spankyham's bull(dust) friday, page-21

In America:

Dow Industrials -0.35%
Dow Transports -0.64%
SP500 -0.3%
Russell 2000 -0.22%
Nasdaq100 +0.85%

Comment: Most indices are down modestly, on low volume. The hero is the Nasdaq. But even with the Nasdaq volume is low. Unless we see a big push up through horizontal reistance in the near future, the most likely path is down.

NewHighs/NewLows 8/10. The figures for NHs and NLs remain at subdued levels. The NHs needs to be a lot higher to instil confidence.

The Materials Sector -0.52% and Energy Sector -0.14%. Those are not helpful for the Australian market on Friday. Seven of nine S&P Sectors were down with Financials the worst, -2.31%. The Banking Index was down, -2.93%. Semi-conductors up, +2.01%.

Europe:
France -1.33%
Germany -1.33%
London -0.71%

Gold in U.S. Dollars is down -0.72%. Gold in Oz Dollars is down -1.11%. AUD/USD up, +0.13% to finish at 101.99. The Ozzie is now at resistance. EWA (the ETF for Australian shares) up, 0.35%.

Technical Comment on the Dow Industrilas:
The DJIA finished at 11478.1. Just below near term resistance of 11500.
Above the 8-Day MA. Positive.
Above the 34-Day MA. Positive.
Indicators:
* Stochastic: 92.1. Overbought. Rolling over.
* The 8-Day MA is above the 34-Day MA. Positive
* The 13-Day MA is below the 150-Day MA. Long-term negative.
* RSI.9 is at 62. In a zone where reversals have occurred during this bear market.
* MACD Histogram above Zero. Positive.
* MACD above zero. Positive.
* CCI.14: +116.6. Falling towards the +100 line.

The market was down solidly early on, later in the day the bulls launched a concerted effort to push back into positive territory but failed. The market petered out in the last hour to finish down mildly. Volume just wasn’t high enough.

I’m still expecting a short term retracement. The extent and duration of the next move down will determine whether or not this market can pull itself out of the bear. The last three days have been a sideways consolidation on low volume. A bit of concerted selling would see this market pull back significantly as the buyers aren’t showing up. On the plus side, we do have a positive 8/34 x-over.

Short term the trend remains up.

Long term, the market needs to get above resistance at around 11700.

Remain cautious. DYOR.

Good luck
Red