Support and resistance are two of the most important concepts that you need to grasp when it comes to technical analysis and using stock charts. Both have to do with the price action of a stock and areas where a stock has trouble continuing to go higher or continuing to decline in price.  They are areas of significant importance on any stock chart.

When using the term technical analysis this refers to future financial price movements based on an examination of past price movements. It does not result in absolute predictions of the future. It shows what might happen to prices over time.

Last week the market pretty much ended the week where it started as the S&P 500 closed on Friday down two points for the week. Gold though continued its torrid rise despite more premature calls by various talking heads and Wall Street experts for a major bottom in the dollar.

Once again the opinions of the majority have been proven wrong.

It helps to take a look at stock charts when you are monitoring your investments or potential options. There are all sorts of things that you should check out when reading a chart. These parts of using stock charts are all essential.

Everyone dreams of playing the stock market and hitting it big in the 50 hottest stocks; however, very few people will experience that. The stock market is unpredictable, and it can either make you quite a bit of money, or cause you to lose your money. Stock market timing is a very important part of the game.

In a rare interview on CNBC Wall Street veteran Joe Granville said we are in a bull market that he thinks will last for two years. He also talked about when he thinks it is best to sell and what you should do as an investor. He also said is out of gold, but will buy back in if it goes through 1000 - which I think it can really do.

I sent you an article a few days ago telling you I thought we were entering a cyclical bull market.

Last week I sent a small survey out to people who just signed up on my free email list the past four weeks to get some ideas of stuff to talk.

Do not fear missing out on this rally. The market is down this morning and you may be tempted to buy. If you want to buy simply because you think the market may go up more without you THEN DO NO DO IT!!!!

I'm in the Bahamas visiting with Dave Skarica and a few others. Skarica writes the financial newsletter AddictedtoProfits and is a regular guest on Canada's ROBTV(their version of CNBC) and is often seen on the gold investment conference circuit.