Sorry - but the creative juices shown by Disco, Jeeper and BiggDaddy are not flowing for me.
So - a short snappy heading for today - just to kick things off - coz I'm ready to post.
In America:
Dow Industrials -0.75% Dow Transports -0.89% SP500 -1.05% Russell 2000 -1.48% Nasdaq100 -1.39% Comment: All the major indices were weak last night, some very weak. Volume was heavy. I mentioned yesterday that last Thursday was a key day. SP500 and the Industrials both broke below that level today on increased volume. That action is bearish. A short term top is now confirmed.
(Note: I usually show the Dow Industrials chart. The correlation between it and SP500 is very high – so trend direction and turning points are usually close to identical. I’ve reverted to the SP500 chart today because the volume pane on my Dow Industrials chart has gone all wonky. So the SP500 is showing the accurate picture.)
NewHighs/NewLows 196/14. NH>NL. The ratio of NH/(NH+NL) is at 93.3%. In the Do Not Sell Zone. These numbers remain bullish.
Technical Comment on the SP500:
The Dow finished at 1441.59. Support/resistance: 1418/1466 MACD Histogram. Below zero. Negative. MACD. Marginally above zero. Neutral. RSI.9 is at 48.3. Below its mid-line. Negative. Stochastic. 70.3. Broken below 80. Negative. CCI.14: -1.4. Marginal break below zero. Negative.
The medium term trend is up. The short term trend is down. The next obvious level of support is the 20-Day Moving Average – middle dashed line of the Bollinger Bands. Today was such a poor result we might see a narrow range day tomorrow before another push down.
Nasdaq100
Yesterday, I mentioned that the Nasdaq100 was on a short term sell signal. That played out strongly today. A medium term up trend line has now broken to the down side. Major horizontal support is close by. A break lower would be very bearish.
I mentioned last night that I thought we might get a small rebound on the Australian market today as a result of yesterday’s narrow range day. That idea now goes out the window.
Four days ago, I stuck my neck out and said we’d probably seen a top of some significance on the Australian market. That is now looking prescient. Just how far down we go – we still have to see. We’ve certainly seen a short term top. A medium term top? We’ll continue to play it by ear – but the short term trend is down on the Ozzie market.
(20min delay)