From the desk of Steve Strazza @Sstrazza.

Welcome to our "Under The Hood" column for the week ended October 30, 2020.

What we do is analyze the most popular stocks during the week and find opportunities to either join in and ride these momentum names higher, or fade the crowd and bet against them.

We use a variety of sources to generate the list of most popular names. There are so many new data sources available that all we need to do is organize and curate them in a way that shows us exactly what we want: A list of stocks that are seeing an unusual increase in investor interest.

Whether we're measuring increasing interest based on large institutional purchases, unusual options activity, or simply our proprietary lists of trending tickers... there is a lot of overlap.

The bottom line is there are a million ways to skin this cat. Relying on our entire arsenal of data makes us confident that we're producing the best list each week and gives us more optionality in terms of finding the most favorable trade setups for our clients.

This week we're looking at a long setup in the Financial Services sector.

One of the most valuable parts of our day has become reading The Chart Report India daily email.

It's impossible to catch everything that's going on in the markets on a daily basis, but we know that The Chart Report India will help us stay on top of the most significant market insights.

In just a few minutes of reading, we get a recap of what the top technicians in the world are watching in the Indian markets.

Like this tweet below from Nautilus Research, which was featured in the October 28th daily email.

In this case, Emerging Markets outperformance has been something we've been talking about for a while, but seeing its isolated performance relative to Europe really helped highlight what's driving the weakness.

Mark Dow has been a guest on this podcast more times than anyone else for a good reason. Selfishly I always enjoy chatting with him. His perspective is fascinating to me because he does such brilliant job of combining price behavior with sentiment analysis and the global macro intermarket backdrop.

Mark worked for the U.S. Treasury Department in charge of Emerging Markets in the early 90s before ultimately running money for a Global Macro Hedge Fund in New York City. So he has a lot of opinions on economics and politics, but he's great at not letting those things get in the way of his price behavior and sentiment analysis. He's figured out how to separate them but also use his expertise to his advantage. That's not any task.

From the desk of Tom Bruni @BruniCharting

Thanks to everyone who participated in this week's Mystery Chart.

Most of you said that you were buyers of this big base because we like to buy smiley faces, not sell them.

Unfortunately for you all I pulled the flip-flop on this week's chart and inverted it, so let's see what you were actually selling.

From the desk of Steve Strazza @Sstrazza

In this week's RPP Report we discussed some of the major developments recently such as the increasing bid for risk-on and reflationary assets, as well as continued rotation into more cyclical areas across all asset classes.

Our report focused mainly on Financials as well as some discussion regarding the recent outperformance from Small and Mid-Caps.

To follow up on this theme, today we'll dig into some other economically sensitive areas like Mid-Cap Industrials and Materials.

We'll take a look at the charts as well as the internals in these sectors in order to illustrate our current outlook.

In this post, we want to share some research that was provided to our US Subscribers, which attempts to explain why the difference in Interest Rates in Europe and the US is causing trouble in the markets.

Everything between the horizontal lines was written for US subscribers, so keep that in mind as you're reading it. The conclusion/takeaway for India is way at the bottom in bold.

From the desk of Tom Bruni @BruniCharting

Today we want to look at why the difference in Interest Rates between European and US Bonds are causing trouble in the markets.

As Market Technicians, we are in the data visualization business. We're looking to visualize the behavior of market participants by analyzing price and its derivatives via traditional charts, spreadsheets, and other methods.

Today we want to introduce a slightly different way we like to visualize market behavior as we may begin incorporating it into our analysis more often if you find it helpful.

Without further ado, let's check out some "Bubble Charts."

The major nifty market indexes continue to chop around, creating more failed moves on the upside and downside.

Today we're going to take a look at a few failed breakouts that could serve as very tactical setups on the short side or simply further evidence of the type of choppy environment we're in.

From the desk of Steve Strazza @Sstrazza and Louis Sykes @Haumicharts

At the beginning of each week, we publish performance tables for a variety of different asset classes and categories along with commentary on each.

Looking at the past helps put the future into context. In this post, we review the relative strength trends at play and preview some of the things we’re watching in order to profit in the weeks and months ahead.

We discussed markets remaining more or less a mixed bag over recent weeks/months. At the same time, we've pointed out how the weight of the evidence continues to tilt gradually in the direction of the bulls, particularly due to the action we've observed in key risk assets.

This week, we finally witnessed a meaningful rotation into reflationary assets as yields rallied to their highest levels since June. We also saw a noticeable strengthening from cyclicals.

From the desk of Steve Strazza @Sstrazza.

Welcome to our "Under The Hood" column for the week ended October 23, 2020.

What we do is analyze the most popular stocks during the week and find opportunities to either join in and ride these momentum names higher, or fade the crowd and bet against them.

We use a variety of sources to generate the list of most popular names. There are so many new data sources available that all we need to do is organize and curate them in a way that shows us exactly what we want: A list of stocks that are seeing an unusual increase in investor interest.

Whether we're measuring increasing interest based on large institutional purchases, unusual options activity, or simply our proprietary lists of trending tickers... there is a lot of overlap.

The bottom line is there are a million ways to skin this cat. Relying on our entire arsenal of data makes us confident that we're producing the best list each week and gives us more optionality in terms of finding the most favorable trade setups for our clients.