public

Technically Speaking, August 2020

The Dog Days are upon us, yet the animal ruling the roost is the bull. That is, if you are in the stock market and most of the metals. Not so much if you own U.S. dollars. With the world still upside down due to the pandemic, whole swaths of the economy are likely to change; that means rethinking portfolio allocations. But you don’t need me to tell you about the new world, as we are all living in it. I do, however, have confidence that this time next year things will be mostly back to normal. We’ll still probably look at each other as if everyone has got a secret case of the cooties, which, by the way, is a real word in the dictionary. I had no idea.  But that, too, will pass with time. In this month’s edition, we interview Jeanette Schwarz Young, options trader and educator extraordinaire. The feature article by a recent new member, John Letizia, looks at the FAANG stocks with a new spin. For most of them, the big gains have happened after hours, but

To view this content you must be an active member of the CMT Association.
Not a member? Join the CMT Association and unlock access to hundreds of hours of written and video technical analysis content, including the Journal of Technical Analysis and the Video Archives. Learn more about Membership here.

What's Inside...

President’s Letter

by Scott G. Richter, CMT, CFA, CHP

Attention all future CMT Charterholders, Since you probably have been busy dealing with the current world situation while you still serve your clients, you might not be aware of what’s going on...

Has FAANG+ Flipped from Nocturnality?

by John Letizia II, CPA

For the last several years, the technology sector has been all the rage, garnering a significant amount of airtime on the business channels. Commentary typically revolves around a “handful” of...

New York Chapter Meeting Summary

by Tom Bruni, CMT

On Thursday, July 23rd, 2020, the New York Chapter hosted Andrew Thrasher, CMT, for a virtual meeting. Andrew is a Portfolio Manager for Financial Enhancement Group, LLC, Founder of Thrasher...

Minneapolis July Chapter Meeting

by Jamie Keelin, MBA, CMT

Featured speaker Sam Stovall Research presented “The Rules Rule!” to the Minneapolis chapter on July 21 via a webcast. Sam is the Chief Investment Strategist at CFRA and is the author of...

Member Interview

by Jeanette Schwarz Young CMT, CFP, CFTe, MS

Please tell us what you do professionally. Currently, I am a trader, a trading coach, and writer. I have been a CMT member since 1995 and was the first CMT Program Director. I was also a two-term...

Chicago Chapter Meeting Summary

by Matt Nygaard, CMT

On Thursday, July 16, legendary trader Damon Pavlatos, founder of PhotonTrader Services, presented to the CMT Association Chicago Chapter in a virtual event.  Damon provided a nice mix of...

New Book Corner

by Michael Kahn, CMT

We love to let everyone know when members publish new books or series. Kaufman Constructs Trading Systems by Perry J. Kaufman was published by Amazon recently. This is a step-by-step guide to...

Singapore and Hong Kong Combined Chapter Conference Summary

by Isaac Lim, CMT, CFTe

On Tuesday, July 28, 2020, both the Singapore and Hong Kong Chapters of the CMT Association came together and hosted the first of an ongoing series of events featuring renowned technicians, mainly...

Membership News

by Marie Penza

Members on the Move The CMT Association would like to congratulate the following members on their new positions: Ryan Detrick, CMT Chief Market Strategist at LPL Financial Rakesh Gandhi, Technical...

New Educational Content This Month

In addition to several chapter meeting recordings, this month we’ve added webcasts from Peter Eliades and Mark Galasiewski to the archives. Listen to a recent Chicago chapter book group discussion, and browse other new topics.

President’s Letter

President’s Letter

Attention all future CMT Charterholders,

Since you probably have been busy dealing with the current world situation while you still serve your clients, you might not be aware of what’s going on with the CMT Program. The standard registration pricing period for all three levels of the CMT exams ends on August 31, 2020.  This means that beginning September 1st, it will cost a new CMT Program candidate $200 more to sit for the December exam than it does right now. Signing up today leaves plenty of time to study – enough to have a firm grasp on the curriculum and be confident going into the exam.

As a CMT charter holder, you have the strongest influence by far on the folks in your network of financial professionals who have been thinking about getting the CMT designation. Now is a great time to reach out to them via LinkedIn, email, or a

To view this content you must be an active member of the CMT Association.
Not a member? Join the CMT Association and unlock access to hundreds of hours of written and video technical analysis content, including the Journal of Technical Analysis and the Video Archives. Learn more about Membership here.

Contributor(s)

Scott Richter, CFA, CMT, CHP

Scott G. Richter, CMT, CFA, CHP

Back to top
Has FAANG+ Flipped from Nocturnality?

