Showing posts with the label investing

Crypto Market Barometer released on

  Crypto Market Barometer released Today I published my simple but easy-to-read Crypto Market Barometer on our website Click here to get to the new Crypto Market Barometer. This is how the main chart looks like: What's behind the new Crypto Market Barometer We believe that one simple but effective method of gauging the health of a market is to look at how many of the most important individual assets trade above their important SMAs. Since SMAs are a proven way of determining the current trend, a market must be in an uptrend, if more than 50% of its biggest assets trade above their long-term SMAs. If they trade below their long-term SMAs, they must be in a downtrend. For the crypto market, I decided to check the popular BitPanda Crypto Index BCI10. It contains the 10 biggest crypto currencies by market capitalization, and frankly, by only looking at BitCoin, Ethereum, Polkadot and maybe Binance, we already have most of the market covered (again, in

State of Dow Jones - Calendar Week 42 2021

Hi folks! Welcome to another part of the blog post series State of Dow Jones for Calendar Week 42 2021 Part three already. This week has been incredible for those that invested into the Dow Jones. But how healthy is the current price development and what's the outlook?   Technical Chart for Dow Jones Every "State of Dow Jones" blog post should start with the technical chart, so here we go (created on   The Dow Jones managed to trade above its SMA 20 and also overcame the turquoise trendline / flag which happened to be at the 35 000 resistance level, which became a support shortly afterwards. The index only knew one direction during this week - upwards. The current price movement stopped a few points above the old all-time high and within the upper Envelope band. On the daily time frame, the index now looks slightly overheated. For now, the old all-time high around 35 631 holds, but it wouldn't be a big surprise if there was a small pull-back before t

Envelopes Indicator now available for all stock indices

Envelopes Indicator now available for all stock indices About the Envelopes indicator and how we implemented it The Envelopes indicator is a very simple, but powerful way to determine if an index is overheated or oversold (if someone knows the correct opposite of the word "overheated" please let me know..). Basically, the Envelopes are shifted copies of an SMA. On we use the SMA20, which is a fast and short-term simple moving average, and then add or subtract a few percentage points (our formula is a bit more complex, but you get the point). This provides two lines - the lower and the upper Envelope line, with each of them having a fixed distance to the middle, the SMA20. From our experience we know that the price tends to oscillate between the upper and the lower Envelope lines. Those lines act as a first line of support or resistance, maybe let's call them "soft resistance and support". Usually, the price will bounce at this li