Taco Wednesday, page-3

Tuesday Evening Thoughts. 3/10/17

XJO had a moderate fall today -0.49%. After Monday’s big rise today’s result was no surprise.



The Index remains within the wide trading range where it’s been for five months. This is a highly unusual time. We’ll break – one way or another and the move should be substantial.

Monday’s substantial rise impacted a lot of trends, at least in the short to medium term.

Here’s the Spread Sheet showing the current state of affairs for various major Indices and Sectors:

	Column 1	Column 2	Column 3	Column 4	Column 5
0	Index	Short Term	Medium	Intermediate	Long
1	XJO	Flat	Short	Short	Flat
2	XTL	Flat	Short	Short	Short
3	XMD	Flat	Short	Short	Long
4	XSO	Flat	Long	Long	Long
5
6	XMJ	Short	Flat	Long	Long
7	XEJ	Long	Long	Long	Flat
8	XXJ	Long	Flat	Short	Short
9	XNJ	Short	Short	Flat	Long
10	XDJ	Flat	Short	Short	Flat
11	XHJ	Long	Long	Short	Flat
12	XPJ	Short	Short	Flat	Short
13	XUJ	Short	Short	Short	Short
14	XSJ	Short	Short	Flat	Long
15	XTJ	Short	Short	Short	Short
16	XIJ	Short	Flat	Long	Long

The above ratings, because they are based on Moving Averages, tend to be lagging indicators.

Three Sectors are on “long” ratings, i.e., “buy”. Looking at the charts I have suspicions that the “long” rating for XEJ is overly optimistic. Here’s the XEJ chart:



XXJ is looking a little better:



It needs to get above horizontal resistance to prove its bullish credentials.

XHJ has been in a sideways trend for some time but has now headed to the upside. Like XXJ it needs to break above overhead resistance to prove its bullish credentials:



If XXJ can move to the upside (likely) then our market has the potential to move out of its intermediate term sideways trend. Watch.