Chart based progressive global trading strategies, Chart Partners

Thomas Schroeder

Chart based progressive global trading strategies

Chart Partners

Chart Partners objective is to discover medium-term cycle turns and profit opportunities before they unfold, within structural trends while preserving capital with clear degrees of risk. We have real return ideas. 

Markets are dynamic and trading systems must reflect this. It is crucial to determine underlying correlations and lead-lag relationships within global markets and the impact on linked instruments. Our weekly Chartonics product gives you short-term trading strategies that can be applied within the medium and longer term macro trends that are mapped out in our strategy updates. 

Our methodology fuses global market variables and isolates drivers in trends. We specialize in FX, index trade in NY and Asia with a focus on Asian stocks. 

Technical Analysis

We wanted to bring your attention to numerous bullish equity pattern setups in the US and Asia that are taking shape.Bull triangulation in the SPX and NDX point to a major breakout higher with targets noted. Near term risk of a pullback is a buying opportunity. Our recent update and insight called for turning long near SPX 3,21-20 support where we put on risk in the US and Asia.Compelling bullish patterns are itching for a bull breakout in Taiwan, Korea and Australia. CSI 300 flat breakout would make H shares a compelling laggard play.

We wanted to bring your attention to numerous bullish equity pattern setups in the US and Asia that are taking shape.Bull triangulation in the SPX and NDX point to a major breakout higher with targets noted. Near term risk of a pullback is a buying opportunity. Our recent update and insight called for turning long near SPX 3,21-20 support where we put on risk in the US and Asia.Compelling bullish patterns are itching for a bull breakout in Taiwan, Korea and Australia. CSI 300 flat breakout would make H shares a compelling laggard play.

TSE Tokyo Price Index TOPIX / Technical Analysis

Favored longs in A shares, ASX, Japan, Taiwan and Korea are hitting some resistance levels (to reduce longs) and sets up a fade with a focus on fresh buy supports. This fade stems from the likelihood of bull energy being deflated given Trump will contest election results and call for re counts which in turn will delay stimulus certainty and see the current euphoric rally pause as bull triangles form in the SPX and NDX (buy weakness). Fed remarks on slowing growth concerns may also throw water on this reaction spike. We like adding risk on weakness.Shorts outlined to trade a pullback lower short term.

Favored longs in A shares, ASX, Japan, Taiwan and Korea are hitting some resistance levels (to reduce longs) and sets up a fade with a focus on fresh buy supports. This fade stems from the likelihood of bull energy being deflated given Trump will contest election results and call for re counts which in turn will delay stimulus certainty and see the current euphoric rally pause as bull triangles form in the SPX and NDX (buy weakness). Fed remarks on slowing growth concerns may also throw water on this reaction spike. We like adding risk on weakness.Shorts outlined to trade a pullback lower short term.

SPX turned bearish below 3,410 and we used the DJI to short at 27,700 (break below 28k pivot support) given the Dow is underperforming the SPX. NDX below 11,600 is the core risk driver. Lack of stimulus clarity and Covid on the rise weighing on pivot support breaks. Big tech earnings today expected to give NDX a lift (bounce trade up).SPX 3,410 and NDX 11,600 represent key pivot resistance points for a fresh short phase and the bull/bear line.Asia long levels outlined on weakness.

SPX turned bearish below 3,410 and we used the DJI to short at 27,700 (break below 28k pivot support) given the Dow is underperforming the SPX. NDX below 11,600 is the core risk driver. Lack of stimulus clarity and Covid on the rise weighing on pivot support breaks. Big tech earnings today expected to give NDX a lift (bounce trade up).SPX 3,410 and NDX 11,600 represent key pivot resistance points for a fresh short phase and the bull/bear line.Asia long levels outlined on weakness.

Pan-Asia Index Rebalances/ Events/ Delta One, Periscope Analytics

Brian Freitas

Pan-Asia Index Rebalances/ Events/ Delta One

Event-Driven

The Korea Exchange (KRX) will announce the results of the December 2020 review of the KOSDAQ150 Index in the second half of November. The constituent changes will be effective from the open on 11 December 2020 and the rebalancing trades will need to be done at the closing auction on 10 December 2020.The review covers the period from 1 May to 31 October. We have gone through 120 trading days and there are only 3 days remaining in the review period. Since the data is averaged, there is a very small possibility of the names changing over the next few days.At the current time, we see 16 potential inclusions and exclusions with a one-way turnover of 6.94%. This includes the fast entry inclusion of <a href="https://www.smartkarma.com/entities/kakao-games-corp" target="_blank" data-smartkarma-citation="entities:26730:1" rel="noopener">Kakao Games (293490 KS)</a>.The expected inclusions have outperformed the expected deletions since the start of the review period but have given up a significant part of the gains over the last couple of months. With short selling still banned, there could be another period of outperformance prior to the announcement with continuation leading up to implementation date.

