apothecaries knees up tuesday, page-4

Jeeper - sheer genius. Mole Day - indeed! Kylie lives again?

In America:

Dow Industrials +0.02%
Dow Transports -0.35%
SP500 +0.04%
Russell 2000 -0.06%
Nasdaq100 +0.61%

Comment: If the bulls are to take this higher, then today’s action is exactly what is expected. Right at support, the market drifted lower most of the day on light volume, then, in the last hour of trading, the market was bought up solidly to finish flat. The long tail on the candle shows the extent of that buying action. Nice one, bulls.

NewHighs/NewLows 48/27. NH>NL. The ratio of NH/(NH+NL) is at 64%. Out of the Do Not Sell Zone. New Highs are beginning to drop off sharply from recent high levels. New Lows are “nervous” but still not particularly dangerous. It’s a very long time since we’ve seen a NL
Technical Comment on the SP500:

The SP500 finished at 1433.81. Support/resistance: 1418/1466
MACD Histogram. Marginally below zero. Neutral. Positive divergence setting up.
MACD. Below zero. Negative. Below zero – index is susceptible to sell-offs.
RSI.9 is at 41.8. Negative. Positive divergence setting up.
Stochastic. 37. Dropping below its signal line. Negative.
CCI.14: -107.5. Oversold.

The medium term trend is undecided. The short term trend is down.

Plenty of support around this area. Looks like the bulls successfully defended this zone today. A strong up day tomorrow is needed to confirm.

Yahoo reported after-hours and market reaction was positive. The stock is currently up about +4% in after-hours trading. That bucks the trend in recent poor results in the Tech sector.

Apple reports next Thursday. Here’s the Apple chart. It had a very strong session, up nearly 4%. That’s it’s best since 24 May, which finished off the May correction.

All of that suggests that the consolidation/correction in the U.S. is over. But we need to see follow-through buying in the next session. America still has plenty of reporting to do – and anything can happen. The weakness in the Tech sector reports has been a feature so far. With Amazon and Apple to report later this week, they could be pivotal.

Redbacka