Saturday Brunch. 20 August, 2016. In America: [IMG] Indices were...

Saturday Brunch. 20 August, 2016.

In America:



Indices were again in very narrow ranges, and finished down a little. Dow Jones -0.24%, SP500 -0.14%, Nasdaq -0.03%, New York Composite -0.31%, Russell 2000 -0.01%. All indices remain above the 20-Day MA, which is a measure of the short term trend.

NYSE NewHigh/NewLow Ratio remains bullish at 92.7%. New Lows remain at 9. If we see a big increase in New Lows, the up trend could be in trouble. NH/NL Ratio has been a good guide for remaining with the up trend.

SP500:



Commentary on the SP500 has become a broken record: "The Candle-stick Chart for the SPX remains bullish but momentum has slowed. The short term Stochastic (14.3.5) has failed so far to climb back above the long term Stochastic (50.10.10). The Bollinger Bands on the long term Stochastic have squeezed tightly together. A -ve divergence is clear on the MFI. But, until the 20-Day MA is broken we’re still in the up trend."

Stay with the trend. Plenty of people have been shorting this for the past couple of weeks. They must be worried by now.

Commodities:



DBC, the Commodities Index tracking ETF down -0.33%. That's the first down day after six up days. Today's candle is a doji star - inside the range of the previous day. Indecision. Energy flat (0.00%). Industrial Metals -0.22%. Gold -0.88%.

Any pull-back in the commodities will likely be bought.

RB.