California Pizza Kitchen (CPKI)

Our first chart is from our partners at FusionIQ. Their Chart of the Week is California Pizza Kitchen (CPKI). “Shares scored a new FusionIQ timing BUY signal as well as a FusionIQ short squeeze last week. Additionally shares are forming a complex technical bottom and a pending breakout once it can close above $ 17.00. Two possible entries are to buy into any weakness or to wait for the close above resistance near $ 17.00. Our preference is for the latter scenario as there is a higher degree of confidence in the trade if resistance can be eclipsed, though in thsi scenario you will have a higher cost basis.” To learn how you can get an edge trading/investing with FusionIQ’s powerful platform, click here to watch my product review and take advantage of our special Wall St. Cheat Sheet 20% discount.

Nikkei (Click for Larger View)

David Singer let’s the lines speak for themselves in this analysis of the Nikkei. (Source: Singer’s Market — more sweet charts over there.)

S&P 500 in Other Currencies

Precision Capital Management submits: “How much of the current stock market rally is due to devaluation of the US Dollar?  Above tries to answer this question by pricing the S&P 500 in other currencies.  The S&P 500 has retraced about 45% of its down move, but if you’re a Canadian or European investing in the US, currency fluctuation risk has eroded about a third of this.  In otherwords, if you’re a Canadian and want use of the money you invested in US stocks, after you sell the stocks and convert back to Canadian Dollars, you’ve only gotten a 33% return.  If you’re in Euros, then 31%; Japanese Yen, 25%.  Worst off are the poor Australians, who’ve barely seen new highs since April 2009 and are at less than half of the 45% return in US Dollars, coming in at a meager 21%.” (Source: Precision Capital Management)

S&P 500 Futures

Dr. Brett Steenbarger takes a look at the Market Profile of the midday breakdown in the S&P 500 Futures on Friday: “Note the expanded selling volume (and overall volume) as large traders sold the ES futures as we neared the morning lows. The inability to sustain buying above vwap (and greater volume at bid vs offer) were important downside tells, as were the intermarket themes of strong dollar and weak commodities as the morning wore on. This sets up the earlier morning lows (and high volume regions highlighted by the arrows) as potential resistance for bounces.”(Source: TraderFeed)

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