upthrust tuesday, page-23

In America:

SP500 -1.83%
Dow Industrials -1.55%
Nasdaq100 -1.04%
Dow Transports –1.33%
Russell 2000 -2.22%
Comment: At 1/2 hour after the opening, SP500 was up nearly 0.7%. It was all down hill from there with panic evident in the last hour. Down Volume was 84%.

NewHighs/NewLows. NH>NL. 151/24. Ratio: 86.3%. In the Do Not Sell Zone. Those figures are hard to believe, but they often lag.

Technical Comment on the SP500:

The SP500 finished at 1487.85. Near term support/resistance was at 1496.7.
MACD Histogram. Below zero. Negative.
MACD. Belowe zero. Negative.
RSI.9 is at 37.7. Below 50. Negative.
Stochastic. 26. Negative. Still not oversold.
CCI.14: -142.7. Oversold
Momentum: -24.3. Negative.

The up trend has now been broken to the downside. It’s still possible for this to recover. As at the end of December, 2012, the chart has hit down on the 40-Day TMA, so it could bounce off that. Unlike December, It’s achieved that in a short period of time after a long consolidation. Momentum is now to the downside. We might get a bit of consolidation here, but it will probably only be a pause before the next down move.

The Monk talked about upthrusts. Have a look at the DAX, right at resistance. It needs a down day to confirm, but it looks ugly.

Redbacka