Wednesday update

SHORT TERM: market opens higher, DOW +159

The first three days of this week displayed Asian markets rallying 0.6%, and European markets rallying 0.7%. The SPX opened flat on Monday at 2905, then dipped to 2886 late in the day. Tuesday and Wednesday the market opened higher as the SPX hit 2912 Wednesday. While this all looks and sounds good, there is something else that is noteworthy. Some would call it rotation.

As of this writing the DOW is +1.1% for the week, the SPX +0.1%, and the NDX/NAZ -0.9%. The only index, of the major four, to exceed its August high has been the DOW. Yes the DOW still needs to make a new all-time high. It’s less than 1% away. It appears, however, the DOW is the only index trying to make new highs, and the other three are just being dragged along by the DOW. But what happens after the DOW makes new highs? Quarterly options expiration this Thursday/Friday, should be volatile. Short term support at the 2884 and 2858 pivots, with resistance at the 2929 pivot. Short term momentum displays a slight negative divergence. Best to your trading!

MEDIUM TERM: uptrend inflection point

LONG TERM: uptrend

CHARTS: https://stockcharts.com/public/1269446/tenpp

About tony caldaro

Investor
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215 Responses to Wednesday update

  1. quickrick38 says:

    Wow! A semi-civil discourse on politics on a Friday afternoon…without a lot of incessant wacko comments. I’m impressed. Differing opinions, of course, and some strong ones. But fairly civil. If that’s as bad as it gets, then this site is coming back. I was seriously worried there for a while. Good work Tony. And, for all those who could express their opinions -without being nasty, my hats off to you.

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  2. fotis2 says:

    Re:GOLD based on past year end closes think best wait for Dec-Jan for swing long
    https://invst.ly/8olul

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    • fionamargaret says:

      I think Scotty has gold going down to almost the same as my figures, and oil I have as going to 83, but I mentioned because of the hurricane, the numbers could be skewed…oil changed sequences. Jobjas has oil around the same (I think).
      You are doing nice work…clever stuff..x

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  3. Anonymous says:

    for Trump fans “Last week, Gundlach likened debt-financed U.S. budget deficits to Miracle-Gro plant food and remarked that the benefits of the ballooning deficit, stemming from tax cuts, were not permanent. On Wednesday, Gundlach said, “The deficit is insane. A truly strong economy produces a fiscal surplus.” enough said

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  4. fionamargaret says:

    I found McClellan Interesting.
    I still have GLD going to 95, though I would watch it at 104.
    I have GDX going to 10, but 13 is another number I would watch.

    https://www.mcoscillator.com/learning_center/weekly_chart/gold_now_bound_to_the_yuan/

    Thanks and love to Tony…..and everyone xx

    Bruch, and the Mercury Prize Winners for this Year….for all the romantics. Say I am not the only one.


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  5. torehund says:

    Where does gold go: Went trough long range charts of Newmont and Barrick mining companies and they have both ascended considerably from their all time lows. Then they both stalled and are currently sinking at a rapid pace. Ar they attempting to find a wave 2 bottom or are they going for a retest of their lows ? If oil continues to go up and gold stalls or decline it will create difficulties due to higher expenses. At any rate it will pay to watch for a definitive move or hope for a retest and then be there for a healthy bounce…if you are a bull. Alternatively go short right now and hope for a retest, praying its not a wave 2 bottom right here. Its never easy 🙂 Third option is to hope gold miners have carved out a wave 2 and are ready for an upturn. Maybe the wise thing to do is to just watch the development.

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  6. torehund says:

    God weekend Tony and all😀

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