Insights and Stories of David Drozd

Aug. 19, 2009 at 3:11 pm CDT

Although technical analysts, such as myself, rely primarily on our analysis of the charts for determining price reversals and in forecasting price direction, we do keep one eye open to the fundamental information as well. I’ll have to admit, though, that whenever technical and fundamental analysis are at odds, and […]

By David Drozd

Jul. 23, 2009 at 12:02 am CDT

When one studies many weekly bar charts, it becomes evident that prices over a period of several months are typically moving up or down. This direction is the long term or major trend of the market. Within the major trend are a series of fluctuating price movements that can be […]

By David Drozd

Jun. 25, 2009 at 12:24 am CDT

As I have mentioned before in this column, the Japanese are true pioneers of technical analysis of the markets. Their techniques have evolved from fairly simple beginnings, trading forward rice contracts (futures) in the 17th century, to now include many sophisticated ways to analyze the markets, including the amazingly powerful […]

By David Drozd

May. 27, 2009 at 5:58 pm CDT

V bottoms take two forms: the more classic or true V, and the extended V. In the former formation, three essential components must be present: Prices must be in a downtrend and a futures contract is more apt to be in a free fall, or near vertical decline. A pivot […]

By David Drozd

Apr. 3, 2009 at 5:47 pm CDT

Rectangles, or box formations as they are sometimes called, are frequently found on futures price charts. Sometimes they prove to be a continuation or sideways consolidation pattern following an obvious trend, indicating that the market is simply taking a breather before continuing its advance or decline. At other times box […]

By David Drozd