Weekend Charting and Chat - 26th February 2016, page-10

Saturday Brunch, 27 February, 2016.

In America:



DJ -0.34%. SP500 -0.19%. Nasdaq -0.18%. New York Composite -0.06%. Russell 2000 +0.54%. After starting on the high side, Indices gave up ground to finish flat(ish). The bright spot was the R2K - which suggests breadth was OK.

That's confirmed by New Lows on the NYSE which decreased from 40 to 27. The NH/NL Ratio finish above the mid-line, 65.8%.

SP500 Chart:



SP500 has risen above dual resistance (50-Day MA and Horizontal Resistance). Today's narrow range day doesn't change that. Accum/Dist continues to look positive. Next major resistance lies at 1993. Support is close by at 1940. It wouldn't take much to fall below that level. Watch.

Commodities:



U.S.$ up +0.67%. That affected commodities. DBC (Commodities) down -0.16%. Base Metals +0.99% but showed intra-day selling as it neared resistance. Energy -0.41%. GLD -0.69%.

For the second day in a row, our market yesterday finished flat, -0.02. Here's the XJO chart from yesterday:



We can see two doji candlesticks in a row, sitting on a minor horizontal support level and the upper restraining line of the old Bullish Falling Wedge. That is now acting as support. So we have dual support. Hopefully that will hold and the next move will be up. On the negative side, the chart is now below both the 20-Day MA and the 50-Day MA, so we have heavy overhead resistance. We can't expect a lot of movement in the next couple of days.

Full Weekly Report tomorrow.

RB