The Korea Exchange (KRX) will announce the results of the December 2020 review of the KOSDAQ150 Index in the second half of November. The constituent changes will be effective from the open on 11 December 2020 and the rebalancing trades will need to be done at the closing auction on 10 December 2020.The review covers the period from 1 May to 31 October. We have gone through 120 trading days and there are only 3 days remaining in the review period. Since the data is averaged, there is a very small possibility of the names changing over the next few days.At the current time, we see 16 potential inclusions and exclusions with a one-way turnover of 6.94%. This includes the fast entry inclusion of Kakao Games (293490 KS).The expected inclusions have outperformed the expected deletions since the start of the review period but have given up a significant part of the gains over the last couple of months. With short selling still banned, there could be another period of outperformance prior to the announcement with continuation leading up to implementation date.

KOSDAQ150 Index Rebalance Preview: Reversion Sets Up an Attractive Entry Point

The Korea Exchange (KRX) will announce the results of the December 2020 review of the <a href="https://www.smartkarma.com/entities/korea-stock-exchange-kospi-200-index" target="_blank" data-smartkarma-citation="entities:26021:1" rel="noopener">Korea Stock Exchange Kospi 200 Index (KOSPI2 INDEX)</a> in November. The constituent changes will be effective from the open on 11 December 2020 and the rebalancing trades will need to be done at the closing auction on 10 December 2020.At the current time, we see nine stocks being added to and deleted from the index with another three stocks as very close adds and deletes. There could be an additional change with <a href="https://www.smartkarma.com/entities/big-hit-entertainment" target="_blank" data-smartkarma-citation="entities:28959:1" rel="noopener">Big Hit Entertainment (352820 KS)</a> getting index inclusion as a Fast Entry - this change could be announced ahead of the regular review announcement or as a part of the regular announcement, though the implementation will be at the same time as the December review.The potential inclusions have outperformed the potential exclusions by a wide margin over the last 6 months though the performance has been subdued over the last 2 months. With the short sell ban still in force, we could see the potential inclusions continue to outperform the potential exclusions after this period of consolidation, especially once the announcement of the changes has been made.In the Insight, we look at the expected changes, the impact of the changes on the stocks, the performance of the stocks and the short interest, the behaviour of the inclusions/exclusions at the June review and recommend some trades going forward.

The Korea Exchange (KRX) will announce the results of the December 2020 review of the Korea Stock Exchange Kospi 200 Index (KOSPI2 INDEX) in November. The constituent changes will be effective from the open on 11 December 2020 and the rebalancing trades will need to be done at the closing auction on 10 December 2020.At the current time, we see nine stocks being added to and deleted from the index with another three stocks as very close adds and deletes. There could be an additional change with Big Hit Entertainment (352820 KS) getting index inclusion as a Fast Entry - this change could be announced ahead of the regular review announcement or as a part of the regular announcement, though the implementation will be at the same time as the December review.The potential inclusions have outperformed the potential exclusions by a wide margin over the last 6 months though the performance has been subdued over the last 2 months. With the short sell ban still in force, we could see the potential inclusions continue to outperform the potential exclusions after this period of consolidation, especially once the announcement of the changes has been made.In the Insight, we look at the expected changes, the impact of the changes on the stocks, the performance of the stocks and the short interest, the behaviour of the inclusions/exclusions at the June review and recommend some trades going forward.

KOSPI200 Index Rebalance Preview: Review Period Nearly Complete, Nine (Or Ten) Possible Changes

South Korea

The KOSPI 200 Index is a capitalization-weighted index of 200 Korean stocks which make up 93% of the total market value of the Korea Stock Exchange. The index was developed with a base value of 100 as of January 3, 1990.

Korea Stock Exchange KOSPI 200 (KOSPI2 INDEX EQUITY)

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Korea Stock Exchange KOSPI 200 (KOSPI2 INDEX EQUITY)

Breakout Equity Patterns in Asia and US

Compelling bullish patterns are itching for a bull breakout in Taiwan, Korea and Australia. CSI 300 flat breakout would make H shares a compelling...

Thomas Schroeder

Asia Fade Levels and Fresh Long Supports

Asia is kissing key resistance levels that sets up a fade with a focus on fresh buy supports. Trump will contest election results/call for re...

Thomas Schroeder

SPX 3,410 and NDX 11,600 Breaks

SPX 3,410 and NDX 11,600 breakdown points will act as resistance on a rally attempt and the bull bear lines for global risk. Tech earnings today...

Thomas Schroeder

KOSDAQ150 Index Rebalance Preview: Reversion Sets Up an Attractive Entry Point

With 16 possible changes to the KOSDAQ150 in the Dec review with a one-way turnover of 7%, the recent underperformance of the inclusions vs the...

Brian Freitas

KOSPI200 Index Rebalance Preview: Review Period Nearly Complete, Nine (Or Ten) Possible Changes

The KOSPI200 index review will be announced in the next 4 weeks. We see 9 inclusions/ exclusions and significant volume to sell on the deletions....

Brian Freitas

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)