Grateful

The Main Thing

The Puzzle

Pieces

OTF and Intraday Charts

Boyd’s Cycle: Observe, Orient, Decide, Act

Friday completed the mother of all rallies, knocking out the Weekly Shorts who tempted fate by fading a historically bullish holiday week.  We have a month of trades remaining in 2025. Step by step we need to hold a few support levels, and the longs next targets in an unfinished agenda have been identified.  We may need to consolidate this week’s gains before another substantial attack by the longs. (Left click on charts to enlarge them.)

Thanksgiving Trading

Feasting on Strategies Like a Rockwell Masterpiece

 

As we gather around the table this Thanksgiving, I’m reminded of Norman Rockwell’s iconic Freedom from Want from his 1943 Four Freedoms series. Inspired by President Franklin D. Roosevelt’s 1941 State of the Union address, the painting captures a multigenerational family beaming with joy as a plump turkey is presented amid a spread of sides. 

But as the Museum of Fine Arts, Houston highlights, this isn’t just a scene of biological kin—it’s a “chosen family” of friends, neighbors, and even the family cook, symbolizing unity and abundance in the shadow of World War II. Rockwell’s work, often dismissed as sentimental, actually pushes progressive ideals: questioning who we invite to our table and emphasizing love over mere material plenty.

Big Think delves deeper, noting that Freedom from Want isn’t solely about food—it’s a call to combat fascism through shared freedoms from physical, emotional, and spiritual deprivation. The young man gazing out invites us into this ideal, urging mutual aid and inclusion during times of scarcity and conflict. Thanksgiving itself, formalized by Abraham Lincoln in 1863 amid the Civil War and standardized by FDR in 1941 post-Pearl Harbor, echoes this: a holiday of gratitude rooted in community resilience.

For us traders, this Rockwell feast offers a perfect analogy. Just as a Thanksgiving dinner synthesizes diverse elements into a harmonious whole, successful trading demands blending technical tools to navigate market volatility. The turkey—roasted to perfection—represents the core strategy, much like moving averages. These smooth out price noise, providing a foundational trend line to anchor your decisions. Whether it’s a simple 50-day SMA for long-term direction or an exponential EMA for quicker reactions, the turkey sets the table, ensuring your trades aren’t aimless.

Then comes the stuffing, that savory mix stuffed into the bird, symbolizing momentum indicators like the RSI or MACD. Stuffing fills the gaps, adding flavor and substance; similarly, momentum gauges the speed and strength of price moves. When markets rally too fast, RSI spotting overbought levels (above 70) warns of pullbacks, preventing you from chasing euphoria. It’s the connective tissue that binds trends together, turning raw data into actionable insights.

Mashed potatoes, creamy and comforting, evoke sigmas—standard deviations in tools like Bollinger Bands. These bands, plotting two sigmas above and below a moving average, measure volatility’s “mash.” In calm markets, bands contract like smooth potatoes; in turbulence, they expand, signaling potential breakouts or reversals. By quantifying deviation, sigmas help you avoid getting burned by sudden swings, much like how potatoes absorb gravy without overwhelming the plate.

Finally, pecan pie—sweet, nutty, and indulgent—stands for handling excessive extremes. Think of volatility spikes or sentiment outliers, captured by tools like the VIX or extreme readings in sentiment indicators. Pies tempt overindulgence, but in trading, recognizing extremes (e.g., a VIX above 30 signaling fear) allows contrarian plays. 

Rockwell’s painting critiques individualism by promoting shared abundance; likewise, extremes remind us markets aren’t solo endeavors—overextended rallies often revert, rewarding those who synthesize signals rather than isolate them.

In trading, as in Rockwell’s vision, true “freedom from want” comes from synthesis. Isolated tools lead to half-baked strategies; combined, they create a balanced portfolio resilient to economic wars or recessions. 

This Thanksgiving, let’s toast to inclusive approaches—inviting diverse indicators to our table for sustainable gains. After all, in markets and meals, the whole is greater than the sum of its parts.

Our Edge

Think Abundance

By using our intuition, we can see more details and grasp a clearer picture of the whole experience, not just the parts

 

Get In Touch

MARKETwizardz Naples, FL admin@eminiwizard.com