lez tork strine, page-13

In America:

Dow Industrials -0.26%
Dow Transports -0.68%
SP500 -0.1%
Russell 2000 +0.67%
Nasdaq100 -0.13%

Comment: Another day of narrow range. Volume was low. The Dow 30 fell through a lack of demand rather than any concerted selling. With low demand, it wouldn’t take much to knock this market lower. The index has now been above the 10-Day MA for 23 trading days.

NewHighs/NewLows 85/10. NH>NL. The ratio of NH/(NH+NL) is at 89.5% – that remains in the “no sell” zone.

Technical Comment on the Dow 30:

The Dow finished at 12675.8. Remains above both the 15-Day MA and the 150-Day Moving Average.
Indicators:
Stochastic: 90.4. Overbought and below its signal line. Caution
RSI.9 is at 70.7. Overbought. Caution
MACD Histogram. Marginally above Zero. Neutral. Negative Divergence.
MACD. Above Zero. Positive.
CCI.14: +109. Overbought. Now falling from close to +200 to just above
+100. Caution

Overhead resistance on The Dow 30 remains at the April/May 2011 highs around 12810. Today, the index fell a little away from that level on low demand. The indicators turned down today and most remain at overbought levels. I’ve been saying that they could stay up there for a few days – but will revert to more normal levels. Major horizontal support lies around 12200.

The medium term trend is up. The Index remains above the up trend line from late November. The short term trend as measured by the 10-Day MA is up.

Respect the trend.

Today's "fortune cookie" courtesy of TinyPic: "Over the top". Well .... obviously we're now on the down-hill slope. Makes as much sense to me as a lot of the magical stuff used by many to predict the markets. :)

Redbacka