Has FAANG+ Flipped from Nocturnality?

For the last several years, the technology sector has been all the rage, garnering a significant amount of airtime on the business channels. Commentary typically revolves around a “handful” of big names which have been market leaders for some time. The collection of these names earned the initial nickname of FANG by CNBC host Jim Cramer in 2013. The acronym was changed to FAANG in 2017 when AAPL was officially added and morphed colloquially to FAANG+ when additional names were added.

As of July 27, 2020, just the FAANG stocks (FB, AMZN, AAPL, NFLX and GOOGL) made up roughly 15.0% of the S&P and 32.9% of the NASDAQ 100. In fact, just the five FAANG names have a combined market cap of $5.1 trillion as of July 27, 2020. With so much attention to this small group of names (out of approximately 4,000 publicly traded companies listed on U.S. exchanges), it

To view this content you must be an active member of the CMT Association.
Not a member? Join the CMT Association and unlock access to hundreds of hours of written and video technical analysis content, including the Journal of Technical Analysis and the Video Archives. Learn more about Membership here.

Contributor(s)

John Letizia II, CPA

Back to top
New York Chapter Meeting Summary

New York Chapter Meeting Summary

On Thursday, July 23rd, 2020, the New York Chapter hosted Andrew Thrasher, CMT, for a virtual meeting. Andrew is a Portfolio Manager for Financial Enhancement Group, LLC, Founder of Thrasher Analytics LLC, and winner of the 2017 Charles H. Dow Award for his paper “Forecasting A Volatility Tsunami.” He discussed a variety of topics including Volatility Analysis, Breadth, Sentiment, Momentum, and more!

Andrew started his presentation by outlining his two jobs as a Portfolio Manager: finding opportunities to invest client assets with the potential for appreciation and maintain and enforce risk management principles to minimize investment-related losses. The critical distinction between being an analyst and having to take the next step to execute on that analysis in the market was made throughout the presentation as he walked through his process and strategic approach.

Next, we looked at the positive effects on returns if you miss the best and worst trading days and

To view this content you must be an active member of the CMT Association.
Not a member? Join the CMT Association and unlock access to hundreds of hours of written and video technical analysis content, including the Journal of Technical Analysis and the Video Archives. Learn more about Membership here.

Contributor(s)

Tom Bruni, CMT

Back to top
Minneapolis July Chapter Meeting

Minneapolis July Chapter Meeting

Featured speaker Sam Stovall Research presented “The Rules Rule!” to the Minneapolis chapter on July 21 via a webcast. Sam is the Chief Investment Strategist at CFRA and is the author of “S&P Guide to Sector Investing” and “The Seven Rules of Wall Street.” Who is CFRA? They provide investment management services and strategies to investors globally through the MarketScope Advisor Platform & the Outlook. Investars ranked CFRA #1 for fundamental research for U.S. Buy-Sell performance.

Expectations for 2020: Annual performance since WWII shows the S&P 500 returns an average of 6.6% when a Republican is president in the fourth year of their first term. There have been 6 occasions of this occurrence, and all have been positive.  Based on the number of sub-indices being above their 200-day moving averages exceeding 90% in early 2020, Sam believed the market was due for a correction. The correction was in search of

To view this content you must be an active member of the CMT Association.
Not a member? Join the CMT Association and unlock access to hundreds of hours of written and video technical analysis content, including the Journal of Technical Analysis and the Video Archives. Learn more about Membership here.

Contributor(s)

Jamie Keelin, MBA, CMT

Back to top
Member Interview

Member Interview

Please tell us what you do professionally.

Currently, I am a trader, a trading coach, and writer. I have been a CMT member since 1995 and was the first CMT Program Director. I was also a two-term President of AAPTA and on the Board of Directors for IFTA. I hold many FINRA licenses including series 27, 53,24,7,3,63, and of course, 86. Away from the markets, I hold a Master’s degree in Speech and Hearing.

How did you get there?

I began my career at 12, when my father told me that my holiday present was going to be a stock.  After a small hissy fit, I reviewed the choices and opted for General Electric.  At that time, GE was not a bad choice. 

During college, I worked as a surgical technician.  I wanted to become a physician but didn’t have the dedication to spend more years going to school so I went to work

To view this content you must be an active member of the CMT Association.
Not a member? Join the CMT Association and unlock access to hundreds of hours of written and video technical analysis content, including the Journal of Technical Analysis and the Video Archives. Learn more about Membership here.

