robin hood - tuesday, page-30

XJO -0.1%. Volume was just 72% of the 20-Day Average – but up a little on the past couple of days. So at least muted interest is returning to the market.

I’m using a Heiken-Ashi Chart today. It’s similar to a Candle Stick Chart – but tends to smooth out noise in the market. Today’s candle is a doji. Coming at the top of a trend on a Heiken-Ashi chart it often signals a trend reversal. It’s not highly reliable, despite the three previous instances I’ve arrowed. But it is a warning signal. The CCI has rolled over and dropped below +100. Another warning signal. A solid down day tomorrow with a break of the uptrend line would complete the picture.

I have a proprietary indicator (developed by moi) which has decisively rolled over. So things are looking grim (if you’re a bull). Advance/Decline Ratio was poor today at 38.1%. That poor result is supported by another poor result in the Small Ords – again, that occurred while the Miners were performing very well. Not a positive sign. I’d also note that the Cumulative Advance/Decline Line has been declining during this short term up trend.

Gold Miners was the best performing Index. Health, Industrials, Info.Tech. and Consumer Discretionary were the worst performers.

The performance of the Consumer Discretionary Index may be a leading indicator. It is probably the most cyclical of all the indices and is a good guide to how the economy is travelling. Below is the Consumer Discretionary Chart. Remember it was one of the leaders during the 2013 bull rally. Now it has turned down decisively. (Again, I’m showing a Heiken-Ashi Chart which shows quite clearly the rejection at dual resistance and decisive turn down.)

Redbacka

Below is the Daily Sector Performance Chart: