friday update

SHORT TERM: quiet session closes out 2011, DOW -69

Overnight the Asian markets were mostly higher gaining 0.7%. European markets opened lower but gained 0.7% as well. US index futures were higher overnight but the market opened slightly lower at SPX 1262. The SPX had closed at 1263 yesterday. In the opening minutes the SPX dropped to 1260 and then bounced to 1264 by 10:00. After that the nmarket drfited lower for the rest of the day, hitting SPX 1257 just before a 1258 close.

For the day the SPX/DOW were -0.50%, and the NDX/NAZ were -0.30%. Bonds gained 9 ticks, Crude dropped 65 cents, Gold rallied $16.00, and the USD was lower. Support for the SPX slips to 1240 and then 1222, with resistance back at 1261 and then 1291. Short term momentum hit overbought early and then hit oversold at the close. Last night the FED reported the Monetary base had declined. Today the WLEI upticked to 42.4% vs 42.3%.

A relatively quiet day with a downward bias to close out the year. It is interesting to note the SPX has been having trouble clearing the OEW 1261 pivot for the past six trading days. Even though this pivot is one lower than the OEW 1291 pivot top in October. The market opened about flat, bounced to SPX 1264 to hit overbought, and then declined to 1257 near the close to get oversold. Volatility has narrowed down to a seven point range, or about 0.5%. This will very likely change next week. Short term OEW charts remain positive, with support now just above SPX 1250. Wishing everyone a healthy and prosperous New Year!

MEDIUM TERM: uptrend

LONG TERM: inflection point


About tony caldaro

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17 Responses to friday update

  1. H D says:

    1257.60! R u kidding me. You know when you call the closing price for the year you may have reached your stock blogging potential…. Haha. So what did we do in Jan 2011? Rally right to 1291 pivot? Hmmmm

    Happy New Year Tony and all. :mrgreen:


  2. tommyboys says:

    Interesting polar opposite views on this forum. Maybe nothing happens but a boring sideways range?? Will be interesting ! Happy New Year all !


  3. Sometimes its as simple as the VOX index. Topping Oct 4, bottoming this week
    Plus all the fibonacci convergences, lack of volume, overlapping 3’s. The secondary top is likely in for the Bull, and between now and March 7th the final rally will be made…

    Prepare ye
    Cheers and Happy New Year


  4. M1 says:

    Thanks tony, happy new year !!!


  5. Loved that tank into close and TZA ramp to 26.48 off the 25.83 add today. Drop, Pop, then Flop… my 2012 forecast

    Best to all


  6. scottycj1 says:

    Have a tremendous New Year


  7. mike7x says:

    Happy and Prosperous New Year to everyone here! Tony’s site has become my go-to daily site for the best technical info for the markets! Thanks much for all your hard work and dedication to this site Tony! 🙂


  8. pooch77 says:

    Tony gap up Tuesday over resistance with new money and volume? Happy New Year and thanks for all the hard work


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