SHORT TERM: consolidation continues, DOW +43
Overnight the Asian markets lost 0.6%. European markets opened lower and declined 0.3%. US index futures were lower overnight as well. At 8:30 Export (-0.3% vs -1.4%) /Import (-0.4% vs -0.3%) prices were reported still declining. The market opened lower at SPX 1399 and dipped to 1396 in the opening minutes. The SPX had closed at 1403 yesterday. Then after barely touching oversold the market tried to rally. At 10:30 the SPX hit 1402, then pulled back to 1397 by 11:00. At 2:00 the Budget deficit was reported lower: -$69.6 bln vs -$129.4 bln. Heading in to the close the SPX hit 1406 and closed there.
For the day the SPX/DOW were +0.25%, and the NDX/NAZ were +0.10%. Bonds gained 6 ticks, Crude was flat, Gold added $2, and the USD was lower. Medium term support for the SPX remains at the 1386 and 1372 pivots, with resistance at the 1440 and 1499 pivots. Short term momentum touched oversold before rising to overbought again. Today the WLEI was reported unchanged at 48.7%.
The market opened lower today, retested wednesday’s SPX 1396 low, then rallied late to end the week 1 point below the uptrend high. Oddly enough the entire range for the week was only 13 SPX points, and all above last friday’s 1391 close. Reviewing all the charts for the weekend update. Best to yours!
MEDIUM TERM: uptrend
LONG TERM: bull market
Thanks Tony for the monetary base update, enlightening.
monday roadmap for anyone interested:
http://standardpoor.wordpress.com
Thanks Tony
Looks like operation twist should have been named operation barely budged the monetary base.
Good day for the bulls. Bad economic data out of China and the market shrugs it off and closes near the hod and near the uptrend high. Tells me the tone of the market is bullish. But that doesn’t surprise me.
Tony Hi – would you comment on the Wave pattern for 104WTIC – Trying to get
your view on the $94.72 High, and what the next OEW pattern might look like.
Have a great weekend……Bud
Bud,
Just did in the weekend uptrend.
Recent high looks like a medium term top with a negative divergence.
http://stockcharts.com/h-sc/ui?s=$WTIC&p=D&b=3&g=0&id=p15218782438&a=67199593&listNum=11
It’s wacky market, so I’d be careful.
Many thanks Tony. Also for the extra article on the Fed.
Observation: BBs don’t look like break-out material at this point.
Maybe this current count is USAxUSA… (copyrights go to HD, if it is..) or maybe the count should be called: the Creepy Crawler (TM)?…j/k/ ..who knows ..
Thanks Tony!
fwiw… we better not have futures selloff otherwise we might be looking at a triple top/H&S.
the alternative, of course, is no pullback and we’re back to the races next week!
Have a great weekend. cheers -rc
u2 RC