Contributor(s)

Jeanette Schwarz Young CMT, CFP, CFTe, MS

Back to top
Chicago Chapter Meeting Summary

Chicago Chapter Meeting Summary

On Thursday, July 16, legendary trader Damon Pavlatos, founder of PhotonTrader Services, presented to the CMT Association Chicago Chapter in a virtual event.  Damon provided a nice mix of trading techniques and war stories from his career on the CME and CBOT exchanges.  For his trading, Damon primarily uses volume candles and market profile, and through numerous examples from the current market, the webinar participants were able to follow along with his trading process.  It would be hard to not take away a few nuances that could be applied to your own trading.  Damon provided his contact information (@DamonPavlatos) for any follow-up questions, and we were very grateful to him for sharing his techniques and experiences.

To view this content you must be an active member of the CMT Association.
Not a member? Join the CMT Association and unlock access to hundreds of hours of written and video technical analysis content, including the Journal of Technical Analysis and the Video Archives. Learn more about Membership here.

Contributor(s)

Matt Nygaard, CMT

Back to top
New Book Corner

New Book Corner

We love to let everyone know when members publish new books or series.

Kaufman Constructs Trading Systems by Perry J. Kaufman was published by Amazon recently.

This is a step-by-step guide to developing a successful trading system for stocks and futures. Perry Kaufman is recognized as one of the leading developers and consultants in the financial industry, with a successful trading record that goes back 40 years. He is the author of Trading Systems and Methods, 6th Edition, said to be the most definitive book in its field.

“Kaufman Constructs Trading Systems” answers key questions about trading systems and development asked by attendees at his conferences.  It includes examples of how to construct and test systems and covers many more topics that are essential to success.

Readers will find a complete discussion of trend systems and mean reversion methods for both daily and intraday trading systems. Mr. Kaufman explains why certain markets trend while

To view this content you must be an active member of the CMT Association.
Not a member? Join the CMT Association and unlock access to hundreds of hours of written and video technical analysis content, including the Journal of Technical Analysis and the Video Archives. Learn more about Membership here.

Contributor(s)

Michael Kahn, CMT

Back to top
Singapore and Hong Kong Combined Chapter Conference Summary

Singapore and Hong Kong Combined Chapter Conference Summary

On Tuesday, July 28, 2020, both the Singapore and Hong Kong Chapters of the CMT Association came together and hosted the first of an ongoing series of events featuring renowned technicians, mainly targeting our growing Asia-wide audience. The first combined chapter meeting that we had proved to be a really promising and exciting one with no less than 270 registrants that signed up for the event. It really showed that there is a growing interest in the discipline of technical analysis across Asia.

The main stars that anchored our first combined chapter event were Jay A. Petit, Timothy W. Hayes and Ayush Nagaraj. The combined chapter meeting was a causal one, with each speaker given about 15-20 minutes to share their views and round off their topic with a short Q&A session.

The evening online meeting kicked off with Singapore Chapter Chair, Jaime Coutts, CMT, CFTe, welcoming all attendees. Before introducing the

To view this content you must be an active member of the CMT Association.
Not a member? Join the CMT Association and unlock access to hundreds of hours of written and video technical analysis content, including the Journal of Technical Analysis and the Video Archives. Learn more about Membership here.

Contributor(s)

Isaac Lim, CMT, CFTe

Back to top
Membership News

Membership News

Members on the Move

The CMT Association would like to congratulate the following members on their new positions:

Ryan Detrick, CMT Chief Market Strategist at LPL Financial

Rakesh Gandhi, Technical Research Analyst at Way2Wealth Brokers Pvt. Ltd.

Please take a few minutes to log into the website (www.cmtassociation.org) and update your information if your company, address, or telephone has changed.  To change the name of your company, please email admin@cmtassociation.org.

If you are having trouble receiving emails in advance of online chapter events, please make sure the “Do Not Email” box is unchecked in your profile.

CMT

If you haven’t already scheduled your CMT exam, we recommend that you do so as soon as possible.

Due to COVID-19, Prometric is practicing social distancing at their test centers and because of local government policies, certain test centers will only allow essential exams to take place; as the situation improves, more appointments will become available for test takers.

To view this content you must be an active member of the CMT Association.
Not a member? Join the CMT Association and unlock access to hundreds of hours of written and video technical analysis content, including the Journal of Technical Analysis and the Video Archives. Learn more about Membership here.

Contributor(s)

Marie Penza

Back to top

New Educational Content This Month

Back to top