greetings from malibu thursday, page-8

Well, Wayward made his mark yesterday, up there with the best of the BiggD. Let's see what you've got, Pisces. Some record to beat.

In America:

SP500 -0.76%
Dow Industrials -0.74%
Nasdaq100 -0.53%
Dow Transports +0.19%
Russell 2000 +0.02%

Comment: The three major indices were down on highish volume. Selling in the last 15 minutes was manic, some fear being shown. The selling in the afternoon seemed to be related to a brief press conference by Boehner, leader of the Republicans in Congress, which was short, sharp and nasty. Basically, he called Obama out for a duel. (Theme music from High Noon, please maestro.) We’ve seen these sharp sell-offs before when Boehner speaks, and they haven’t lasted too long. So we’ll see if this one is the same.

NewHighs/NewLows 173/14. NH>NL. The ratio of NH/(NH+NL) is at 92.5%. In the Do Not Sell Zone.

Technical Comment on the SP500:

The SP500 finished at 1435.81. Nearby Support/Resistance: 1433.32/1465.77.
MACD Histogram. Marginally below zero. Neutral.
MACD. Above zero. Positive.
RSI.9 is at 61.7. Dropping from above 70. Negative
Stochastic. 85.9. Overbought
CCI.14: +143.8. Overbought and falling.

The chart remains within the confines of an up trend channel. Indicators are signalling weakness, but no clear cut sell signals. Any pull backs in this rally since mid-November have been, at most, two days. Tomorrow could be down without affecting the trend. In fact, another day down would be healthy for the rest of the year.

BHP on the American market, after being up 11 days in a row, was down last night, -0.57%. Hardly catastrophic, but the candle was a bearish engulfing, so a bit more on the down side is likely.

The Ozzie Dollar was down a little, -0.38%. Selling in Precious Metals continued, -0.56%. Our gold miners will be hit hard again today. Base Metals -0.36, Copper -0.2%. It looks like Australia, and BHP in particular, will get a pull back which might last a day or three. But, at this stage, it doesn’t look too dramatic. Just remember the Paul Kelly and Kev Carmody song – Big things from little things grow.

Redbacka