creating higher demand while constricting supply. This is not like we're trying to figure out the origin of the universe. Really.

I'm not the only person to point this out; Citi did a paper a while ago with the subtitle, "Too much money, not enough assets to buy." Exactly.

What about the role of earnings? I agree, this is not a "conventional" rally. It's not fueled by a multiple expansion--the S&P 500 is at about 15 times forward earnings, historically a normal valuation. There is only modest earnings growth (five percent or so), largely fueled by the effects of lower interest rates.

Because stocks are not overvalued, we can go higher with only modest earnings growth. But wait...the S&P up 14 percent when earnings growth is only five percent? That has happened many times in the past, but it can happen now because so many participants are being forced into stocks in a search for yield.

That's why so many companies are raising dividends. If you can't get top-line growth (only 1.4 percent this quarter) than you have to keep raising dividends. 180 companies in the S&P 500 have raised dividends this year.

So how long will this go on? I have no idea, but I think the Fed Reserve and other central banks are likely to remain accommodative for a lot longer than people think. I doubt anything will change in 2013.



—By CNBC's Bob Pisani

'Sell in May, Go Away' May No Longer Apply, Say Traders

Published: Wednesday, 8 May 2013 | 11:19 AM ET By: Patti Domm
CNBC Executive News Editor

A trader on the floor of the New York Stock Exchange wears a hat embroidered with 15,000 at the end of the trading day on May 7, 2013 in New York City.Now that the Dow has cracked 15,000, the argument for "sell in May" may be getting weaker.

"My next target is 15,200," said Paul LaRosa, technical strategist at Maxim Group. He said all key indices—the Dow, S&P 500, Nasdaq, Dow Transports, and Russell 2000—have hit new highs, confirming the bullish trend.


"It says it's healthy, and everyone's saying 'sell in May and go away.' It's not based on anything but seasonality and phrases. The signs point to: 'Any dip. you want to be buying,'" he said.
S&P Capital IQ chief equity strategist Samuel Stovall said when stocks start the year off strongly, as this one has, history shows that the May to October period sees a gain. That was not the case in the last three years when the stock market slumped, and many traders and strategists thought this year could be similar.

"In those years in which the S&P was up in both January and February, the market rose an average four percent from May through October, versus the more normal 1.2 percent for all years," he said. An exception was 2011, when the year started out strong, but stocks fell into a midyear slump, losing 19.4 percent, nearly entering bear market territory.

While there could still be a sell off, Stovall said it would probably be shallow. In 23 years, there have only been three years where there was not a decline greater than five percent. So far this year, the declines have been shallower than five percent. The S&P 500 is up 14 percent year-to-date.

"The odds are in an investors' favor that they should not sell in May, following a good start to the year," he said.


Investor sentiment has changed markedly since last Friday's April employment report showed 165,000 jobs created, and upward revisions for February and March. Since then, German industrial data has been better than expected and China's export data surprised on the upside.

Stocks have also been stoked by central bank activities around the globe. The Bank of Japan has a major asset buying program, while the European Central Bank cut rates last week and the Reserve Bank of Australia cut rates Tuesday. The Fed last week reaffirmed that it is continuing its zero rate policy and its $85 billion a month asset purchase program.

"We've had a bull market type advance since mid-November, but we've been in this since March of 2009. I don't think it's tattered," said Stovall. "I think maybe a lot of investors are gaining religion…the thing is they do it sporadically, meaning they don't do it all at once. Bull markets take the stairs, but bear markets take the elevator."

Gina Martin Adams, institutional equities strategist at Wells Fargo Securities, warns that this is the week where stocks have begun to fall apart in Mays past.
"It's a fascinating start to the month of May. At least so far, it's included a cyclical rotation into risker asset classes. In a lot of ways, it's a reverse of March and April, but I don't want to get too carried away," she said. Adams said the earnings outlook does not support a rising stock market, and she expects the market to ultimately recognize that.

Among the best performing sectors so far in May are industrials, consumer discretionary, energy, and tech, all sectors that do better in a global growth environment. The laggards this month include utilities, telecom, and health care, which include safe havens and dividend payers that have been the best performers of the year-to-date. Financials fall into both groups, among the year's top performers and also recent winner.

"It's still a very short time since the cyclicals have taken over, but if the market is posting nice advances and it's not led by the cyclicals that would make me feel it's an artificial advance," Stovall said. But the defensive sectors shouldn't be counted out, and they may still find support because they often are the best dividend payers and investors are looking for yield.

LaRosa said the rotation into cyclicals is a healthy sign. "This year, we're surging into May. You have to be nimble. The opportunities are different. You can buy the consumer products companies, they had great runs, but we're comfortable with technology names at this point. They have great risk/reward. You just can't chase those companies that have had terrific runs for the last five, six months. They are probably extended," he said.

He also likes some financial companies, such as asset managers.

"You want the financials to be involved. You have to have financials come in. What we're seeing is stronger profits but not as strong revenues so companies are squeezed," LaRosa said. "I think they're going to need a revenue rebound for profits to exceed expectations in the next year. The real key issue is can it continue and how much more can they cut with the revenue base they have," he said. If the stall out in revenues does not reverse in the next two quarters, stocks could run into trouble, he said.

Central Markets morning report.......

Central Research‏@centralmarkets135m
Morning Report from @centralmarkets1

..........http://ow.ly/kQVGx

Gone long here this morning , highly speculative but might produce + results.

ESUR - post 321 above, going well.

Sure is skinny as is AGA and TLPR.

Top chartists at work.....remember we get in first before all the crowd turns up.

Yes we go in and sniff where others dare'nt.

(who dares wins)

New Posters welcome, beginners, intermediates, and experienced all wanted to post your ideas etc etc.

No idea too small.

Your all welcome.

Break out, and with a bullish engulfing candle........

Ok, here's a few more charts to have a look over.

All seem to be up trending. INCH,BVS,NG. and CAL.

Here are the charts :

INCH :

">http://

BVS :


">http://

NG. :

">http://

CAL :

">http://

CAL looks a beut. Checking it fundys wise, cheers NAV.

Another recovery play?????

Gone long on HOME.

Stonker of a trading day, these base engulfing patterns are proving to be winners in the present market conditions.

Going to look out for some more.

Don't like the look of HOME but DART does look interesting.

Cheers gf and all those who contribute.

Cheers Dil.

CENTRAL MARKETS morning note........

http://www.instutrade.com/media/24529/morning-report-n.pdf