Haven't been posting much lately, eldest is doing final exams, so that's my priority...a longer post today to make up for it !
Yearly Highs and Lows
The Hi Lo summation index is still well above zero, and constrasting the downmove in the XJO – todays summation move actualy ticking up a small amount.
Candles
A few candles with above average range, and while todays big red candle went to new relative lows, it did so on lower volume. The last hammer (showed with an asterisk) confused me at the time, and that’s just Ms Market’s way I suppose. At the time I was conjecturing on who the winner would be, the hammer, indicating a rise, or the RSI indicating a drop. Both and neither, turns out we did have a small rise followed by the current drop.
RSI
Still heading down, but as mentioned, this is happening on lowering volume.
Relative Strength by Size
The rel strength of the XSO and XMD shows that some risk on trading is still going on…confirming what the HiLo Summation showed. The larger indices are moving down, sharply, and this is a bit unfortunate, since this usually indicates a move in that direction ( ie when contrary to the XSO/XMD). However this is somewat ameliorated by the dropping volume in todays action.
Rel Strength by sector
Highlighting todays action, this shows the strength of the smaller indices once again, and shows the impact that the financials are having in dragging down the wider index. Only worry here, is the Utilities riding so high in the mix ( ie, least bad).
Seasonally, Nov is a pretty ordinary month for the XJO and usually negative. As I mentioned earlier, the XHJ is likely to be one of the better performing as we are entering a seasonally strong couple of months…..and apart from today (blush) it has been performing well. XHJ Volm today was low indicating this downmove had little behind it.
All in all, there seems little sinister in this move off recent highs – just regular market perorations – and this one is happens to be a down swing. Momentum indicators seem to indicate that there is still a few days to go, but this is contrary to the big green move happening OS as I write this. Hi Lo summation currently saying that this should all resolve to the upside. Seasonal indicators are showing “situation normal”.
And in honour of BRN and the massive amount of posting relating
(20min delay)