All indexes day and 2 hr trends are now up. Week and Monthly trends have been up very long. DOW has got above the top line from the year 2000 with 24 points and holding just below that point. That means that my long term target is now reached. The only technical tool I have left is the Megaphone chart which is the same as the top line. Either Dow, now at the latest high at 16.198.5, will stop here or continue up in uncharted territories. Since SP500 is less than 3 points from its all time high and DAX is close to its high - they always follow each other in the big picture - the long bull market from March 2009 is still strong. As you know my job is to find the smallest indication in any weakness in any index and tell you about that. There have often been weaknesses and I have told you about what I see. Do not for a moment think that I am a bearish person. I try to be as fair as I can. However in current environment there are only DOW, SP500 and DAX which are very close to continue on upside FTSE and SWED are having strong rallies on upside but are not as strong as the other group, FTSE is still in a daily down down trend. Now the week points.
DOW, SP500 and DAX have the daily MA:s below the 21 MA. That makes especially SP500 vulnerable for a drop down below the 8 MA and continue the daily downtrend which has been changed to up only two day's ago from down.. If this should happen it will be very fast and must occur today Friday or Monday if the current 2 hr sideways top trend does not continuous on upside. A cross on downside here is the signal for that drop to occur. - My personal view is that the Employment and Fed rallies both were setups and executed by the robot traders.Technically the trends should continue on downside. Especially the Fed rally took everyone with big surprise in strength and direction. That means to me that , if I am correct the drop will come. However today is the last normal trading day of the year. Trading from Dec 24 until Jan 2 use to be thin but could be entertaining. The charts will however be crucial for the big opening of the new year. I will follow all trading and report as usual because during my 30 years as an analyst I have seen how important that has been.
DOW, SP500 and DAX have the daily MA:s below the 21 MA. That makes especially SP500 vulnerable for a drop down below the 8 MA and continue the daily downtrend which has been changed to up only two day's ago from down.. If this should happen it will be very fast and must occur today Friday or Monday if the current 2 hr sideways top trend does not continuous on upside. A cross on downside here is the signal for that drop to occur. - My personal view is that the Employment and Fed rallies both were setups and executed by the robot traders.Technically the trends should continue on downside. Especially the Fed rally took everyone with big surprise in strength and direction. That means to me that , if I am correct the drop will come. However today is the last normal trading day of the year. Trading from Dec 24 until Jan 2 use to be thin but could be entertaining. The charts will however be crucial for the big opening of the new year. I will follow all trading and report as usual because during my 30 years as an analyst I have seen how important that has been.
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