moolamanic's - got a whoopin - friday, page-28

Polar Bears are on the endangered list. As of today all bears - black bears, brown bears, koala bears, teddy bears, and all other species - are on the endangered list. Seen any bears lately? There don't seem to be too many on the American market.

In America:

Dow Industrials +0.44%
Dow Transports +3.27%
SP500 +0.6%
Russell 2000 +0.98%
Nasdaq100 +0.24%
Comment: Dow 30 and SP500 up moderately on heavy volume. Transport Index had a huge move up to take it almost to the early February highs. Tomorrow is triple witching on the American market. That usually means a narrow range day on very heavy volume. Why was the Nasdaq100 the weakest? Just say “Apple”. See below.

We’ve now had seven days up in a row on the Dow 30. Seven up is rare. That doesn’t mean we can’t see eight days up, just that it’s rare.

NewHighs/NewLows 112/14. NH>NL. The ratio of NH/(NH+NL) is at 88.9%. This remains in the Do Not Sell Zone above 80%. We’re seeing more and more NL days above 10. Remember how we saw a long string of NLs below 10? Slowly the momentum is swinging away from the NHs to the NLs. It’s way too early yet – we need to see some NLs above 25 to become seriously worried.

Technical Comment on the Dow 30:

The Dow finished at 13252.8. Horizontal support now lies at 13060.
Indicators:
Stochastic: 97.9. Overbought. Caution
RSI.9 is at 75.7. Above 70. Caution.
MACD Histogram. Above zero. Positive.
MACD. Marginally above zero. Neutral.
CCI.14: +193.8. Overbought and turning down Caution.

Triple Witching tonight in America. Probably a narrow range day. The market is in an extreme state of “overboughtness”. Maybe next week it will settle down.

I’ve been wrong before about Apple. I thought it looked very “toppy” back around the $500 level in mid-February. It’s now $600. Again it is looking even more “toppy”. The parabolic rise continues. Once again the stock is seeing very heavy volume. The RSI.9 has had a triple top around the 90 level. Can Apple defy the laws of gravity?

A word of warning to the Volume Watchers. Invariably after OpEx Day (tonight in America) we get a slew of commentary on the high volume occurring on the Dow Industrial Average. I've explained before how this happens - and why it is of little significance. For a better guide to "real" volume by "real" traders, look to the volume on the SPY tonight.

Mitta - my apologies. I usually read your posts with interest. But, in the wee small hours of the morning, I missed your post yesterday on Shanghai.

Redbacka