the chronicles of disco stuesday, page-11

In America:

Dow Industrials +0.05%
Dow Transports +0.16%
SP500 +0.4%
Russell 2000 +0.91%
Nasdaq100 +0.75%

Comment: Dow 30 flat on reasonable volume. Volume was a little below the three day cluster in the middle of last week, but still plenty of buying and selling – with not much of a result. The bulls and bears continue their battle.

Apple was up strongly, once again. Last night was +2.65%. What ever happened to Newton’s Laws? They no longer work in this strange world. I think we’ve flipped into a parallel universe where a new set of Laws is operating. Whatever. The trend is up.

NewHighs/NewLows 132/7. NH>NL. The ratio of NH/(NH+NL) is at 95%. This remains in the Do Not Sell Zone above 80%.

Technical Comment on the Dow 30:

The Dow finished at 13239.1. High today below Friday’s high. Horizontal support lies at 13060.
Indicators:
Stochastic: 93.5. Overbought. Caution
RSI.9 is at 73.1. Above 70. Caution.
MACD Histogram. Above zero. Positive.
MACD. Above zero. Positive.
CCI.14: +112.1. Marginally above +100. A fall below +100 would be a “caution”.

Not much to say. On the week-end, I said that the Dow looked to be in an “exhaustion phase”. Nothing happened to change that opinion today. But – the “exhaustion” thesis will only be proved by seeing a big down day on heavy volume or a reversal day (up then down) on heavy volume.

Until we see those signs, just repeat after me: The Trend is UP.

Redbacka