crank fest wednesday, page-8

In America:

Dow Industrials -0.49%
Dow Transports -0.2%
SP500 -0.4%
Russell 2000 -0.69%
Nasdaq100 -0.06%

Comment: The Dow 30 was down moderately. Volume was up a little on yesterday but still down compared to last week, but that may be due to the holiday weekend coming up. (Traders taking off early for an extended break.) Nasdaq100 was flat after Apple Inc, once again, had a strong day. It gapped higher at the open and ended up +1.73%. In recent history, if Apple gaps higher above the previous day, the next day is down. We’ll see. (Did you hear that the latest iPad is now Teflon coated? If you don’t get the joke – don’t worry, it’s a double barrelled abstruse one.)

FOMC minutes were released today. The market was already down moderately when the minutes were released, the American markets immediate knee-jerk reaction was to sell-off sharply, but it recovered most of that drop by the end of the day. Toronto was less sanguine and was down -1.47%. That was due, at least in part, to a commodity prices dropping in response to the Fed minutes. (Gold, for example, was down -1.87%.) It may be a pointer to Australia’s performance today.

NewHighs/NewLows 138/23. NH>NL. The ratio of NH/(NH+NL) is at 85.7%. Remains in the Do Not Sell Zone above 80%. NLs remain crept up once again. Prominent in the NLs were Gold and Energy stocks.

Technical Comment on the Dow 30:

The Dow finished at 13199.5.
Indicators:
Stochastic: 77.6. Above its signal line. Positive.
RSI.9 is at 56. Positive.
MACD Histogram. Marginally below zero. Neutral.
MACD. Marginally below zero. Neutral.
CCI.14: +31. Neutral

The Dow 30 remains in a short term sideways consolidation. The longer term trend remains up. Near term support/resistance: 13000/13300 (round figures.)

Today in Australia, we’ll probably open down. Whether or not we’ll finish below support at 4310? Wait and see. Given the reaction of Toronto, I wouldn’t be surprised to see a big down day. Our materials sector has been under-performing in recent weeks, and the commodities action last night gives it another reason to under-perform today. But, you never never know in Stock Market Land. :)

Redbacka.