Domestic Market:
Long term: bearish
Medium term: neutral swinging to bullish, must overcome overhead resistance
Short term: bullish, must overcome overhead resistance.
International
VIX (Daily): Bullish descending triangle needs to break lower to remain bullish.
SPX Daily: bullish overhead resistance, momentum slowing.
Shanghai (Daily): Bullish ascending triangle needs to break higher to confirm
Copper: Break out from Symmetrical triangle bullish
Advance/Decline Line: Positive Divergence from XAO - bullish
50-Leaders: Bullish
Sector Analysis: Neutral leaning to positive
Ozzie Dollar: Bullish technicals suggest a reversal may occur.
I'm particularly taken by the leading upward divergence on the Advance/Decline Line and the break-out in Copper.
The Australian market had an OK week, with Friday clinching it for the bulls. Internationally, the picture is strongly to the upside.
Generally, the chart patterns are supportive of a medium term up-trend. Downtrend lines from April have been broken to the upside. MACDs are either above or only a little below their Zero lines.
An American Summer Rally appears to be in place and may have another couple of weeks to run. For that to happen, serious overhead resistance has to be overcome but that's the nature of rallies until they finally break-out into blue sky. Our market, although not as strong as some of the key overseas markets, is following suit.
Reporting Season remains in place in America. Unexpectedly good or poor results can quickly skew the market. The skittish nature of this market was shown on Thursday and Friday. A pessimistic report from Bernanke sent the market down on Thursday. Good company reports on Friday sent the market up. A couple of strong days, one way or the other, could have a profound effect on market direction.
When I reflect on all of that, I feel quite comfortable with the conclusions. And I'm looking to further upward movement in the medium term (two weeks or longer).
And that makes me wary. :)
All those divergences, aligned with some key resistance areas could impact this market. But - price is king - until the up-trend lines get broken to the down-side, I'll stay with the trend, which currently as far as I can see, is up.
Cheers
Redb
Long term: bearish
Medium term: neutral swinging to bullish, must overcome overhead resistance
Short term: bullish, must overcome overhead resistance.
International
VIX (Daily): Bullish descending triangle needs to break lower to remain bullish.
SPX Daily: bullish overhead resistance, momentum slowing.
Shanghai (Daily): Bullish ascending triangle needs to break higher to confirm
Copper: Break out from Symmetrical triangle bullish
Advance/Decline Line: Positive Divergence from XAO - bullish
50-Leaders: Bullish
Sector Analysis: Neutral leaning to positive
Ozzie Dollar: Bullish technicals suggest a reversal may occur.
I'm particularly taken by the leading upward divergence on the Advance/Decline Line and the break-out in Copper.
The Australian market had an OK week, with Friday clinching it for the bulls. Internationally, the picture is strongly to the upside.
Generally, the chart patterns are supportive of a medium term up-trend. Downtrend lines from April have been broken to the upside. MACDs are either above or only a little below their Zero lines.
An American Summer Rally appears to be in place and may have another couple of weeks to run. For that to happen, serious overhead resistance has to be overcome but that's the nature of rallies until they finally break-out into blue sky. Our market, although not as strong as some of the key overseas markets, is following suit.
Reporting Season remains in place in America. Unexpectedly good or poor results can quickly skew the market. The skittish nature of this market was shown on Thursday and Friday. A pessimistic report from Bernanke sent the market down on Thursday. Good company reports on Friday sent the market up. A couple of strong days, one way or the other, could have a profound effect on market direction.
When I reflect on all of that, I feel quite comfortable with the conclusions. And I'm looking to further upward movement in the medium term (two weeks or longer).
And that makes me wary. :)
All those divergences, aligned with some key resistance areas could impact this market. But - price is king - until the up-trend lines get broken to the down-side, I'll stay with the trend, which currently as far as I can see, is up.
Cheers
Redb
No comments:
Post a Comment