ring in tuesday., page-38

In America:

Dow Industrials -0.84%
Dow Transports -2.28%
SP500 -1.17%
Russell 2000 -1.87%
Nasdaq100 -1.02%

Comment: The market was down steadily most of the day. Nothing dramatic but no solace for the bulls. Looking at the volume, just forget Friday which was Freaky Friday or Quadruple Witching when a host of option types expire inflating volume. Take that out and we can see that for three consecutive days, volume has been dropping. That shows a lack of conviction by the part of the bears. It doesn’t mean this market will turn around, but the conditions are being set up for such an event.

NewHighs/NewLows 77/119. NH
Technical Comment on the Dow 30:

The Dow finished at 11766.3. Marginally above the 150-Day Exponential Moving Average (red dotted line) at 11753.
Indicators:
* Stochastic: 46.3. Falling. Negative.
* RSI.9 is at 42.2. Below 50. Negative.
* MACD Histogram. Below Zero . Negative.
* MACD. Below Zero. Negative.
* CCI.14: -129.4. Below -100. Oversold.

The Dow 30 at 11766.3 – the 150-Day MA may provide support – but don’t bet on it. The Indicators are getting low – but can go a lot lower. We need a good up day on better volume to turn this around.

The current short term trend is down. Respect the trend.

Redbacka